Below we’ve come up with 4 potential ways to increase your earnings potential, then given them risk ratings based on required Monetary investment, Required Time investment, potential Returns, and Relative risk to success. Of course, these are our opinions, not specific advice for your situation, but take a look, maybe there is an idea that will get you excited enough to learn something new.
Upskill (Payrise or Promotion)
Getting a Promotion or pay rise isn’t always as straightforward as learning a new skill, very often there is a level of networking and luck required to secure that next payrise, However Upskilling or developing a new skill, can be a fantastic tool in your arsenal to show your enthusiasm and your capability.
Many managers are looking for employees who will go the extra mile, and stepping out can be as simple as doing an online course in excel all the way through to returning to University or school to get another academic qualification. Many studies have concluded that higher education levels correlate strongly with increased weekly earnings, and lower risk of unemployment.
The investment level can be determined by you, a self help book that improves your managerial and relationship skills might be enough to secure that next rung on the ladder but don’t sell yourself short, looking outside your current employer might be the best thing for your development. You might want to try delving into a new industry (like Programming or Software Engineering) where the time and money you invest has a high potential for returned income.
Unfortunately, in most cases the earning potential from this approach will usually be limited to an employees wages, i.e. at the discretion of what an employer will pay for your services, there are obvious exceptions to this rule, such as moving into senior management, and directorship, or taking share offerings. However, in general, if you’re after much larger potential returns, one of the others on this list might be more suitable.
Stocks Investing
Ready to become the next ‘Wolf of Wall Street’? You’ve seen the movies, millions being made in the stock market, in some the protagonist gives up everything to achieve a better life for himself working for free, peddling to anyone he can convince to invest in his ideas, his trade in him. And the triumphant procession at the end, when he overcomes his challengers and rises to a fulfilled life of luxury. If there is anyone one constant in these movies it’s the montage of learning and discovery and the mixture of dizzying highs of success and the dark pits of distress. Trading stocks like any potential income source on this list requires a level of commitment to learn the trade. In essence, you are buying, selling, and investing in someone else’s dreams, their companies potential. Like educated betting, you can lower the risks in the deals you make through careful consideration and good advice, but ultimately the risks (and rewards) can still be high.
The first step as with anything, is the learning curve, Here You can find our blog on stock trading and take the first step towards your financial freedom. In theory, you can start trading with as little as £25 on some platforms, and there are 3 main approaches to stock trading:
- Long term investment
- Day (or short term) trading
- Hybrid
We go into more detail on our blog here about the differences, but the freedom to choose where your money goes, and whose pet projects you will invest in gives this method a lot of flexibility. Especially useful for someone with a little extra money, but isn’t ready to step out of full time employment, this can be a route to the eventual financial freedom
Crypto Investments
Crypto is the new Facebook, the new sliced bread, the advent of the wheel, and the first heavier than air flight, word on the street is that it promises the world at your fingertips, the ultimate get rich quick scheme hidden in a genie in a bottle…
Or is it?
Most people have heard of Crypto currencies by now, its meteoric rise to fame has many people confident that it’s too good to be true and others swearing by it. As with most things, there is an element of truth to both points of view. Built on the concept of delivering the control of finances to the masses, Crypto currencies ultimately gain their value through the popularity mill, skyrocketing and crashing on the back of rogue tweets, partnership announcements and developing technologies. If you have the time to invest and understand the market, this could be a place to turn around a few bucks or stick it out for a long-term investment.
The risks with Crytpo currencies are very high, at the face of it, you could lose all your investment within a matter of minutes, (or even more money than that, depending on how you choose to trade), but there are also a great deal of success stories coming from the scene, with some disposable money this could be a market to invest in now, as many believe it could be the future of financial transactions and more. As with any new enterprise you undertake, information is key, there is a steep learning curve, but it’s not insurmountable and within minutes you could be a part of this technology shift. You can read our blog on all things Crypto here.
Start a Business
Are you ready to live the dream? Laying on the beach, mojito in hand. Do you fancy yourself as the next Richard Branson, Elon Musk, Bill Gates, or Jeff Bezo’s where a combination of your skill and luck makes you, one of the most famous names in the world, the envy of millions?
Starting a business doesn’t need to be so daunting, many of those named above started with a goal, and a garage directed their metaphorical baby into a beautiful swan of capitalism. Starting a business can be a massive drain or it can just be the freedom to make your own decisions that you have always dreamed about. Many find the complexities of a thousand different topics to be overwhelming. From Branding, capital, marketing pricing strategies, accounts, taxation, VAT, HMRC, Companies House, professional registrations, domains, IT, E-commerce, product development, HR, PR, Directors, and shareholders, it can be a touch daunting. Our Partners at Phillipi Design specialize in helping people take their ideas to the sky, they have a passion for developing businesses, the way you might do for your specific idea. They will try to deal with as much as or as little as you would like, so you can focus on the core, ‘Making your dream come true.
As with any of the ideas on this list, there are risks to running your own business, but the freedom it allows you to explore your dreams, spend time with your family, and set yourself up for financial freedom is too good to pass up. We have another blog here where we explore some of the core topics for successfully running your own business, so if you have ever dreamt of being your own boss, Check it out here.