Moushmi Dasgupta ( www.linkedin.com/in/moushmi1234)
With the present scenario of unrest in the job market, it really is mind boggling to concentrate on one thing clearly. Holding down a job is difficult. How could one generate more sources of Income?
Back in Dec 2015, this was what my friend was asking me. We were discussing about mounting expenses and the cost of living, and the fact that a salary from a job was simply not enough. After I got home — I jotted down a few plans of action to generate more revenue. These points took shape gradually and got split into several avenues. I am going to share 5 of these points here.
Well, I discovered these avenues rather late in my career, but in case you are at the beginning of your career it really would help you — to recognize and start building a source of passive income. Who knows — it might even become a start-up idea one day!
Avenue 1: Get more from your Savings Account.
Check the interest rate on your Savings bank account. What is the interest, your savings bank paying you?
Chances are you are using the same account used by your organization to deposit your salary as your Savings account. No harm in that, if it is better than the national average (4% for India) and can be maintained as a Zero Balance Account. But if it is not, then consider moving your money from your salary account to a bank which offers better interest rates, anything better than the average currently on offer could always be a better bet.
Consider this — if you have INR 25,000/- in your salary account on average, you will earn only 4% on it in a salary account. Whereas in another bank you could earn as much as 6 to 7% which is a respectable passive income in itself.
You could also consider putting some portion of it into a Liquid Fund. Several banks offer many attractive Liquid Funds which have great earnings. It has no lock-in period and can earn a sizeable interest rate — far above your Savings Bank Interest rate.
And this is low effort with good gains over a long period of time. There is a saying — A penny saved is a penny earned.
Avenue 2: Earn from your Hobby Idea
There’s never a better way to earn money than leveraging your hobby — what say? Playing a musical instrument, travelling, cooking, singing, playing cricket. In short — mixing work with pleasure.
Obviously, you enjoy doing whatever you are good at. There are many people out there who share your passion and love what you do. There are many different ways where you can convert your hobby to a source of revenue.
One of the ways would be to create content around your hobby and sell the content via video recording, blog, e-book, etc. It might be through a Facebook page, a website, a YouTube channel or other monetary means and then see what comes of it.
There are many people out there who have tapped their talents and are creating a great source of revenue out of that. One of my friend’s hobby is practicing Yoga. She records her videos and posts it on YouTube, she has managed to acquire lots of followers for her YouTube channel. The earnings from the channel is so good that it has surpassed her earnings from her current fulltime job. There are many such success stories.
Avenue 3: Investing in the Equity Market!
Equity market! Seriously! Isn’t it another way to loose all your money? Heck no!
It is never too late to start investing in Equity. Start small with a minimum amount of your spare cash — through a good Demat Account. Make sure you open the account from a good financial institution and invest small bits and pieces of your surplus in the equity market.
Although there is a risk that you may lose your money, but consider that the market also rewards tremendously. The stock market is a great teacher which will teach you about taking care of your money. It is a cruel place and you will learn to be careful. You will learn, that each day is unique with its own share of ups and downs. It will teach you about the world, about your country, about the govt decisions and how all this would impact your money. It will in fact teach you to rise above money and consider taking your net worth higher than what money can achieve for you.
It’s a complete traffic jam out there at the stock market. Here the income of Companies follows various interpretation of the sine curve. Where everything is online including trading — you cannot be a bystander. In case you are new to it — latch on to a friend or well wisher who knows about the share market. Take tips from her about surviving in this dark water and get into the thick of things. Believe me folks — when it comes to taking care of your money — you will learn how to take the risk. So there!
Avenue 4: Rent out your property!
Yes, Real Estate — that’s where all the big bucks are!
There are several scenarios — here I am listing out only 3 of them:
Case 1: You have an empty flat or house which you have already let out for rent. In case it is an empty flat or house then buy stuff on second hand and equip it with furniture. You can then rent it out as a furnished flat. That in itself will increase the rent of the existing empty flat. Even better, you can register with certain websites where you can lease it out for guests at a premium cost, with zero or minimal maintenance charges.
Case 2: In case you have an open plot or land which is reachable and not developed — just lying around — then start an orchard or some plantation work there. It could even be your weekend project — where you can ask your friends and family to pitch in and plant some trees. Get tips from friends who are good at gardening. The wood itself would earn you profits not to speak of the fruits and pickings from the land. It can even be turned into a part-time business. You can also lease it out to other farmers for a tidy profit. A friend I know has leased her land out to a warehouse company for shipping containers and is earning a steady passive income from it.
A word of caution — be sure to have all property papers in order and get the rent or lease agreements signed and sealed through a good lawyer — no compromises here, it needs to be air-tight.
Case 3: You don’t have a property to rent! That’s even better! You can get into being a part-time real estate broker. Look around you, network and find out if there are folks you can find who needs help with selling, buying or leasing out a property or needs a care-taker for the land. Then network in your circles and check if you can help someone. You can even post an advertisement on the owner’s behalf with their permission and negotiate with the buyer or leaser. With careful negotiations, you can earn money via this avenue by just making phone calls. It is mind boggling how you can turn your network into a gold mine if you can address their investment needs and channelize it into a profitable property deal.
If nothing else — it would actually get you more friends and grow your network.
Avenue 5: Get a part-time job:
Ok! So how can you leverage this, without this part-time job eating into your weekend and free time?
There is a twist to this tale, you see! Get a part-time job and hire someone else to do that task for you at a lower rate than yours! Of course, you will need to get the approval of the job owner first. But nothing wrong in asking. At the max he can tell you “No”. Then it is up to you whether you would take it or leave it.
But believe me — Many people who ask for part-timers — are only interested in getting the work done, they really don’t care “who” does it. So, in case the owners / managers have no issues then go ahead — build a team who can take on the responsibility of the task.
Let me tell you the story of an industrious young man, Jignesh — 24 years old who worked as a security guard for a housing society. His salary from this job was paltry compared to the money he is making from his car cleaning start-up.
Things were not always like this for Jignesh. Just two years ago — he was hard pressed for money and could barely make ends meet with the salary from his security guard job. So, he started looking for part-time work and one of his friends asked him to clean cars in the nearby societies for some extra income.
Jignesh was also pursuing his Graduation so he did not have time to devote to this job especially during his semester exams. He started hiring other part-timers to complete his work with the permission of the car owners. This gave him a great idea of starting his own car cleaning business. He went ahead and hired folks who could do this work. Jignesh took on more and more cars and hired more hands to do the work for him. A good database, which mapped all the car cleaning requirements with the details of all the folks from whom he took the job of cleaning cars and also for all the hands who worked for him along with a good website, put him into business over-night. He earns 10 times more from his start-up then he ever earned from the security guard job.
So yes — getting a part-time “job” is good!
Hey! This is it! We are going to fight it out! We are not going to depend on only salaries but explore other sources of income. We are going to create more avenues for revenue! There are many folks out there — whom I have advised regarding Generating more Avenues for Revenue and they are Making Money!
I have listed out only 5 tips here — there are plenty more. Many thanks in advance! Feel free to write to me on email@example.com in case you need someone to discuss your ideas of Avenues for Revenue which would earn more passive income!