Finding ways to increase your income can help if you are finding it difficult to pay your bills. If you have done all you can to reduce your outgoings by applying some of the suggestions on the cut spending page, then it could be you will need to find ways to increase your income in order to balance your books. Generally, though, it is harder to increase your income than it is to cut back on your expenditure.
Changing Employment to Increase Your Income
The obvious things to look at are in the areas of employment. With your own job, can you seek a promotion to a different level which will mean an increase in salary? Do you have skills which might help you find a part-time job to supplement your wage, even if only as a temporary measure? It might mean working for a few hours in the evening after your normal job has finished. It could be something that you can do on the Internet if you can find a niche. There are various ways to increase your income if you take the initiative. That bit of extra income could just be enough to get you by until some of your debts are paid off.
And don’t forget the obvious; asking your boss for a pay rise. If you work for a smaller company you might be in a better position to negotiate a rise than if you worked for a larger company with fixed scales. Your boss might be prepared to offer you an increase if you are a good, reliable worker, rather than taking a chance of losing you and possibly having to train someone new up.
If married, there could be other ways to increase your income. Could your partner find a job for themselves, even if only part-time? It’s surprising how often just a small but regular wage can make a big difference to the family finances. People of working age who are still living at home should be expected to contribute towards the costs of running a home, so work out a realistic amount for them to hand over.
Getting a Job to Increase Your Income
If, unfortunately, you are out of work, as so many are in this economic climate, what steps are you taking to look for work? Someone once said that getting a job is a job in itself. That is so true. There are so many people often all applying for the same position that employers can pick and choose the best. You need to stand out from the crowd. Don’t just rely on the jobcentre, but put your CV on sites where you can register with job agencies, though you need to make sure the agency is reputable. Nowadays there is little excuse for not having a well written CV. There is a range of templates which take you through step by step showing you how to fill in a CV. Send off letters on spec to employers you think might be hiring. If you are interested, say, in retail work, call in some stores on the off chance they are looking for staff.
For some, however hard they try, getting a job seems an impossibility. Younger people are statistically finding it harder to get employment, and the numbers of those who are out of work for 2 years or longer are rising. A new organization has been set up to help bring prospective employers and employees together. It’s called Recruitwork, and they featured on a morning news programme on TV recently. The idea behind Recruitwork is to allow people from all backgrounds and skills to search & apply for a job, create CVs, and obtain advice, which can be very important for those searching for employment. The more avenues you can find to put yourself forward to employers the better.
Take in a Lodger to Increase Your Income
Some people are able to take in a lodger to help ends meet. At current figures you can take in a lodger and receive up to £4,250 without having to pay tax on it. The Rent a Room scheme is open to you whether you are renting or buying your own home, though you should check to make sure you have the necessary permission from your landlord or mortgage lender before going ahead. If you don’t mind the idea of sharing your home and are willing to take in a lodger you could dramatically increase your income. Further reading on the take in a lodger plan can be read on the government’s website on the Rent a Room scheme. You might also be able to take in foreign students.
State Benefits Could Increase Your Income
Sometimes it can be a question of getting financial help you are entitled to, but you don’t know about it. Help by means of government benefits may be available to you, particularly if you are out of work, or in work (or self-employment) and on a low income. The disabled are eligible for additional benefits. Extra benefits are usually available for those raising children up to a certain age. People over a certain age, usually retirement age, have increased or completely different entitlements too. State benefits are one way you might be able to increase your income.
What you will rarely find, though, is that you’ll be told about what you can and can’t apply for. The onus is on you to ask. If you can’t get the benefit then you’ve not lost anything. If you can get financial help then it can make a big difference to you. The majority of benefits are means tested, but don’t let that put you off, just apply.
And don’t wait, benefits can only be backdated for a certain time period.
If you want some advice on benefits then you could visit the Citizen’s Advice Bureau.
Pension Credit
The Guarantee Credit element provides a guarantee of a minimum level of weekly income – currently for single people (£137.35) and couples (£209.70). The individual applying must be over the qualifying age, although their spouse can be younger. Pension Credit is something brought in by the Labour Government years ago in order to provide a safety net. Generally it has worked well, but it is important for those who qualify to know their rights, and to apply for pension credits when due. Unfortunately it is estimated that of those who qualify for this means-tested benefit there are around one third who don’t take it up.
In fact Pension Credit could even rise slightly, as there is the possibility that the basic state pension of £102.15 is raised to the same level as Pension Credit (which is means tested) and rounded up to £140.00. The government wants to simplify pensions and make them more transparent.
For those older in years they should be aware of the Winter Fuel Payment to help them pay for fuel bills during the cold season. This could mean an extra £200 or more (depending on age and other circumstances) so is well worth having.
You may get a Winter Fuel Payment for winter 2011/12 if both the following apply:
you have reached the qualifying age (born on or before 5 January 1951)
you normally live in Great Britain or Northern Ireland on any day in the week of 19–25 September 2011
Those who qualify may get the Winter Fuel Payment paid to them automatically, or they may have to apply.
Certain UK social security benefits are also available to those people working or living abroad.
You might have read about unlocking pensions income. This is where if you have a personal pension, or possibly another kind of pension, it will allow you to obtain an income prior to, or at retirement.
Hopefully some of the above suggestions about ways to increase your income may be of help in giving you freedom from debt.
Quick Boost to Your Income
Students might find some of these tips of use, though most of us can probably make some quick income from them:-
Clear out your unwanted items and sell them. eBay is one of the best ways to sell something you no longer need, and by waiting for the ‘free’ posting days you don’t even have to pay commission on the sale.
With some gadget-type items you could use one of the many websites where they will offer you a certain amount depending on the model, age of product, condition etc. It’s a good way to clear out any mobiles phones, cameras, MP3 players etc and get paid for doing so. All that happens is that you visit the website, locate your gadget and a figure will appear telling you what you can get for it. Assuming you are happy with that offer you will receive a freepost bag; you then send the gadget to the company and some time later you will normally receive a cheque.
Although unlikely to give you a regular income, you could at least gain some boost to your finances in the short term, and be helping the environment through recycling.
Budgeting Tips For Students Video
