The pandemic has affected a lot of people in many different ways. Some of us are simply working from home, some of us have lost their jobs, some of us need to move, and some of us are getting unemployment. Regardless, there may be ways that you can make up for lost income. Here are four ways to save money, make up for lost income, and create new income.
#1. Spend less.
Many of us are probably spending less already and even though this is in a way to make more money, it can have a positive effect on your finances. The less money you have going out, the less money you need coming in to cover bills and necessities. Analyze monthly subscriptions, cancel things you’re not really using or put them on hold, and call companies you work with such as car insurance and homeowners insurance asking for lower rates, especially if your payment is currently due. Many places will offer a lower rate if you simply ask.
#2. Start a side hustle.
Whether you’re working full time or not, a side hustle that’s separate from unemployment or your general income can actually generate quite a bit of money. You set your own schedule and there are plenty of things to choose from such as tutoring, virtual assistant, writing, transcribing, or jobs out in society such as delivery drivers, food delivery drivers, or making and selling things on websites such as Etsy. Read more: 15 best side hustles you can start earning with now
#3. Sell things.
If you’ve been stuck at home for a couple of months you probably have a lot of time on your hands. If you haven’t already gone through all your closets, storage areas, addicts, and basements, now is the time. You can make quite a bit of money selling any unused items, clothing, furniture, and decorations. Make sure the items you are selling are in good condition and research to find out how much similar items sell for. If you choose to ship items, don’t forget to include shipping costs.
#4. File an amended tax return for previous years.
There are refundable tax credits that can reduce your tax liability and result in a larger tax refund if you qualify. If you’re eligible for these tax credits anytime in the past three years and you have failed to claim them or didn’t file a tax return you might consider doing that now. Simply fill out a form 1040 – X and submit to the IRS along with an amended tax return for that year. You’ll want to include any tax credits that you might apply for. These will need to be printed out and mailed with an additional $42 fee but if you qualify, you could receive thousands of dollars in refunds. Find out more here
These are just four ways that you can jumpstart your income and make a little extra on the side. Hang in there folks, we’re almost through this.
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