Amid the coronavirus pandemic, it should come as no surprise that real household disposable incomes are set to fall in 2021. What’s more, it’s also expected to stagnate over the next four years, creating one of the worst periods of UK living standards on record.
More specifically, living standards are on course to grow by just 0.3% a year over this parliament, with this stagnation only superseded by the post-referendum inflation spike that was observed between 2015 and 2017.
With this in mind, now may be the ideal time to seek out a viable and lucrative side hustle. But what are the best options for building a second income?
- Blogging
While blogging may not be as lucrative as it was during its halcyon days in the early noughties, it remains a reliable source of both primary and secondary income for individuals.
Of course, it helps if you’re established in a particular field, with travel an especially lucrative niche within the blogging realm.
Once you’ve established your blog as a viable authority in its selected niche, you can begin to sell advertising space to relevant brands and build a viable source of passive income.
You can also publish sponsored content on your blog for a fee, so long as guest authors are able to contribute value to your site and each reader.
- Different Types of trading
If you have a busy and time-consuming day job, you may find that you have little chance to pursue a second income. However, this is where passive income streams can be worth their weight in gold, with the world’s investment markets offering a relevant case in point.
Stocks are particularly ideal for beginners, as they’re often more reliable and capable of providing a secure store of wealth over time. This also tends to deliver long-term gains, particularly blue-chip dividend stocks which have appreciated steadily over an extended period of time.
Other options exist in the market too, including currency trading. However, while the forex market is defined by margin-based trades and inflated leverage (which can lead to disproportionate gains), this entity is incredibly volatile and can cause you to lose more than your initial deposit.
You can get started on your investment journey by finding a licensed forex broker, and one which offers access to multiple markets through a single account (so that you can diversify over time).
- Launch Your Own Business
On a final note, those of you with the necessary time and energy should consider launching a new business venture that can grow and evolve organically over time.
The key is to identify a passion or skill that you’d like to pursue further, while establishing a website and relevant social profiles that enable you to affordably market your proposition.
We’d recommend keeping startup costs to a minimum, with online ventures likely to be the most affordable and in-demand in 2021.
You should commit to growing your business organically, in line with profitability and demand over time.