You may have heard this saying before: ” The average millionaire has seven streams of income“. This means that most high-worth people do not rely on one single source of income to survive, and even better, thrive. As a matter of fact, most individuals who are well-established financially tend to have varied and diversified sources of income.
The concept of multiple streams of income has always fascinated me. Raised in a middle-class, single-parent family in Senegal, West Africa, I was always concerned about financial security. As I progressed in life, this concern turned into a growing interest for the many ways in which people can establish and set their financial security and legacy in the long-term. I’ve always looked at high net worth individuals, the likes of the Oprah Winfreys and the Warren Buffett’s of this world as examples and indirect mentors I could look up to. I’ve always admired people, whether of celebrity status or not, who could make wonders out of scraps, especially in the financial arena. As I evolved in the corporate world, and started dabbling in the business world with a side hustle at first, and growing a business later on, I got increasingly interested in answering the question: “How can you diversify your income?”
As I found out and am still learning, there are many ways in which people like you and I can identify and implement various streams of income. Here are seven of them to begin with:
Get a job!
Although there seems to be a cult of entrepreneurship all throughout social media and in popular opinion as well, getting a job is still a pretty effective way to establish financial security. As tempting as the images of yacht cruises and work lunches in fancy restaurant patios outside may be. being an entrepreneur is not all there is to personal and financial success.
Many people have established their own as well as their children’s financial security and legacy through regular 9-to-5’s. The trick here is to remember to allow your job to work for your financial security, and not the other way around. This means setting up automatic systems and processes to save and invest, while working to boost your career in ways that are both personally, professionally and financially fulfilling to you. I like to think of it as using your job to fund your life dreams.
Start a side hustle!
Side hustles are the new job security. They are also great ways to add an additional source of income to your existing 9-to-5 or business. Side hustles are basically jobs that you can tackle on a part-time (or less) basis, in addition to regular employment or business. It could be as easy as freelancing on the side, consulting a few clients on your free time, or even working as an Uber or Lyft driver to supplement your income.
Related: 100 side hustle ideas for working women
In the age of social media and technology, it’s become even easier to start and grow your side hustle. You can easily market your products and services on free platforms such as Facebook, Twitter or Snapchat. It’s also easier to monetize your side gigs, as a majority of business activities are conducted virtually and online.
Related: Make extra money on your schedule as an Uber Eats Delivery Partner
Start Investing!
One profitable way that you can use your regular 9-to-5, business or side hustle, to fund your dreams is through investments. Setting some money aside every pay period to invest in stocks and bonds, or other financial instruments of your choice, is a powerful vehicle to multiply your earnings.
Related: How to build generational wealth as a working woman
One of the main limitations that keeps many people, especially women, from investing their money, is lack of financial education. There is a widespread perception that one must be financially savvy in order to start investing profitably. However, hiring the right financial experts and getting informed on your best financial options can go a long way towards helping you grow your confidence as an investor.
Start Freelancing!
Freelancing may very well be one of the oldest side hustles ever. I didn’t start thinking about starting my own business until after I had been freelancing for a while. Freelancing allows you to use your natural talents, abilities, and/or acquired skills to render services or create products for profit.
As an example, I have been freelance writing for a while. You could freelance around providing IT services, legal or accounting services, depending on your area of expertise or particular talents.
Get Into Affiliate Marketing!
Affiliate marketing is all about marketing products or services created by other businesses or individuals. Basically, you promote a product or service someone else created and get compensated for it. You may get a certain percentage of the sales price of the item you’re promoting or a fixed commission according to the agreement you entered into.
Related: How to make more money blogging: A review of the Making Sense of Affiliate Marketing Course
This is a great way to diversify your income as it doesn’t require you to create anything yourself. As a blogger, I have promoted many products and services that I believe, which has allowed me to create passive income as well.
Create your own products!
This may require more time and work. However, it’s also a great way create an additional stream of income. This can be as easy as printing out T-shirts or branded merchandise. It can also involve manufacturing products from scratch, such as greeting cards for instance. It can also be creating digital products such as web applications or e-books.
Today’s technology allows you to create your own products without too much hassle. With the existence of online and virtual services such as Fiverr, and the ease to use social media, it has become increasingly convenient and cost-effective to make your own products.
Start a blog!
Blogging is also a profitable way to diversify your income, while catering to your passions and interests through your blog. From advertising revenue to affiliate marketing, and promoting your own products and services, as well as your expertise, blogging offers various opportunities to earn additional revenue.
Setting up a blog is also a cost-effective and simple process. While it may take some time to ramp up your blogging earnings, consistency and hard work do pay off in the long run.
Related: Four Steps to Creating your WordPress Blog with Bluehost
All in all, there are many ways for you to diversify your income. You don’t have to limit yourself to a monthly salary or periodic revenue. Instead, you can enlarge your financial landscape by expanding your sources of revenue and securing your financial future.
Now your turn: what are your favorite way diversify your income?
To your success,
The Corporate Sister
