October 2016 - WiseDollar

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5 Ways to Grow Your Side Hustle Income

October 31, 2016 Wise Dollar Side Gigs 2 comments

?Every day I?m hustlin?? is the mantra for many Americans as they go to work trying to make a living.

For many people, their 9-to-5 job makes them enough income to live off of. But others may have to work two, or maybe even three part-time jobs to make enough money to live off of.

Even though many people are?lucky enough to make a comfortable living at?their day job, they may start to look for something to help them earn a little more money for fun things or to work toward their financial goals, and thus, they start a side hustle. It may be a temporary thing to save for a vacation or to pay off student loans. But for a lot of people a side hustle is?a passion or hobby they enjoy doing and make some money doing it.

If you have a side hustle and want to grow it, here are a few ways you can grow your side hustle income.

Network

Network, network, network! If you don?t tell more people about your business or ask your current clients to tell their friends, you aren?t going to grow your business. This doesn?t have to be a huge undertaking. It can be as simple as asking for a referral or having your family and friends to spread the word.

Set Up an Etsy Shop or Facebook Page

The more you put yourself out there and showcase your work, the more potential you have for more jobs thus more money. Etsy is a global enterprise that allows crafters, artists, professionals, designers, and more to sell their goods and services. This has a global audience and can really increase jobs. Creating a Facebook page for your side hustle is another great way to network, show off your product or service, and conduct business.

Charge What You are Worth

This is every side hustler and self-employed person?s struggle. For example, if you only price your beautiful designs at $10 when they are really worth $50, you are shortchanging yourself and your wallet. Don?t overprice yourself, but see what others are charging or what you need to earn to meet your bottom line. People will pay you what you ask if you prove the quality you provide with your side hustle is worth it.

Partner with a Local Retailer

Depending on what your side hustle is, partnering with a local retailer or other small business can be a great way to gain exposure and increase your sales. You may be able to contract for a certain amount. Another option is to sell your work on consignment, or have the store purchase them from you and they can resell them after a mark-up.

Put in the Work

This is a no brainer, but if you really want to grow your business and side hustle income, you have to be prepared to work. If you need to spend nights and a couple of weekends working to produce new materials or filling new orders, then do it.

There are lots of ways and methods to make money on the side. There is no one stopping you from making money in your side hustle?but yourself. I know a lot of people who have turned their side hustle into a full-time business. Utilize your network and resources. Don?t be afraid to ask for help or exchange services in order to gain skills and grow your side hustle income. Do your thing and get your side hustle on!

Do you side hustle? How have you grown your side hustle income? Can you think of other ways to grow your side hustle?

Photo courtesy of: Unsplash

What Makes Vehicles so Costly to Insure?

October 27, 2016 Wise Dollar Insurance No comments

Are you in the market for a new car? You may be considering factors, such as the style, size and cost of the vehicle. You may also be considering long-term costs associated with maintenance of the vehicle as well as its fuel economy. But there?s one more item you need to consider in your list: the cost of insuring the car you choose.

There are various factors that car insurance companies consider to determine how much you pay for your premium. Such as if you need car insurance in Maryland, Gaithersburg since it?s capital the associated risks are increased than surrounding cities. These include marital status, age, driving history, credit history as well as geographical location. However, according to a recent study by WalletHub, the type of car you?re driving also plays an important role in determining the cost of your car insurance.

What Influences Insurers

When it comes to types of cars, there are several factors that go into determining how much premium will be charged.

The following are some points to consider when choosing a car:

The Size of the Car

The size of the vehicle influences the cost of insurance. Smaller cars are considered higher risk to insure since they are more likely to be in an accident. This is because younger people prefer smaller cars and are riskier drivers. Accidents involving smaller cars are also more likely to result in fatalities. This makes small fast cars more expensive to insure.

On the other hand, large cars such as SUVs aren?t cheap to insure either. This is because they are likely to cause more damage to property and other cars when involved in an accident, not to mention they?re costlier to repair themselves. If you want cheap car insurance, you?d be safer sticking to the mid-sized cars.

Value of the Vehicle

High-end cars cost a lot more to replace or repair in case of an accident. It therefore makes sense that high-end cars attract higher premiums. High-end cars produced by foreign companies are especially costly to insure. This is because parts are not readily available locally. It can also be difficult replacing the vehicle in case it is written off.

If you?re looking for cheaper insurance premiums, avoid an expensive sticker price. You?ll also cut back on the cost of your maintenance.

Chances of the Car Being Stolen

When your car is stolen, your insurance will cater (if you have comprehensive coverage) the cost of replacing it. Insurance companies are therefore cautious about covering cars that are common targets amongst thieves. Aside from cars that are easy to break into (e.g. Honda Accord) thieves target cars that they can get rid of quickly. They also target cars whose parts are in high demand.

