Multiple Streams of Passive Income – In the wake of the global pandemic, many people lost their jobs and a part of their income. It has taken a toll on people’s careers. It has also triggered uncertainty, stalled growth, and caused a severe recession. The pandemic meant furloughs and innumerable job losses, therefore, affecting people’s main source of income. If there’s anything that the pandemic has taught us is that everything is uncertain and that it may be the right time to start considering new revenue streams.
Creating multiple streams of income has now become a necessity. Relying on a job for all your incoming cash flows involves high financial risk. Passive income can be valuable during tough times like recession and can be a great additional source of funds. It can keep the money flowing in the event of losing jobs or other financial troubles. It is no longer a luxury.
What are multiple streams of income?
As the name suggests, it means earning income from various streams. These are alternative sources of revenue, other than what you make through your day job.
These are the forms of earning you do not rely on for your day to day expenses. It provides you with additional money to reach your financial goals. This could include money earned through interests and dividends, bank bonuses, money earned from house business, royalties, rent from properties, or any other source of free money.
It not only allows you to have various sources of incoming cash flows but also allows you to be in a better financial position if one of your income sources fail.
Why do you need multiple streams of income?
There are various reasons to understand why multiple streams of income are important. Following are just a handful of them:
Safety net: Relying solely on your salary is not enough. The truth is, our jobs are not as safe as we think. Most jobs involve a risk of potential downsizing. If you solely rely on your salary for your financial needs, you can lose 100% of your income in case you end up losing your job.
Having a savings account or a solid emergency fund helps alleviate the risk of financial failure. Basic knowledge of fundamental personal finance is not only important for entrepreneurs but for everyone.
Someone with multiple streams of income has different sources to rely upon.
Power of leverage: Money makes money. You can use the money earned from other streams to invest in projects and ideas that you find appealing. Having multiple income streams gives you more financial freedom and allows you to reinvest your money and grow your portfolio. You can use income from different sources to test the waters while still having a stable income.
Helps you reach financial goals: You can use the alternative income streams to achieve your financial goals. It could be putting your kids through college, retirement, debt reduction, saving for a big-ticket item, or anything else. Having alternative sources helps you accelerate your financial goals.
Diversification of income: A good broker will always advise you to invest in diversified streams to reduce risk. If you can diversify your investments, why not diversify your income streams? Your most noteworthy resource is your capacity to generate income. Cultivating multiple sources of income allows you to diversify the sources of inward cash flow and helps you make it through economic downturns and financial troubles. It allows you to have a backup plan.
Helps you pay off debt faster: Having multiple income streams can help you pay off your debt in less time. You can use the alternative income sources to pay off your credit cards, mortgage, student loans, etc. By making extra payments on your existing debts, you can avoid paying tons of money as interest. You could later use the money saved to invest in an interesting project or to gain financial freedom.
Take control of your income: Creating multiple income streams can help you take control of your finances. Even if the alternative sources are not enough to cover your basic monthly expenses, it can at least help you avoid unexpected expenses. Eventually, these sources of income could potentially help you fatten up the savings account and could become much more than a mere supplement to your income.
Social Security: The sad truth is that the safety net that our grandparents and parents had will probably be depleted by the time millennials hit the retirement age. This makes having multiple income streams all the more important. The online business you start today or the side hustle you do today has the potential of helping you sail smoothly all the way through your retirement.
Builds wealth long-term: The work you put in today can have enormous effects in the long term and can earn you capital gains. The time, energy, or money you invest today can become scalable and sustainable income generators in the future.
Having multiple streams of income helps you build wealth in the long-term without putting in much effort.
Early retirement: If you desire to retire early, creating multiple revenue streams can be your ticket. It helps you elevate the rate of your investment and savings and compound your income quickly.
While looking for creating alternative streams of revenue, do not get bothered by the level of returns. The objective is to get consistent. First, get in the habit of maintaining a consistent source of income and make it grow with time.
WAYS TO EARN MONEY ONLINE RIGHT NOW
The internet has undoubtedly taken over a very large part of our lives. More and more people are looking for different ways to increase their financial inflows by earning money online.
There are multiple ways to make money online. However, you should be careful of the platform that you choose as some of them might not provide you with work you’re interested in and others might be fake.
Another thing you need to keep in mind is that there are no shortcuts and the internet cannot provide you with instant cash or money without doing any work.
Following are a few ways to help you earn some extra money online.
