A few decades ago, building more than one source of income was unheard off; it was often difficult, time-consuming, and expensive. However, nowadays, adding more income options to your existing business is easier and more affordable, thanks to the internet!
If you are someone who values financial security, and freedom and is trying to figure out how to make more money, you have come to the right place. The thought of running multiple streams of income can be overwhelming, but the benefits of having several sources of income can make it worth the effort.
We have put together a few tips that will help you understand how to generate and build multiple passive income streams and manage them without stress. If you are ready for multiple sources of income, check out these extra income ideas that will work for you.
Freelance your Skills
If you have transferrable skills that span across different industries, such as copywriting, graphic design or training – you can utilise these skills as a freelancer for other businesses. Freelancing is a great way to create an additional income with the flexibility to set your own hours and work on your own terms. Of course, freelancing requires a fair amount of discipline in organisation and balance, as well as a realistic idea of the workloads it involves and the competencies of your own skills.
Reach Out to your Community for Odd Jobs
Whether you have a large social circle, work in a busy industry or are a member of local social media groups - you can usually always find someone after some help with odd jobs. Completing small but helpful tasks, such as cleaning, organising, moving or building furniture can become a stable income stream when you find your niche. Websites and communities like Airtasker are a great source to connect you with customers if you're looking to supplement your income either sporadically or with a recurring gig that doesn't require any specialised skills.
Create an Online Course
What is that one skill or hobby you can implement right now to build passive income? Depending on your expertise, you could consider creating an online course on almost any topic, thanks to a number of platforms and course-creating apps available on the web. Once your course is ready, you could market them on online freelance services marketplaces like Fiverr or sell them on popular learning platforms like Udemy and Skillshare as the first move towards additional streams of income.
Consider Becoming a Mortgage Broker
As a mortgage broker, there are many ways to earn a good income. In addition to upfront payments, for mortgage brokers, trail commissions are an excellent source of passive income even after the mortgage loan has been settled. Another advantage is the fact that the mortgage industry offers so many different segments to choose from, including investment, residential and commercial.
To become a mortgage broker, you need to work as a representative of a credit license holder for the first two years. To get your own credit licence you need a Certificate IV in Finance and Mortgage Broking.
Rent Out your Property
Renting out your property is another effective way to earn passive income. You could either rent out your property or even partner with a rental company like Airbnb to put your property up for rent and start adding to your multiple streams of income. If it is difficult to manage the rentals on your own, hire a property manager to manage tenants and collect monthly payments or rent.
How to Manage Multiple Income Streams
Keeping track of your income becomes too challenging when you have different streams of income. The first step toward managing multiple income streams is being able to track all of your income automatically and consider the taxation on this additional income. Fortunately, there are modern solutions like online money management software to help manage this by connecting directly to your accounts and syncing automatically.
Another clever way to keep track of your additional income is to set up a second everyday bank account for all these payments. By separately your finances across two accounts, you can easily track your additional earnings in preparation for tax. If your side hustle is growing and you've taken more of a freelancing route, it may be time to consider getting an ABN and establishing yourself as your own business. Working as a self-employed contractor can simplify and strengthen your brand and the financial organisation for your supplemented income.
You could check with your bank to find if there are any useful banking features for managing multiple incomes such as calendar reminders that will help you set up notifications to stick to deadlines or accounting software to automate your invoicing and accounts.
These are just a few ideas to start earning extra income. In addition to earning more during the good times, creating multiple income streams can also tide you over in case of sudden unemployment, if you choose to take a break from work or if this is something you’d prefer to make your full-time career!