It’s easy to get lost in the never ending struggle to save money. Most people cut back their spending until they can cut back no more. At that point, they feel like they’ve lost the battle.
They can no longer reduce their expenses, but they still want to be able to save more or balance their budget.
Don’t worry! There is still a way to save more. You just have to increase your income. Despite what some may think, that may actually involve spending money in order to make more money.
I’m here to tell you that’s okay!
Spend Money On Yourself To Make More Money
It may sound horrific and a bit backwards, but at certain times, you must actually spend money on yourself to increase your potential.
So how can you do this and actually make more money? There are a few ways you can spend money on or invest in yourself!
The first way is to get a certification, license or degree that will allow you to increase your income. These items may allow you to get a promotion you’ve been waiting for or get a new job that is the next step up the ladder.
Regardless of what you choose, just make sure that the license, certification or degree that you go after will actually increase your income and chances of better employment.
There is no worse feeling than spending money obtaining a certification to find out it is essentially worthless.
Another way to invest in yourself is to spend money learning a new skill. You don’t have to get a certification to learn a new skill. One example is learning to speak Spanish. Try to find a skill that you want to obtain that will increase your income.
Take a look at those who make more than you in your profession and see what skill those successful people have mastered that you haven’t. Aim to learn how to master that skill and you could be well on your way to making more money.
The third way to invest in yourself to make more money is to invest in your image. Whether we like it or not, many people judge based on looks. This is more predominate in certain professions, but it does happen.
You may need to invest in nicer clothing or a new look. Just don’t confuse investing in your image with getting things you want. Take a look at what is actually needed to improve your image and look for cost effective solutions rather than the pricier looks that you may just happen to want.
Spend Money On Equipment To Make More Money
You don’t always have to invest in yourself to make more money. You can spend money on other things, such as equipment, to help your income grow. This is especially true if you run a business that requires equipment.
So what are some ways to thoughtfully spend money on equipment? If you’re a photographer, you might make more money by buying a more updated digital camera. The better pictures the camera takes, the less time you’ll have to spend editing them!
Another thing to consider updating is your computer. If you spend precious minutes waiting for your computer to load programs or perform tasks, it might be time to upgrade. If you just shave a few minutes off each day and you value your time at a decent rate, chances are you’ll save time with a new computer. Then, spend that wasted time making more money!
Finally, consider updating anything that could be holding you back in your business. Same thing goes for those missing pieces of equipment that could vastly increase your capacity or potential income.
Just make sure to do an analysis to ensure that your new fancy piece of equipment will pay for itself. Don’t stop there though. Make sure it gives you your necessary return on your money, too.
Spend Money On Your Business To Make More Money
Spending more money in your business doesn’t have to just be done by spending money on yourself or equipment. You can spend money on many other factors of your business to help you make more money!
If you’re selling a product or a service, getting more customers is a great way to make more money. You might have to spend some money to advertise your business to obtain those customers.
Spending money to make more money in your business isn’t a problem, as long as you get a decent return on that money. Remember, you need to earn more profit than the money you spent on your advertising, not just revenue.
Software is another great way to make more money in your business, assuming it will increase productivity or sales. Some software will give you more time which you can then use to go make more sales. Other software can help you improve your relationship with your customers for increased sales.
Whatever software you buy, make sure you’re not just buying it for fun. Make sure it has a real business purpose.
If you don’t want to spend money on software or advertising, you might want to spend your money by outsourcing or hiring a new employee. By hiring someone that can get the same job done at a lower price than the person currently doing the job, you’re increasing your margins.
Money Isn’t Just For Saving
Your time is valuable. If you can outsource your easier tasks to someone that you can pay less than the amount you value your time at, it’s a win win for you and your new contractor or employee.
Spending money directly clashes with the thought process of cutting back on your expenses, but sometimes increasing your expenses is actually a good thing. Don’t shriek in horror the next time someone suggest you spend money on yourself, equipment or your business to increase your income.
It’s a viable solution and it can pay off tremendously, often making back several times the amount of money you spent!
What’s your favorite way to spend money to make more money? Do you like to invest in yourself, equipment, your business, or something else altogether? Let me know in the comments below!
Photo by: 401(k)calculator Text added by: Lance Cothern