In 2022, many individuals are seeking to gain additional sources of income that are in addition to their earnings from work. It is estimated that 40% of Americans have a second source of income that is used to add to salaries and can become the foundation for saving for the future. As inflation begins to rise in many countries around the world and the cost of living crisis continues to develop, it can become a necessity to look for intelligent ways to generate additional revenue streams.
Once over, this strategy was used solely by businesses but today it is common practice, and many young people are looking to use the power of the internet in creative ways to gain additional income.
This article explains three key ways in which additional income streams can be developed.
Build a share portfolio
Whilst all share trading carries a degree of risk, simply because the value of shares will fluctuate over time, building a mixed portfolio of shares can help to balance these risks. It is important for investors to have a mix of long-term investments that consistently perform well over time (such as the markets for gold) and short-term investments that can produce returns more quickly but with added risk.
In terms of short-term share options, many people are seeking to invest in cryptocurrencies and NFTs (non-fungible-tokens such as digital artwork and music). Sites such as okx.com can provide the investor in these assets with a wealth of information on crypto performance and which products are currently performing the best.
Volatile stocks such as cryptocurrency should be complemented with more stable investment options to build a well-balanced portfolio. Index linked trading is another relatively stable form of investment that generates returns based on the performance of a range of companies and can make an ideal portfolio choice.
Offer consultancy services
Many people discover that they have a talent to share or a deep level of knowledge in a specific field or sector. In many cases, these skills can be used to form the basis of a consultancy service that provides a valuable second income stream. For example, if you are highly knowledgeable in the finance and banking sector, perhaps because of having a career in this field, then it can be viable to set up an independent financial advice consultancy. Clearly, the person must be able to demonstrate suitable qualifications and knowledge; and ideally, a website should be set up that outlines the services offered, together with the fees for sessions. For more information on becoming an independent financial advisor see here.
Make and sell handmade products
In recent years there has been a dramatic increase in the popularity of handmade and unique gifts that can be purchased online. Sites such as Etsy list the products of a range of creators, DIY enthusiasts, and artists. If you have an innate talent for creating handmade items, it can be highly beneficial to join a site such as Etsy and create your own online shop within the site. Items are often produced to order and by providing realistic timescales to produce them, you can undertake this work in free time away from your main employment.
In summary, if you want to add to the estimated 40% of Americans who already have a second income, the three ideas listed here vould be ideal for you.