1. Virtual Assistantship: Virtual Assistants (VAs) are home-based professionals who offer administrative support to businesses, companies, and entrepreneurs.
A Virtual Assistant does all the corporate work from their home. They work remotely with clients and manage their business aspects. Working as a VA, you can either work as an employee or set up your own business.
Some of the areas of work that VAs do include email correspondence, making phone calls, internet research, scheduling appointments, data entry, writing, bookkeeping, editing, blog management, marketing, graphic designing, customer service, tech support, social media management, and event planning.
Depending on your qualifications, you may require some degree of briefing or training to become a VA. If you are capable of working on applications like MS Office and have good communication skills, you can sign up on sites like 24/7VirtualAssistant, Elance.com, eaHelp, AssistantMatch, FlexJobs, VaVaVirtualAssistants, PeoplePerHour, Worldwide101, Zirtual, Ziptask, and so on… Become a Virtual Assistant to Earn Money Onlin
2. Affiliate Marketing: It is relatively a low cost and an easy way to make money. It gives you a chance to earn commissions by promoting someone else’s product or service. You do not require your own service or product.
You earn by promoting other products/services on your social media, blog, or website by posting links with offers. These links ensure you get the credit if and when you deliver a paying customer. The company pays you a percentage of the sales made as rewards. It is a symbiotic relationship where you earn when a visitor on your site uses the link provided and buy something. How to Make Money with Affiliate Marketin
3. Social Media Management/Strategist: Social media platforms like Instagram, Facebook, Twitter, Snapchat are not only a great way to interact with your friends and strangers but can also be used to make money. Social media strategists get paid by companies and brands to boost their product’s popularity.
There is a lot of competition around and online viewers’ attention is constantly shortening. To create posts and videos that can become viral and enhance a brand’s value, creativity is essential. It needs dedication, energy, and time to stay relevant on social media platforms. Hence, you need to engage with the followers and post regularly.
HOW TO BECOME A SOCIAL MEDIA MANAGER
Social media managers are high in demand. With the market getting more and more competitive, companies are always looking for people who are capable and skilled to advertise and promote their products or services over different social media platforms. They need someone to manage their promotional activities. The role of social media managers is becoming increasingly relevant as they are responsible for maintaining the company’s public image and engaging with the audience on their behalf. SMM manages the online presence of a person or a business.
Social Media Managers are like the voice of the company and are responsible for its overall image. They perform tasks like creating engaging content, tracking the latest trends and social media engagement, developing and managing promotional campaigns, etc. They have to develop and come up with ideas and strategies to promote the business.
WHAT IS A SOCIAL MEDIA MANAGER?
A social media manager is someone who creates and/or executes a brand’s/company’s marketing strategy using different social media platforms like Facebook, Instagram, Twitter, and YouTube. SMM helps businesses by growing their communities online and come up with strategies that are directly proportional to the company’s needs and objectives. Social Media Manager studies the market goals and what the clients expect. They have to decide which channel is best to achieve the goals. They facilitate the audience’s interaction with the business by strategically analyzing and posting types of content after considering the latest trends and events that correlate with the clients’ goals and expectations directly.
WHAT DOES A SOCIAL MEDIA MANAGER DO?
Social media managers play different roles. Some of the most important services they provide are as follows:
- Design and implement a social media strategy
- Creating and curating engaging content including images and videos
- Designing promotional campaigns
- Managing ads
- Measure and report campaigns and social strategies using analytics tools
- Engaging with the audience
- Managing, editing, and scheduling posts
- Own content publishing calendar
- Editing, approving, and scheduling posts
- Oversee and plan all paid campaigns
- Monitoring social media using appropriate tools
- Create and maintain partnerships with other companies, brands, and influencers
- Contribute to company’s social media policies
- Contribute to company’s PR Policies
SKILLS REQUIRED TO BECOME A SOCIAL MEDIA MANAGER
To manage the diverse responsibilities, a social media manager is required to develop several crucial skills. They can be an analyst, a designer, a copywriter, a strategist, a customer service rep, a marketer or sometimes play all the roles in one day. You need to constantly develop and enhance your skills to advance your career. Following are the skills that a good social media manager should possess:
- Communication: Social media is a communication platform at its core. It is very important that a social media professional possess good communication skills. As the voice of the brand, they should be capable of jumping on a trending topic or handling customers’ complaints. They should be comfortable communicating not only in writing but also using GIFs, emoticons, stickers, pictures or videos to get the message across in a more engaging way.
