Most people see the practical use of making more money but the truth is that only a few people can actually pull it off. For many people, this feat seems impossible but it’s because those who earn more money do things differently from those who don’t and that is why many people are stuck with the same amount of income without knowing what to do. If you want to earn more money then you have to do things differently so let me share with you some reasons you may be holding your income back.
Number 1: You’re Only Earning Income While You’re Awake
The first reason why you might not be earning the amount of money you desire is that you are only earning income while you’re awake. Some people still find it difficult to believe that it is possible for them to make money while they’re asleep. That is why they work so hard but at the end of the day, they only have little to show for their efforts. Making money while you sleep does not mean that you do nothing, go to bed and expect money to be there when you wake. Making money while you sleep simply means having a passive income source that can generate more income for you.
Passive income is a source of income that you can set up that requires little effort to maintain. The reason why passive income is important is that you may find it difficult to make more money if all you do is work for money without finding a system that makes money work for you. If you are only earning income while you’re awake, it means that the only way to make more money will be to do more work. This does not always work because you have to trade your time for money. It is stressful and it is also not the best way to earn more money. Having multiple jobs simply means that you will have lesser time for yourself leading to you having to work all day.
Therefore, if you want to make more money you should consider creating a passive income source so that you can earn money even while you are asleep. I want you to understand that it will take some initial work and investment to set up a passive income steam and maintain it. Also, it is not a get rich quick scheme that will give you all the money that you need at once. However, if you invest time and energy into building a profitable passive income stream, it can offer you more money now and into the future.
Now, let’s go over some passive income ideas that you can start immediately. First, you can rent out extra space in your house that you are not using. You can also rent out other properties like your car, parking space, bike, and so on. You can also generate passive income online. The options are endless but let me share with you a few specific examples.
First, you can start a blog and monetize it. You can also create online courses where you teach people and get paid for doing so. Finally, you can record your online courses as audio or video or even convert it to an e-book that you can sell online and make more money.
Number 2: You Aren’t Increasing Your Value
Another reason why you can’t earn more money is that you are not increasing your value. The amount of money you can earn is proportional to the amount of value you have to offer. If you work for a company, they will only be willing to pay you if the value you offer is more than the amount they pay you as salary. That means if you want to earn more money from that company, you have to increase the value that you offer.
Let me explain this idea with an example. Most people will gladly pay an extra dollar for a refrigerated bottle of water but they won’t be so inclined to pay the same amount for one from the shelf. The reason why they are willing to pay more is that value of refrigeration has been added to the product. This also applies to why you can’t earn more money if you are not increasing your value.
When you increase your value, you are able to charge more money and people most often will be willing to pay. It is not always difficult to increase your value, you just have to think differently from your competitors. Let me explain further.
The first way to increase your value is to improve the time it takes you to get a job done. This method of increasing your value works whether you are employed or working for yourself. If you work for someone and can get more work done in a short time, you will be seen as more valuable and your worth will increase. Your employer will be willing to pay you more money than someone who delivers the same work but at at a slower pace. If you are self-employed and you are a freelancer, for instance, you will be able to do more projects if you can speed up your delivery time.
Another way you can increase your value is to improve the quality of the service you render. This may require you to learn new skills. For example, if you are a sales representative for a company, you can learn how to use social media for marketing and increase your sales. You will become more valuable to the company this way and they will be willing to pay you more money.
Number 3: You Don’t Analyze Your Low and High-value Activities
You have to understand that not everything you do every day will produce the same amount of results. Some activities have low value while others have a high value. High-value activities are those activities that help you to achieve your goal. Low-value activities are those activities that contribute little or nothing to your goals. If you don’t analyze your low and high-value activities, it will be difficult for you to earn more. Often, we waste time on low-value activities instead of high-value activities.
Many people do not understand that being busy is not the same thing as being productive. If you are busy doing low-value activities, you will not see better financial results. However, doing a few high-value activities will produce more results. Most of the things that we do every day follow the 80/20 rule. This rule states that:
“80 percent of outcomes are driven by 20 percent of efforts.”
Let me explain what this rule means and how it can affect the amount of money that you earn. It means that 20 percent of the activities you do will contribute about 80 percent of your total results. This means that the 20 percent activities are the high-value activities while the remaining 80 percent of the activities will only contribute 20 percent of the result. These other 80 percent activities are the low-value activities.
The number is not the important thing here. What this simply means is that most of the activities that we do every day contribute little to the result we want. If you can analyze your low-value activities and high-value activities you will become more productive and earn more money. Some low-value activities include socializing, having fun, watching TV, and discussing with friends. There is nothing wrong with these activities however if you want to make more money you have to do less of them and focus on the high-value activities. Some of the high-value activities that can help you make more money include planning, making business calls, and creating a new product or service.
The good thing is that it is possible to identify your low and high-value activities thereby, giving you the opportunity to focus on the important ones first. Make a list of all the activities that you do in a day and ask yourself how they contribute to your success. You will find out that some of the activities you do in a day are just for fun and have nothing to do with accomplishing your goals. For example, spending time on social media may not help you make more money but you spend time there anyway. This is an example of a low-value activity. Planning your day and making sales calls can help you increase your sales and make more money. This is an example of a high-value activity.
Number 4: You’ve Imposed Your Own Income Ceiling
You cannot earn more money if you impose on yourself an income ceiling. An income ceiling is the maximum amount of money that one can earn. Most people set boundaries for themselves when it comes to the amount of money they can earn. Because of this, they find it difficult to earn more money once they get to their income ceiling.
The way that this works is that once you make the amount of money you have set as your income ceiling you find it difficult to make more. The reason is that you set your goal income figure and once you reach your goal, you no longer have a driving force or the motivation to do more. It can be difficult to overcome this phenomenon since it has to do with your mindset. Most of the time, people set an income limit because of their background. It is difficult for some people who grew up poor to believe they can make more money so they just impose an income ceiling on themselves.
To make more money, you first have to believe that it is possible. One way to do this is to associate yourself with people that earn more money than you do. This can help you change your mindset about making more money. Once you no longer have an income ceiling, you will find it easier to earn more money and enjoy yourself.
Number 5: You’re Scared of Taking On More Responsibility
Being afraid typically does not produce a good results. When you allow fear to get the best of you, it will often affect your decisions and you may end up making choices that deter your financial progress. Your inability to earn more money could be because you are scared of taking on more responsibility.
There are people who wish to make more money but when they are given more responsibility they shirk at the opportunity. For example, someone who is scared of taking more responsibility will not want to start a new job. They are usually too scared because they believe that they will fail if they do something new. The fear of making mistakes or failing is a major reason why most people are scared of taking responsibility.
However, if you want to make more money you must not run away from more responsibility. Getting more work to do often times is a sign that you have what it takes and taking more responsibility will attract more money. If you want to make more money, you must be ready to develop the courage to take more responsibility. Luckily, like most other fears, you can overcome this fear of taking responsibility by confronting it.
In conclusion, it is always possible to earn more money if you do the right things. You can’t keep doing the same thing and expect to have a different or better result and luckily now you know the real reason why you aren’t earning more money!