2-12-06

In a report just released, the Bureau of Labor announced that real wages only grew one percent for the 24-month period that ended after the second quarter of 2005.

That means for most of us, our income did not come close to going up as fast as our expenses.

For the lucky ones, they receive a raise every year. Others aren’t nearly as lucky.

Most of the ones who did receive a raise probably didn’t get enough to cover the increased cost of living since energy prices and the price we pay to buy gas have gone haywire.

That leaves us looking for ways to pay the bills and hurts the consumers as they try to reduce debt or save money. We’re all in this boat unless we’re entertainment superstars or get paid lavish salaries that only a few people receive.

So, what do we do to overcome this?

First off, reduce your spending. Look for ways to cut down on what leaves your personal stash. That means don’t spend as much on wants and try to get better costs on what you need.

You really need to examine your spending habits and cut out all unnecessary expenses such as the $3 cup of whatever at Starbucks, eating out so much and entertainment expenses.

Instead of heading out to the local Cineplex, rent a movie, watch what is on television or something in your collection.

Also, it should prompt you to increase your income. If you have a job and a raise is not in the picture, look for other ways to up the money coming in.

Try to get something going on the side that won’t interfere with your current job.

If you have a hobby or something you enjoy, try to figure out some way to make money off this. Say you do woodworking, offer some of your items for sale either to friends, or go to arts and craft festivals. You might even be able to sell something through ebay.

Signing up is easy. Your junk might be somebody else’s treasure. Do a search for whatever you can sell and find out how a similar object has sold. If there isn’t anybody wanting the object you wanted to sell, find something else.

There are lots of ways to increase your income. Research the subject through the internet or visit the local library or bookstore. This might even turn into something that might turn into a full-time career, if you have what it takes.

Even though income is down, there are more ways to make money now than ever before. People are tired of buying stuff from places that offer poor service. If you can provide good service and help people, you can make money even if you charge more than the discount superstore.

I hope this either helps or inspires you to be creative. Small businesses are the backbone of this country and will continue in that way.