They should also be capable of communicating effectively with the collaborators and peers. It is important to discuss the content distribution plan, social media strategy and the impact of their work with the internal stakeholders.
Writing: Writing is an important skill for starting conversations and creating engaging content. A good social media manager is an excellent digital conversationalist and a great copywriter, who is capable of embodying and enhancing a brand’s voice on the digital platforms. From witty social banters to making attention grabbing ad copies, they should be able to produce content that draws out the audiences’ emotions.
Creativity: To stand out in the saturated digital space, a brands biggest challenge is to differentiate. Everybody wants to produce content that is valuable, exciting, and buzz-worthy, but creativity is the key factor in doing so. Social media professionals should be able to improvise. It helps them:
Create innovative digital campaigns.
Create visually appealing content.
Lead productive brainstorm sessions to encourage their team to come up with their best ideas.
Expand brand’s persona and voice.
Data analysis: Social media managers have to analyse the data regularly. They should be able to understand both qualitative and quantitative data to understand the full picture. Being able to develop recommendations, identify trends, and communicating a plan of action is very crucial.
Agility: Social media platforms run fast and even the best thought out and implemented plans can become irrelevant in a very short amount of time. The ability to pivot and catch up with the latest trends, crisis, or opportunities quickly is a requisite skill. Being flexible and agile can help you respond to a crisis decisively. It is important for a social media manager to experiment and shake up different tactics and strategies, to incorporate business changes, adapt to the latest trends, or bounce back up from unexpected or subpar outcomes. Listening to feedback, learning from data, and being on top of new trends can help you become more agile as a social media manager.
Making connections: Building and establishing digital connections and relationships is a core aspect of a social media professional’s approach. Being proactive and creative helps in making new connections. The quantitative audience insights and connections with the followers provide an invaluable understanding of their needs and want. It is important to build the audience’s trust in you so that they pick your brand over your competitors’ and increase their spending on you.
Other skills required by a social media manager are: technical ability, research, time management, organisational skills, Customer care services, and interpersonal skills.
HOW TO BECOME A SOCIAL MEDIA MANAGER
To become more proficient as a social media manager and excel in marketing and content creation, follow these steps:
- Build your social media presence
- Understand analytics
- Build an online portfolio
- Follow brands and companies you admire
- Build connections
- Never stop learning
- Build a social media presence: Before you can take up clients, you will have to build a thriving social media community for yourself. Sign up to all major social media platforms and get familiarised with blogging, graphic designing, email marketing, and search engine optimization. Grow your personal profiles by sharing interesting content and come up with strategies to see if they work or not. You cannot market others if you cannot even market yourself.
- Understand analytics: To determine how the content is performing or how the campaigns are doing, every social media manager relies on metrics and analytics. Analytics allows you to measure the success of your content and identify trends. It includes follower count, page views, likes, impressions, comments, and shares. There are numerous tools available to track these analytics and metrics. Gain experience through internships, education, or other practical roles to become familiar with the tools and review these insights to redesign and revise content strategies and campaigns.
- Build an online portfolio: When applying for the role of a social media manager, you may be required to showcase your portfolio. Whether you perform volunteer work for non-profit organizations, pick up freelance clients, or manage your personal accounts, keeping a portfolio of your engagement records, top posts, and other relevant information will help you during interviews by ensuring you have proof of your experience and qualifications.
- Follow brands and companies you admire: To be able to publish engaging content regularly, you need to be creative and it is not easy to come up with good ideas every day/week. You will have to look for inspiration eventually. Spend time on social media and follow brands and companies that have a successful on-going quality digital presence. You may come across posts or ads that could spark new and interesting ideas. You may stumble upon something that could be of use for your projects. Don’t plagiarise. Just look for inspiration and relevant ideas. Keep track of posts by popular social media agencies worldwide. Follow them and learn from their projects.
- Build connections: Finding clients and building connections can be difficult for even experienced and known social media marketing agencies. Learn where your targeted potential clients hang out on the web, start conversations, and distribute good content that will help you drive the traffic to your personal accounts and sites. Attend networking conferences, functions, and other industry related events. The more connections you generate, the more reach your content is going to get.
- Never stop learning: To stay relevant and motivated, it is important to never stop learning and adapting. There are always tons of new skills you can acquire and new techniques you can learn. You have to keep learning to grow constantly and to keep flourishing. The more you learn, the better you will achieve.
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