How to Thousands Every Month
3 months ago I started a challenge to make $20,000 this year as part of the 2017 Flip Challenge (read more about it here, basically a challenge set by Gary Vee to make $20,170 extra this year). Broken down, $20,000 by the end of 2017 was $2000 a month or $480 a week from the date I started.
So far, I have made thousands every month and am enjoying it. It’s easy, I can do it around my kids and it doesn’t require much space or money to start.
How I am Doing
In month one I made $2,750. Month two I made nothing due to travel, hospital and other complications. Month 3 (this month) I made $8,741.38 in this challenge, after expenses.
This makes my total for the past 3 months $11,451.38 in extra money made, plus an extra $1,355 saved (by refunds and reduced rent). New edit – I now make over $10,000 a month. Read how here.
I buy things to resell, sold a few things I had already and did a few other things to make cash on the side. In my first post, I listed a bunch of options and will share more further below, along with some tips. Disclosure, there are some affiliate links for products I use in this post. I only recommend things I personally use.
How to Buy Things to Resell
This month I had 2 big items I sold and a bunch of miscellaneous items including clothes, beauty products and some books. I have listed the prices below after listing fees, the cost of any items I purchased to sell and other expenses.
Sale item 1 – $1,500
Sale item 2 – $5,605
Sale miscellaneous items – $1636.38
Total profit $8,741.38
On Instagram, I was asked to share my tips so created this eBook with everything from what I resell and where I get to, to where I list, how to photograph, post etc. All of it. Here are a few tips.
What Do I Sell?
Clothing I know such as rockabilly brands, other clothing brands such as Cue, Review and brands I know cost over $250 new. I have a selection of books I look out for that sell well, mainly finance, business health non-fiction books.
Kitchen utensils and appliances such as Tupperware and other ‘expensive’ items, certain beauty items (anything from a party plan like Jamberry sells well) and a few times I have bought and sold cars for a profit. Cars are not something I do regularly if the opportunity arises I will take it but I don’t seek it out as I do not know cars.
Basically, I sell what I know I can make a profit from. Some of this comes with time and practice but most of what I have focused on has been items I already knew about so it was easy to spot them and resell them.
Where do I get Items?
I keep my eyes and ears open for opportunities everywhere. Little church associated op shops have been the best for me in terms of cheap items I can flip for a profit. More and more of them are getting people in to value items though or are charging more than the new price for basic stuff.
$2 racks and bargain basements for second-hand stores are the next options and only occasionally do I hit up garage sales (mainly because in winter there aren’t many here, nor are there many in the CBD).
Years ago I also got items from hard rubbish or items people put out on the kerb to throw away.
When I am looking, it’s easy as I know what I am looking for so I don’t spend a long time doing it. I can go into a store, scan through rather quickly and leave. As you get used to it, you will be able to do it faster too.
I don’t go out of my way to look for items to sell. Generally, I pick up items when I am already out or if I am visiting an op shop for another purpose. I am sure I could make much more if I dedicated time to it, just like anything else!
How do I Know What Will Sell?
Do a quick search on eBay. Search the item you want to buy to sell, check sold listings to see if it sold and for how much. If it’s a good price, it’s worth getting. If not, don’t do it. I have also stayed within areas I know well so I don’t usually need to look items up.
Where do I Sell Them?
Facebook Marketplace and niche selling groups on Facebook have been the two best ways I have sold. Next, Gumtree.com.au and ebay.com.au.
With Gumtree it is hit and miss. Items such as cars and furniture did better there. Clothing attracted creeps on Gumtree. Cars attracted a lot of dodgy people. If I listed on Gumtree, I always met the person buying the item in a public location, not my home.
How do I List Them?
I take photographs of the item from different angles in good light with a clean background using my phone. Often this is on a piece of card, my freshly made bed with a white sheet or on my wood floors.
Add a new listing on eBay via the eBay app, add a clear description, include the fact you are selling other items, try to offer fast and free postage (as in free postage and item posted within 24hrs of sale) for better results too.
Most items I list with an auction option and buy it now or buy it now only if I don’t want to wait. Most people buying tend to want what they are buying now and they want what they perceive to be a bargain so free postage helps. I price based on what similar items are selling for.
Using the eBay app I can list items in under 3 minutes. Most clothing I sell has sold for over $50 and cost less than $2. Not a bad return.
How do I Store Items I am Selling?
I live in a tiny, and I mean TINY, 2 bedroom unit in the middle of Melbourne. Storage and space are two things that are already lacking. I have a section in my wardrobe or a suitcase I store items I am selling, depending on how much stock I have and how into it I am at the time.
I hang clothes in my wardrobe on one end or roll clothes and store them in the suitcase. I tend not to have big, bulky or awkward to store items so all clothes roll and fit neatly.
For books, I have a dedicated shelf on the bookshelf for books that are for sale. Funnily enough, I have sold books to people visiting my home this way. I would have given it to them, but they insisted on paying.
Other Income Options
Buying things to sell isn’t the only option to make extra cash. You could rent a room to a boarder or list a room on AirBnB, rent your garage for storage or to a local business, check out how to make your mortgage pay for itself.
What skills do you have which you can amplify such as freelance writing, admin skills can see you become a virtual assistant, blogging has been a great source of income for me, offer ironing, clean houses, mow lawns etc.
22 ways to make money on the side has ideas I have tried over the years too.
Basically, get out there and hustle. How do you want to spend your time? What has the highest return on investment for you (both in time and money)? Do that!
Tips For Saving More
Hustling and making more money is one thing, but saving what you make and finding other ways to save money will help too. In my first month of this challenge, I saved $4,500.11 by selling stuff, getting a few refunds, paying less rent (full details at the bottom of this post).
1. Save All the Extra Money
Any extra money you make which hasn’t been included in your regular budget could be put in a savings account or split between savings and debt. I say split it because you need an emergency fund of savings and if you have debt, you need to pay that off fast!
I use ING for this and at the moment they have a $100 sign up bonus if you use my code CNW116 (disclosure – we both get money and I am giving some of the cash I make from this site away soon).
2. Round Down Your Accounts
Every time I log in and check my banking I round the accounts down. If my everyday account has $104.33 in it, I’ll transfer the $4.33 to my savings account. These small amounts add up over time and can help with your savings without taking a huge chunk at any time.
Many banks offer this as an automatic option now or you can sign up to services such as Raiz which will invest this for you, potentially helping you increase your income further.
3. Compare And Save
Get the best deal on everything. Go over all your expenses e.g. mobile, internet, home phone, electricity, gas, water, health insurance, car insurance, pet insurance, home and contents insurance, whatever insurance you have, any regular bill you pay for, you need to do a comparison.
A quick search on Google will tell you if you could save more money by switching providers or ask your current provider for a better deal. Try these 31 ways to make and save $200+ to get you started. Also, read how I saved over $4,000 in my annual financial review.
4. Check Your Discounts
If you are on a pension, have a health care or seniors card, are you getting all the discounts and benefits you are eligible for? Check a list here (it is dated, but most information is relevant).
Always check Groupon on entertainment, beauty, food etc. Waxing, laser hair removal, dental treatments, car services and more can be found there. You can check the reviews and do a Google search to make sure the offer is with a good company, saving you loads!
Are you a member of all VIP and loyalty program? Check our list plus read the comments as people are adding more there. You get birthday vouchers, discounts, freebies and more.
I love how this challenge is going. It’s motivated me to look at things differently, find other ways to save money and it’s helped my finances a lot. If I do another month like this one, I’ll hit $20,000 well before my end of year deadline
What are you doing to make and save money?
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