The previous year was financially rough for so many people, especially after the onset of the coronavirus. Most have been unable to recover and are still reeling from various financial blows. Even though 2021 hasn't offered too much in terms of financial stability, it doesn't mean you cannot find ways to turn your financial situation around. Even if you or your business have managed to survive these recent times, there's no reason why you cannot aim at boosting your financial situation. If you are ready to take your finances to the next level this year, here are some money moves you can consider.
Invest your money
If you already have some money saved, you may be hesitant to invest in anything at the moment, especially when nothing seems inevitable. And that is understandable. However, some experts have suggested that there are some passive income investments worth making this year. These will give you the chance to earn money even while you sleep.
Passive investments help you earn some money on the side while you remain busy with other things. They include investing in dividend-paying stocks, peer-to-peer loans, selling online courses, investing in yourself, and so on. You can even start an LLC if there's a business opportunity you're passionate about. If you're new to the world of investment and don't know where or how to start, you can always seek the assistance of a financial advisor. Such experts will coach you through identifying investment opportunities and making the right financial decisions.
Get serious about saving
If you once doubted the importance of saving money, the current pandemic has probably made it clear how important it is to create some financial cushion for yourself. Many families faced difficult financial situations with no savings to fall on as the pandemic took hold of the economy. Some research showed that in America alone, over 40% of adult males had trouble paying their bills when the pandemic hit.
Although saving money is not a new financial move, it is still very relevant, especially during these times. Financial experts often encourage people to adopt the 50-30-20 rule when it comes to saving up money. The rule suggests that you divide your income in this ratio where 50% of your income goes into paying your bills, buying your groceries, and taking care of other essential living expenses - emphasis on essential. 30% should go into entertainment expenses and other recreational activities. The remaining 20%, experts advise, should go into your savings. However, if you're now starting to save, it is easier to start with a smaller percentage and increase it with time.
Find a side hustle
Finding a side hustle is probably another vital money move you may already know. This article has already mentioned the importance of investing, but that's for those who already have some extra funds. You may be thinking getting another job is a bit too difficult in these trying times. But a side hustle doesn't have to be a new or full-time job. It only involves finding other things that can bring in some extra cash. The internet, for example, offers a wealth of opportunities and possibilities.
You can start a blog if you love writing and get others to advertise on it. You can also create a YouTube channel and get paid for the views you attract. You can take on some affiliate marketing opportunities to promote products on ecommerce platforms to earn some money, or you can put up some of your own stuff for sale. If you have expert knowledge on certain things, you can create an online class and teach. The options are numerous, depending on your expertise or something you're passionate about.
Pick up another specialty to improve your resume
Today, more and more people find themselves spending countless hours at home. And this the perfect time to add a few more lines to your resume. Social distancing, online learning, and remote working have set off some online renaissance. And currently, you can study almost anything you want online.
From free online universities offering free courses to paid options, online courses are growing in number. Now is the time to pick up a few more marketable skills if you have extra time on your hands. You can either rely on your new skills to start earning money on your own, push for a job promotion (and better pay) or give yourself an advantage when (or if) the real world opens up again. Again the options are endless when it comes to what you can study.
Live below your means
Sometimes, mastering the art (and science) of frugal living can be one of the most effective money-making moves. Plus, it shouldn't be too hard, even for a beginner. All you need to do is live below your means. Indeed, many successful and wealthy individuals had to master this money move to create the financial stability they currently enjoy. Don't get it wrong; a frugal lifestyle does not mean adopting a minimalist lifestyle or getting rid of every little luxury you currently enjoy. It only means making the necessary adjustments to your spending habits and being able to draw the line between things you need and things that will only burden you financially.
Take good care of your health
You have probably heard some people say that health is wealth. There is a strong connection between health and wealth in two ways. First, you cannot make money when you are unwell. Secondly, you will end up spending all your money on treatment if you work yourself into ill health. Take the time to invest in your health by taking a lot of rest, eating healthily, and living a very active lifestyle. Giving your body enough rest or taking breaks is essential to helping you recover so you don't break down.
Furthermore, make regular visits to your doctor a part of your life. And follow every health advice they give you to the letter. You can prevent many health issues by making the right lifestyle changes like eating healthily, giving your body enough rest, and exercising often.
Most companies recognize the importance of their employees' health and make leave periods available to them. Keep in mind that ailments can send insurance premiums shooting up. And poor health can quickly force you into early retirement with very little income.
Protect yourself from fraudulent people
Aside from the coronavirus, scammers also took out a lot of victims in 2020. The pandemic created the perfect environment for fraudsters, hackers, and scammers, as more and more people started working remotely. Many people became distracted as they did their best to earn an extra living, paving the way for fraudsters and other opportunists to take advantage.
From 'robocalls' to phishing emails, online fraudsters tricked unsuspecting victims into parting with their life savings. One way to protect yourself from online fraudsters is to avoid opening emails from sources you cannot verify.
Protect your savings by ensuring that your bank always gives you mobile alerts about transactions. This way, whenever there is any activity on your bank account that you're not aware of, you'll be notified immediately. Secondly, avoid responding to online messages from strangers that ask for any form of financial commitment. Finally, if you're active on social media, then be careful about fake accounts and profiles. For example, if you're using Facebook, your safest option will be not to accept friendship requests from accounts you're unsure about.
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