The Size of the Motor

How powerful is your car? Many people who invest in cars with powerful motors like to drive fast. The higher the horsepower on your vehicle the more likely it is to be involved in an accident. Cars with more powerful motors therefore attract higher insurance premiums.

So, Convertible, Hatchback or Minivan?

To start, you?ll want to take your time researching car insurance comparison sites to see what each vehicle type is fetching premium wise.

Minivans are among the cheapest cars to insure. These cars are commonly purchased by families because of their seating capacity and safety features. Married people with children are also thought to be safer drivers.

Hatchbacks attract relatively low insurance rates. Although they are smaller vehicles, they are affordable and often feature mid-sized motors.

Convertibles are considered high-end vehicles. They are often small and fast vehicles. While not heavily targeted for thefts, the horsepower, vehicle value, and size alone easily give convertibles the highest insurance rate out of these three types of vehicles.

What type of vehicle would you choose? Have you found other factors to influence the cost of insurance?

Photo courtesy of: BKD

5 Ways Credit Cards Can Be Good for Your Budget

October 26, 2016 Wise Dollar Credit No comments

When you think about using a credit card, you might think about them in a negative light. Obviously, running up credit card debt is not desirable for your financial future, so many people choose to avoid cards altogether because of this concern.

However, when used correctly ? and responsibly ? credit cards can be good for your budget. They are actually be a useful financial tool with almost no downside.

If you are trying to decide whether or not you should start using credit cards in your day to day life, consider the following ways credit cards can be good for your budget.

Build Credit Score

This is the point that most people know about, and it is extremely important. Using a credit card, and then paying if off?on time each month, is a great way to build up your credit score. You will be essentially ?proving? your ability to pay off debt, so creditors will be more likely to lend you money in the future for larger purchases like a new car or house.

Save on Interest Rates

Tying in to the point above, you can save money down the line thanks your higher credit score. A higher credit score can help you by securing loans with lower interest rates. You will be seen as less of a risk when you have a good score, which you’ll have built by using your cards responsibly.

Get You Through a Month

You naturally don?t want to have to carry credit card balances for long periods of time, but carrying a balance for just a single month won?t cost you much in interest if you need to work your way through a big purchase. If there isn?t room in your budget for a purchase that you need to make now, using a credit card to give yourself a few weeks of time to put that money together is a reasonable option. That being said, if you don’t know where the money is going to come from them you should steer clear of using that credit card.

Earn Rewards!

Who doesn?t love getting free stuff? If you use the right credit card on a regular basis, you might find that you accrue a variety of rewards that you would not have earned by simply using a debit card. The best part is that this strategy doesn?t need to cost you anything at all, and it won’t as long as you are paying off your statement balance by the due date each month. Look for a card that offers rewards which interest you, like travel rewards or cash back, and make sure there is no annual fee that goes along with it.

Learn Money Management

It can be tempting to have a big credit line at your disposal. But holding a credit card or two is a great way to teach yourself how to manage money properly. You can use your cards to purchase things that are within your budget and you were going to purchase anyway, but resist the temptation to buy things that you don?t need and can?t really afford. Money management is an essential skill to learn and can be easily taught with credit cards.

Do you use credit cards for any of these reasons? Can you think of other ways credit cards can be good for your budget?

Photo courtesy of: Sean MacEntee

How to Know if You Can Afford Borrowing Money for Your Business

October 25, 2016 Wise Dollar Business No comments

Knowing whether you are capable of borrowing money for your business is a vital step in the money lending process that you need to take before looking out for potential lenders.

With so many business loan providers available, from banks and private institutions to small business loan online, determining if you have the resources to make timely loan payments is crucial. Here are some expert tips for calculating your credibility as a small business borrower.

Think from the lender?s point of view.

If you?re looking for a business loan, you need to start thinking about the loan process from a lender?s point of view. Before taking out your calculator, familiarize yourself with some key questions. To sum it up, here are the questions most lenders have in mind when determining whether to approve or deny your application.

Can you pay back the loan?
Will you pay back the loan?
What are you going to do if you can’t pay back the loan?

Sound?s simple, right? However, if you can answer these questions confidently, you?re going to find success with small business lenders.

Loan payback ability.

Banks and alternative small business lenders use several tools to know if a business is a good candidate for a loan, one of which is a debt service coverage ratio (DSCR.) Figuring this out is easy enough. Start by calculating the cash available for your business. Cash available aka cash flow, is the movement of money into and out of your business, which is measured over a certain time period ? typically weekly, monthly, or annually.

