The Time to Earn More is NOW

The economy looks bad, but you can protect yourself.

March 25, 2024

1,232 Words | 5 Min 29 Sec Read

A closeup of a US hundred dollar bill (Benjamin Franklin side).

Welcome to another issue of Passionate Income.

Today we’ll be discussing why - with the economy the way it is - it's critical you increase your income. And ideally, sooner rather than later.

Let’s dive in.

This issue is sponsored by us - Passionate Income!

Want to build a business that doesn’t involve cold outreach, slaving away for clients, or having to import products from China?

With a ​Faceless Instagram Page​, you answer to no one. No clients. No customers. No calls or complaints.

Just create content, sell shout-outs, and bank checks.

I should know: I built a 1M+ follower page that generates $1,000+ per day!

Want to see how I did it?

^ And yes, it's 100% FREE ☝️ (no opt-in required)

Over the last few weeks I've been traveling a ton.

The downside is that it's hard to maintain a routine and be productive when you're traveling. The upside is that I've met a ton of people, seen some new places and created the space to think about my biz from a 40,000-foot level.

I've also come into contact with way "everyday" people, as in ones who work 9-5 jobs / are not involved in the entrepreneurship space. And boy, let me tell ya:

They are worried.

In particular, they're worried about inflation, the economy and their finances.

In fact, despite how tense the political climate is in the US right now, I would argue most people are much more worried about their finances than they are who wins the election.

I bring this up because, in past years, my conversations with people about the economy have been neutral. We discussed them similar to how you'd discuss the weather or a concert.

But this time, they've been tense. Emotionally charged. I can see the fear in people's eyes, and hear the anxiety in their voices.

I even had a relative cry as she confessed her dream of one day owning a home was basically dead.

See, economies operate in growth and contraction cycles. Busts and booms.

And as you may or may not know, the period from 2009 to the end of 2021 was the longest and most prosperous growth cycle in history.

Starting in January of 2022, however, things took a turn for the worse.

While I don't want to bore you with endless graphs, here's a small sample of what's going on with the American Consumer in 2024.

First, the Personal Savings Rate has been declining for months on end.

Second, delinquencies on consumer credit cards are climbing every month.

Third, US total household debt is also climbing.

Long story short, people are struggling.

Unfortunately, the short to medium-term outlook for the economy looks bleak.

After months of falling, inflation has ​begun creeping up again​.

In fact, while we're not here to be Doomsday predictors, some macro-economists see ​inflation persisting​ through 2030.

On top of that, the US unemployment rate just ​climbed​ to the highest it's been in two years. Sure, we've been sitting at record lows for a while now. So a small increase isn't a huge cause for concern.

Sadly, history ​shows​ that once unemployment starts climbing, it can continue going up with the momentum of a freight train.

As you likely know, most Americans are already struggling to get by. If people start getting laid off in masse, the economic picture in the US could get ugly.

So what should you do?

First, avoid falling into a victim mindset.

While it's a bit of a cliche, what you put in really is what you get out.

Meaning, if you're constantly consuming content about the possibility of a recession, skyrocketing government debt, etc., it's going to leave you feeling scared and helpless.

While it's true warning signs are flashing left and right, at the end of the day what's happening in the economy is out of our control.

What is in your control, however, is your earning potential.

Given this is a business page, we don't discuss job-hopping strategies here. What we do know, however, is that there's a ton of content that describes how people have ​skyrocketed their incomes​ by switching companies every six or so months.

Along the same lines, depending on your line of work, some people are ​working multiple jobs​ at once in just 40 hours per week (with their bosses none the wiser for it).

Further, if you're self-employed or have a company, now is the time to focus on increasing your income / growing the business.

This might sound a little trite, as most people want to earn more / grow their companies on a continuous, never-ending basis. But with the possibility of persistent inflation through 2030, rising unemployment, and a recession if not depression on the horizon, having cash reserves is critical.

During normal economic times, self-employed people are encouraged to have 6+ months of expenses saved up for an emergency (loss of income).

During bad economic times, however, having 12-18+ months saved up is not a bad idea. Especially if you have dependents who don't contribute to your finances (children, elderly parents, etc.).

Sure, increasing your income / growing your business is easier said than done. If it was "easy" everyone would be rich.

At the same time, most people who work online are severely unproductive.

Despite working 8-10 hours per day, the majority of that time is spent on busy work instead of true revenue generation (which in most cases involves doing work outside of people's comfort zones).

Second, most people work without a sense of urgency, constantly putting (the hard) things off until tomorrow. Except tomorrow becomes next week, which becomes never.

What to do?

In general, most people know precisely "how" to increase their income. The reason they don't do it is because the work required to get them there is uncomfortable (if not downright terrifying).

And because of that, they spend most of their time on unproductive tasks so they can pat themselves on the back for "working long hours."

Make no mistake: Two hours of uncomfortable, needle-mover tasks are exponentially more productive than spending 10 hours on busy work.

In conclusion, today's post is not a tactical one. This is not a "How to..."

Instead, consider this a friendly warning.

While we would love nothing more than a healthy economy, sticking your head in the sand when the alarm bells are screaming can prove disastrous to your finances.

Instead, you're better off hoping for the best and preparing for the worst.

And right now, the best thing you can do to 'prepare' is to increase your income, be careful with your investments and build up an emergency fund.

💡 Takeaway: While nobody knows the future, the economic picture in both the US and most Western countries does not look good. Meaning, if the economy gets worse, the best thing you can do to insulate yourself is to increase your income and build up savings.

🎁 Resources:

Post Of The Day

What'd you think of today's edition?

Reply back with a rating between 1 and 10 to let us know!