The average person who works full-time all year round will earn an annual salary of $50,000. This is a decent amount to live on, but if you want to be able to save for the future and not have to worry about your finances, then you must do what you can now so that in the future, you won’t have any financial worries.
There are many ways that people can increase their earning potential. Here are some that you can follow.
Set Out a Plan of Action.
People love to do things for the sake of doing them, but before you begin something, make sure you have a plan. People who take shortcuts or try to get by without any plans are the ones who are most likely not to succeed. To increase your earning potential, you need to have measurable goals.
When you write down the goals you want to achieve, it becomes easier for them to stick in your mind and become more of a priority.
Once your goals are written on paper, then they are no longer just thoughts floating around in your head; they can now be turned into actions that will help you move forward towards success.
Let’s say that your goal is to have earned an extra $500 before the end of this month. Setting a goal allows you to look back on what you did last month, at what you are doing right now, and then make plans for what needs to be done to meet your goals.
This step is the hardest, but once it has been made, everything else becomes more manageable. Knowing where you want to be in the future gives your current actions a sense of purpose and direction.
People who succeed at anything never do so without having some vision about their future.
Without direction, people will find themselves sinking into mediocrity or, worse, failure.
If you want to increase your earning potential, you need to know how much more money you will need to succeed. The more detailed things are, the easier it will be for you to get there because you will always have something specific in mind that can help motivate and drive you towards your goal.
Do You Have a Step-by-Step Plan?
One key aspect of creating a step-by-step plan is figuring out your priorities. Sometimes, it’s helpful to make a spreadsheet of the pros and cons of particular choices and how they’ll affect your career.
For example, if you want to be a software engineer but don’t know what language to learn first, you can list the languages you could learn, what’s involved with learning them, how long it’ll take to become proficient in each one, and whether knowing this makes sense for your career goals. The more specific you are with your plan, the easier it will be to follow through.
Step-by-step career plans consider all the tasks you’ll need to complete and how much time each will require. If you think about your entire life in terms of a concise timeline, such as years instead of decades, it’s easier to see how certain aspects of your plan can overlap with others.
For example, make time for friends and family, but don’t forget to allow time for work. Each portion of your step-by-step plan should have its section in your spreadsheet.
You can do this same type of planning with any financial goal you may have. Just remember that following through is the key to success—so be sure to keep yourself accountable!
Are You Prepared to Negotiate?
During the hiring process, most companies are likely to offer you a position and a salary. Some people often accept whatever offer is given to them without asking for more money or benefits, even if they feel they deserve it.
Before you accept any job offer, check into the typical pay for that job in your area. If you want to increase your earning potential, it would be a good idea to try and negotiate for a higher amount.
Research shows that only about 39 percent of people negotiate their salaries when they start a new job. Most employers hope that many of those who aren’t asking for more don’t even know how much money they should be making or what they are worth.
If you can figure out what salary you deserve and ask for it, the employer may not immediately agree but showing them that you’re serious about increasing your earning potential could help you get a more realistic offer.
You don’t improve your earning potential until you make a case for why you deserve to be paid more and can prove it with facts, statistics, and previous experience.
Do You Have Confidence?
Many people don’t increase their earning potential because they lack confidence, even when they know they can do better than what they’re currently achieving. When we think negatively about ourselves, it’s hard to feel worthy of what others want or achieve, but our limitations are often just in our minds.
Developing confidence through positive self-talk can help you overcome your fears and begin to see your true potential. It’s essential to believe in yourself before expecting others to believe in you too.
When you begin to think positively about yourself, it will be evident in how you speak and act towards others. People are much more likely to be open to what you say when you feel good about your value and worth.
To increase your earning potential, you must believe that you deserve to be paid more until it becomes a reality.
Increase Your Productivity.
Increasing productivity is the same thing as increasing output while decreasing input costs, which in non-business terms means working smarter and not harder.
The problem with most people is they tend to be lazy and go about their daily tasks the easiest way possible instead of seeing how they can find ways to do things quicker and more efficiently so that they have time for other things later on in the day.
One can do several things to increase productivity at home and work, including getting at least eight hours of sleep a day, exercising to get the blood moving, and increasing energy levels throughout the day.
You can also take breaks to relax, plan your next move, set daily goals for yourself to know what you need to do within a specific time frame, and learn how to prioritize all of your tasks to complete the most important ones first.
You can also increase productivity by learning to say no when someone asks you to do something. If too many things are going on, it will be hard for you to complete your work efficiently. Ensure that nothing is distracting you from your primary goal, and try not to take on any additional work until everything else is finished.
Take a look at 10 Ways to Increase Productivity with Minimal Effort for more tips.
Identify Your Strengths and Weaknesses.
Do you know what your strengths and weaknesses are? Most people don’t realize that identifying these areas is the key to improving their earning potential because they will then be able to use their strengths in whatever field they’re most passionate about while finding ways to improve their weaknesses.
It’s essential to utilize your strengths while also learning how to diminish or work around your weaknesses.
Learning new skills for things you are not good at can seem cumbersome, but it will make you more valuable if you choose a career path where those skills are needed. Find out what you’re good at and enjoy doing, and then work on finding a career that will allow you to use those skills, leading to increased earning potential.
