Money Bite-Size Read:
- If you’re doing a budget, you may wish you had more money to play with.
- Saving money is important, but you can also earn more money to top up your bank balance.
- Here’s 5 ways to make some extra spending money to have more money to enjoy and put towards your goals.
The Money Bites Take:
If you’ve reached your savings limit, it’s time to look at some ways you can earn money to inject some extra spending money into your budget to spend or save.
We all know it’s important to save money.
Being able to save money and see the savings via a budget is a crucial step to growing your wealth. However, there are limits to saving money. If you want more money to play with in your budget at that point, it’s time to look at your earning power.
More of us are taking on side hustles to make extra spending money.
There is a growing variety of side hustle ideas that you can explore to find a sustainable side hustle for you. Approximately 35% of American workers took on a side hustle to close their savings gap.
The extra money you earn can be something you choose to spend or save. You can use it to boost your emergency fund and ensure you have a financial backstop for life’s uncertainties. You could splurge on new clothes or save up for a house deposit. The choice of what you’ll spend this extra income on is yours.
Here’s 5 ways to make some extra spending money:
1. Sell what you don’t need
In an increasing consumer-focused culture, we have whole houses filled with items we’ve bought or held onto but which we don’t necessarily need or use. Rather than getting frustrated at past spending decisions, instead see them as potential income. For example, you can make money from your wardrobe and start selling second-hand clothes online to spend the money you earn on clothes that you’ll actually wear. Audit what’s in your home and sell what you no longer need.
2. Use your free time
Whether you work full-time or study during the week, most people can find additional free time on weeknights or weekends. You can use your existing skills on websites like Fiverr, an excellent option for creatives to make money from composing music or graphic design. Those with digital skills will love Upwork for freelance work or try Airtasker for more physical tasks like helping people to move house or mow the lawn.
3. Use the assets you have
If you’ve already own a car, you may want to try driving for a rideshare scheme like Ola, or loaning out your car for the weekend. If you’re lucky enough to own your home, you could rent out your home on weekends via platforms like Airbnb. This can work really well if you’re able to stay elsewhere for free or at little cost. Before taking the plunge, check in with your local council or body corporate as well as your insurance provider to ensure you’re compliant with existing policies and covered if it goes wrong.
4. Use your education
If you’ve recently finished high school or tertiary education, you’ll have fresh essay writing or exam prep experience to pass on to students by being a tutor. You can sign up to tutor local students at nearby schools or universities or jump online to tutor students from around the world. This is also a great option for current teachers to earn extra income in the evenings after school.
5. Grow your current wealth
This is a more long-term income generator but investing can be one of the best ways to make extra spending money over time. You might not consider investing as an immediate option, but if you’re keen to learn more and start investing now, you can open an investment account with as little as $5 via a microinvesting app.
Our digitally connected world has opened up possibilities to make extra spending money.
You can pursue most of these options to make more money by using what you already have. So whether it’s selling the things you’ve already bought and don’t need or using the education and assets you’ve invested in, we want you to get creative with how you can earn more money to inject extra cash flow into your budget.