How much money you are earning is one of the two key variables if you want to have more money (see Manifesto).
To earn money you need to:
Have things that other people are willing to give you money for.
What can those things be? If you are working as an employee in a company your thing is your physical or mental ability to help your employer earn a profit with his things. If you are a business owner or self employed, your thing is the product or service, that you are selling.
For earning more money there a 3 basic strategies:
- Sell your things to more people.
- Increase the price people are willing to pay for your things.
- Increase the number of things.
Strategy 1 – selling your thing to more people is a good way to earn more money, if your thing is a product or a service. Especially with the invention of the internet this has become a lot easier. It is more difficult if you are working as an employee, because your time is limited.
Strategy 2 is the most applicable for employees. To increase the amount of money your employer is willing to pay to you. You can achieve this by increasing the value, that you are providing to your employer or by changing your employer.
Strategy 3 – is a reasonable advice for everybody, because having more things, that people are willing to give you money means you have various sources for income. This is highly reducing the risk for you in case people are not wiling to pay you money anymore for one of your things.
A special version of earning more money is applicable if you already own money. Then you can give this money to other people and it helps them selling their thing to other people. In return they are giving you back your money and are also willing to share some of their profits with you.
This way of earning more money is called investing and is especially interesting, because you do not have to spend your time for earning money. But it also involves taking risks, because the people you are giving your money to, can lose your money.
Last information, for the sake of completeness – if you do not have money and do not have a thing, find a thing.