3 benefits of having multiple sources of income

With JobKeeper payments being reduced, many Australians are struggling to survive financially. Individuals have either been made redundant or lost their jobs due to the pandemic this year. The importance of planning ahead has been paramount during these unprecedented times, and looking at ways to diversify your income can help you survive in this economy.

One study found that 1 million Australians have a second job and this may be because they are wanting to boost their income or pay off debt. With side hustles becoming an attractive option for individuals, having multiple sources of income is not a bad idea if you want to reach your financial goals even faster.

SkillsTalk go over three benefits that come with having multiple sources of income and how upskilling can help you secure other roles outside of your usual day job. 

1. You have financial stability.

One of the benefits that come with having multiple sources of income is that you'll have financial stability. You don't have to rely on one job to pay your bills as you can split your money towards savings, holiday or anything in-between.

For instance, you could be working as a full-time copywriter at an organisation but have a side hustle in social media marketing as extra income. By having skills in other areas that are similar to your line of work, it can help build your professional network as a freelancer. This could work to your benefit, especially if your intention at the end of the day is to be self-employed.

In the age of COVID-19, it's important to have an emergency fund so you have buffer money to fall back on incase you're made redundant or lose your job. By having one, you avoid the situation of taking out funds from your super or experiencing financial stress.

2. You get to use your other talents outside of work.

Have you ever wanted to explore your creative side? Are you keen to start your own side business? By earning income through a side hustle or second job, you get the opportunity to explore other talents outside of your usual day job. By making the most of your other skills, you venture out to career opportunities that you may not have considered before.

For example, you may be great at coding but work outside of the IT industry. You can take advantage of picking up a side hustle where your expertise is needed. By studying the ICT40120 - Certificate IV in Information Technology (Programming), you could add a competitive edge to your current skillset with a qualification, which can help increase your clientele if you do coding on the side.

3. It helps you get closer to your financial goals.

Find that your paycheck can only stretch so far? Having multiple sources of income can help you reach your financial goals much faster. 

The benefit of working a side hustle is that you have more disposable income to play with. You put yourself to an advantage because the money that comes from working outside of your day job gives you more wiggle room to do more financially. Depending on your situation, you may want to accomplish the following:

• Boosting super: while retirement seems to be a while away when you're in 20s, it's good to start early and top up when you can. By having access to multiple sources of income, you can easily boost your retirement savings. You can even take advantage of financial initiatives like the First home super saver scheme if you want to save for a house deposit and avoid paying for Lenders Mortgage Insurance (LMI). 
• Moving out: this is an exciting milestone for all young adults but it surely can be expensive if you're not prepared. Earning income on the side can be beneficial if you're still living at home as you can bank what you've saved. So, when the time comes where you're ready to flock the nest, you'll have enough money to splurge on furniture and the associated costs that come with moving out. 
• Emergency fund: it's better to be safe than sorry, so having an emergency fund in place is a must. By having different income streams, you place yourself in a position where you can avoid financial stress since you don't have to depend on your day job's income entirely. You'll have other income you can fall back on. 

Turn your side hustle idea into a reality

If you're interested in having a side hustle outside of your day job, it's important to have the right skills and knowledge in place. With Upskilled having courses spanning in business, community services and IT, you can work towards a qualification that can help boost your chances of earning extra income.

Get in touch with one of their friendly education consultants by calling 1300 009 924 and enquire about an online course today!