On the other hand, small business loan online providers utilize more advanced tools to understand the performance of your business, and most often, there?s no paperwork required. You?ll just need to link your everyday business bank account (and other optional data sources) and they?ll run a swift business health check, which is focused on your cash flow. By using technology to get an in-depth understanding of your business performance, it means that they can give you a decision rapidly.

Loan payback possibility.

Lenders just don?t focus on your businesses? financial situation when determining your credibility. Most also look at you, the business owner, and your financial capability as a person.

Lenders use a tool called debt-income-ratio (DTI) to know your suitability for a loan. They?ll also look at your history of paying bills. If the prospective borrower has a bad record and a low score, he or she will find it hard to get a loan. If you don?t have a good credit score, try shopping around for alternative lenders.

The issue with failed repayment.

You need to answer one final question: What will you do if you can’t pay back the loan? It?s not an easy question to answer since it means admitting a hard truth: what if your business doesn?t work out?

The right answer is a backup plan in the form of capital or collateral ? having assets that the bank can claim if you?re not able to pay up will help. If you don?t have this cushion, lenders may make use of a personal guarantee. Signing a personal guarantee on for your business loan means that, if you can’t pay back the loan via the business profit or capital/collateral, you’ll be required to pay it back out of your own pocket.

Considering a business loan for your small business? If you?re looking for a quick assessment, you may check out a small business loan online portal where you can upload your business information and get an instant response.

Have you ever considered taking out a loan for your business?

Photo courtesy of: jarmoluk

5 Things That Can Cost You If You Forget Them When You Move

October 24, 2016 Wise Dollar Lifestyle One comment

It?s moving day!

Maybe you sold your house, told your parents you are moving out or maybe you’re starting your first “real job” and are preparing to buy a house and live on your own for the first time. No matter the scenario, you are moving on to the next chapter of your life.

Moving can be messy. It can also be emotionally stressful. Whatever the reason for moving; there are a ton of things that need to happen before you do.

The to-do list for moving is long. But what happens if you?ve made your moving list, checked it twice and you get to your new location and you realize your forgot something?

It’s easy to forget things or overlook them when dealing with the stressors of moving. But it’s something you want to minimize if at all possible because forgetting things is expensive!

If you want to avoid costing yourself money by forgetting things when you move, here are some items you should definitely remember to bring.

Important Documents

If you have your passport, medical records, etc., in a lock box in your basement and you forget it, it will cost you to get all new copies if you can?t physically go back and pick them up. Notarized birth certificates and wedding licenses cost per copy plus postage and a notary fee to have new ones created. Be sure to grab copies of your medical records, veterinary records plus your children?s school records before you move.

Kitchen Supplies and Utensils

We all have that one drawer or cupboard we don?t use very much. If you forget to check every nook and cranny in your kitchen, you are bound to leave some infrequently used?appliance or serving dish behind. You may not use that piece much, but when you need it and see it missing you?ll miss it all the more. Appliances are not cheap to replace, and neither is that fancy stoneware serving tray.

Clothing

Clothes easily hide from you even when you aren?t moving. Do you know where that left sock is?

There are jackets and socks that mysteriously get left behind in moves. Replacing a coat in the off season can cost you hundreds of dollars and getting new socks can cost you too.

It may not be that much to replace some underwear, socks and a shirt or two, but that all adds up. Before you know it, you?re blowing your clothing budget on all the pieces you accidentally left behind. Check all the closets and rooms, and the washer and dryer if you are leaving the appliances behind to make sure you have it all before you move.

Home D?cor

This one seems like a trick. You?d notice if you had stuff hanging on the walls right? What about those drapes, curtains or blinds on the windows? You loving sought and bought those, so they should go with you right? Unless you have it worked out with the new buyer or they were there when you rented the place, take them with you. Your taste may change in the new place, but then you can resell them or donate them. Window treatments are expensive. Why spend more to replace them when you don?t need to? Moving is expensive enough without having these added expenses.

Tools

Did you check the garden shed? Things like trowels, rakes, hoes, shears, etc. are small and can be easily overlooked. The new owner or tenant may thank you, but your new place won?t as you look toward reinvesting money into new yard tools or equipment. Replacing a cordless drill is way more expensive than taking one last look around the house and the shed or garage to make sure you’ve remembered everything.

There are many more things that might be lost or forgotten. This is why it’s important to make lists and double check everything and everyplace when you move. It?s inevitable something will be misplaced or forgotten, but you can make sure it?s a cheap plastic cup and not your grandmother?s tea set. Moving is already expensive, don?t make it harder on yourself because you didn?t look to make sure nothing was forgotten.

Have you ever forgotten anything when you move? How do you avoid forgetting things when you move?

Photo courtesy of: Phil Scoville

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