Developing a second Income

Ever heard of putting all your eggs in one basket? Trite expressions are also truisms. Trip with that basket and all is lost. The current economic recession caught many people in exactly this situation. Don’t let it happen to you. Consider the three major advantages of developing a second income stream:

1. Extra money in the budget.

Starting a second income stream often takes time and in the beginning, the financial rewards are generally small. If, however, you can earn enough to help with even one bill, your already tight household budget is that much better off.

The major steps in living a more economically responsible lifestyle are:

– expense tracking,
– budget development,
– spending reduction,
– and saving.

All too often people manage the first three and never get around to putting something away for the future. A second income stream can fulfill that last goal.

2. A chance to make money doing something you love.

Do you have a hobby that you love? Are you having trouble justifying that hobby when times are tough? Can you earn money doing something for which you have a passion?

Almost everyone has their dream job. Maybe you’d love to be a photographer or a full-time diver. Look for a weekend job assisting a wedding photographer or working in a camera store. Can you learn stock photography and start selling your photos online as microstock? Can you get a job at the local dive shop or school or maybe working on a dive charter boat on the weekends?

A second income stream doesn’t mean you have to have another job you dread going to. Look for something you love – haunting garage sales on the weekends – and turn it into a money making endeavor – selling your “finds” on EBay.

3. Open your eyes to future potential.

Often people find their “second” career by first cultivating it as an additional source of income. There are lots of reasons to keep your 9 to 5 job: regular paycheck, health benefits, and a retirement package, for instance. But what you do to earn extra money could open your eyes to the future, to the time after you’ve moved on from your current job. The world is full of stories of people who worked 25 years in one field only to retire and to become highly successful doing what they love. Why not do a little of both at the same time?

Cultivating a second income has the potential to ease your existing budget, allow you to indulge in an activity for which you have a passion, and perhaps develop a plan for the future. It’s definitely a situation where second place wins.