Strengths and weaknesses can change depending on life circumstances and experiences, so it’s important to keep an open mind and remember that you can always start over. As long as you know your strengths and recognize your weaknesses, you will focus on making changes that will allow you to increase your earnings.
Extending Your Network.
Networking with others is vital in increasing your earning potential because it allows you to meet new people who might offer a job or invite you into a professional organization which could eventually lead to increased opportunities and higher pay.
Many people go about their daily lives without ever stopping to think about how they can contact someone influential who can open the door to higher earning potential.
The key is to remember that everyone was once new at their job or in an industry, so it’s not out of the ordinary for you to reach out and contact someone who can help you along your journey towards increased earnings.
It might feel uncomfortable initially, but extended networking is essential if you want to get where you want to be in your career.
If specific people have influenced your life in some way, let them know by sending them an email or reaching out via social media sites like Twitter or Facebook. You never know when someone important might be willing to help you.
Who are the leaders in your industry?
Suppose you can develop a mentoring relationship with them, even on an informal basis. In that case, it will improve your earning potential because they will share their knowledge and insights on how they became successful at what they do, which will give you additional opportunities that were not previously available to you before reaching out to these professionals.
Many people don’t realize that there is a difference between networking and developing a real mentor/mentee-style relationship where both parties benefit from each other. For example, A mentee might talk about their goals and struggles within the industry, and a mentor will share how they overcame those same struggles from their perspective, which helps the mentee succeed.
If you follow these tips, you can make serious strides toward increasing your earning potential. Keep in mind that it’s not about what you know but who you know, so use this knowledge to network with as many people as possible who might be able to help you out on your journey towards increased earnings.
Developing a Professional Side Hustle.
Many people have a side hustle in addition to their full-time career, which allows them to earn extra income. In some cases, this can even add up to be more than their main job or career, which can help them to increase their overall revenue.
It might seem daunting at first to think about adding a side hustle because it could take away from family time or relaxation time. Still, many people can do so successfully by being efficient with their time and only working on this venture in the early mornings (before work), evenings (after work or family time), or weekends.
A professional side hustle can include things like:
- consulting for other companies
- freelance writing
- building websites and apps
- giving fitness lessons
You should also consider taking any skills you already possess (whether you acquired them through formal training or not) and turning them into a profitable side business, allowing you to earn an extra income passively. Some ideas include tutoring services, playing an instrument at weddings/social functions, and selling photos online of your art, photography, or crafting skills.
If you want to increase your earning potential, you must become an expert at what you do.
It would be beneficial if you could develop a reputation as someone sought after and knowledgeable within your field, whether through consulting or speaking engagements.
Take all of your hard work and turn them into tangible results by publishing books, white papers, newsletters, articles, or public speaking.
These are just some of the ways to help you establish yourself as an expert in the industry, allowing others to see how valuable your knowledge is, which will inevitably lead to increased earning potential.
Search for a higher-paying job.
If you are unhappy with your current position and industry, it might be time to search for a new job that pays more.
Start by researching job postings in your area for higher-paying jobs. This will help to give you an idea of what kind of roles are out there because you will likely find jobs that are similar to your current position but pay more.
Also, make sure you check job boards daily for new jobs. Sign up with multiple job sites to ensure you are notified when higher-paying positions become available in your area.
Create an effective resume.
Once you have identified some potential leads, it’s time to start creating an effective resume by highlighting your skills that are relevant to the position, along with any volunteer experiences or unpaid internships that could help you stand out from other candidates.
Don’t forget about all of the wonderful things you’ve accomplished in college, such as sports, academic achievements, leadership experience, etc.
If you don’t feel confident enough to apply for higher-paying positions because you lack the experience or education necessary, consider reaching out to someone who does have this experience. See if they are willing to mentor you, allowing them to share their knowledge with you while also helping you develop valuable work skills that could help your career flourish in the future.
Take Advantage of Free Training Resources.
If you have the time to learn new things outside of work, it’s crucial for your future earning potential.
There are many free online resources where you can find information about anything that interests or relates to your industry or field of expertise.
You can start by taking an online class or watching instructional videos on YouTube to learn something new. Then continue building upon what you learned each day by practicing everything in real-life situations so that it becomes second-nature knowledge instead of just something you learned in the past.
Another way to learn new skills is by finding local workshops or conferences related to your field. These are great resources because they allow you to network with other professionals who might offer additional job opportunities or even invite you to join a professional organization that will increase your earning potential.
The key is taking advantage of everything available to you, both online and offline so that you can begin building upon each new skill set that’s acquired towards an end goal of constantly increasing your earning potential.
We hope that these 10 tips will help you improve your earning potential and achieve financial success. If you think we missed any, please leave a comment below with your tip!
Gabrielle J. Smith is a Human Resources professional, writer, blogger, and mother of three. One of her hobbies is educating herself (and others) about job hunting and resume writing. She has helped many people through her career and continues to share knowledge with the masses in order to help them gain meaningful employment. One of Gabrielle’s favorite subjects is what she has coined “resume tricks,” and she says there are many of them. She has been blogging for the last four years, and her advice has been featured on many important sites in order to help job seekers in their searches. Gabrielle’s advice is always sound and to the point, and she shows no sign of slowing down.