As Nigerians, we're no strangers to some challenges anymore such as inflation. Prices of goods and services keep rising everyday. and the money we make is not equivalent to our expenditures. But there's a very good strategy to protect yourself and your family from the harsh effects of inflation, having multiple streams of income

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What are multiple income streams?

In simple definition, multiple income streams mean having different sources of money coming it could be monthly, weekly or daily. This could be a salary or wages from your main job, plus income from a small side hustle, your investments, or a small business you're running. The goal here is to be secure and to have more than one way to earn money, so you're not relying on just one source which can fail or end at any time.

Why are multiple income streams important in inflation?

When prices of goods and services rise, a single income stream can quickly become insufficient to Carter for the bills, But with multiple streams, you can:

Absorb price shocks more easily, possible when there is a high level of inflation to buy something today for $1 and tomorrow you return to get the same thing and the price changed to $2. But when you have the money it's won't really take you by surprise
Maintain your standard of living, people with one stream of income tend to reduce their standards of living when inflation sets in because their earnings are no longer enough to maintain the luxury lifestyle. But with multiple streams of income you can still survive and adapt to changes in the economy because you have different sources of money.
Even growing your wealth over time, when there are multiple streams of income, you can decide to set one aside for striking investment and saving with time you can build wealth .

Examples of multiple income streams

Salary and side hustle:You work, get a job that requires 5 or more hours of your time and still do either a freelance or run a small business on the side. I know of a lady who works in my secondary school then as a receptionist and then she still sells biscuits and other little things students can buy during break time. Another one is Investments, invest in Something, you don't have to have big amounts of money before you invest, debunk the mindset that investment is for the rich. You can invest in stocks or real estate and earn rental income from a property.

How to get started:

Identify your skills: What are you good at? Then you can look for how to monetize your skills and also hobbies.
Explore opportunities there are a thousand and one opportunities out there, don't limit yourself to one thing, explore, learn new things and upgrade. You never can tell the one that will be useful tomorrow.

Start small: Like I said earlier, investment is not only for the rich, the rich is investing before he wants to become richer. Begin with a part-time job or a small side hustle and grow from there.

Be patient: There is always a process to follow when building multiple streams of income, it may take time, but it's worth it in the long run.

Conclusion

Inflation may be a challenging thing to deal with, especially when one is not that prepared, but with multiple streams of income, you can reduce your financial stress and build a more secure future. Don't rely on just one source of income.

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