How Diversifying Your Skill Set Increases Your Income

We all would love to continually increase our income. At least, that is how I feel about it. Sometimes that is easier said than done, especially if you work one job. Since companies generally have a cap on how much of an annual raise you can get, this limits how much you can increase your income usually. But there is a way to potentially increase your income at a much faster rate; by diversifying your skill set.

Why Diversify?

Any time you learn a new skill you are essentially diversifying. You are pushing yourself outside of your known box into something unknown. In order to do that your brain has to become a more effective machine at problem-solving.

Therefore, diversifying can not only be a good thing for increasing your income, but also for increasing your problem-solving skills. You may be asking how these two things can be related though.

Any time you learn a new skill you are increasing the thickness of the myelin sheathing in your brain. This white matter protects the large system of nerves that run through your brain, which is what sends all communications to every part of your body.

When you increase the thickness of the myelin sheathing, you are increasing how fast, and accurate, messages travel in your brain. This increases your overall cognitive ability and, therefore, your problem-solving skills become that much stronger.

When you have stronger problem-solving skills, you become much more efficient and effective with any task that you are performing. This happens to translate to the workplace very well.

So by learning new skills, you are diversifying and increasing your overall problem-solving skills. This increases your value exponentially, which can then potentially increase your income.

Increase Your Income

Even if you love your job, you can always learn skills. Learning just at least one new skill can potentially increase your income at your primary job. But how is that possible?

Well, if you learn a new skill that is related to your main career field, then you have just increased your overall value to the company. This is due to the fact that you can now perform another possible job function or can perform your job at a higher level. This increases your value and therefore your worth. So learning a new skill, that you can implement to perform your job more efficiently and/or expediently, can potentially increase your income.
The wiser you become, the more you increase your overall worth in the marketplace. Click To Tweet

Some of the best skills to add into your repertoire for the highest rate of return are:

  • Accounting
  • Bookkeeping
  • Currency Exchange Trading
  • Customer Relations
  • Data Analysis
  • Digital Marketing
  • Excel
  • Graphic Design
  • HTML/CSS Coding
  • JavaScript
  • Mobile App Development
  • Networking
  • PowerPoint
  • Public Speaking
  • Python
  • Real Estate Investing
  • Social Media Management
  • Video Creation
  • Website Development
  • Writing

The Alternative

Another way to diversify your skillset is to start taking on side hustles. Whether you work a primary job or multiple side hustle types of jobs, adding in another can only help increase your income. This is due to the fact that when you add in a side hustle, you are effectively diversifying your income stream.

And when you diversify your income stream, you ensure that you have income coming in from different places. This is extremely helpful because things change all the time, whether we want them to or not. So if we don’t put all of our eggs in one basket, there is a higher change that major changes at a primary job or the market won’t affect us as much.

This is extremely important for overall financial stability, and the way I have done it since I was a teenager. While I realize not everybody wants to take on a side hustle, it is a great way to learn new skills and bring in some diversified income.

Some of my favorite side hustles are:

  • Accounting/Bookkeeping – Quickbooks is what I have been using since the 1990s, but Freshbooks is another great option to help clients manage their accounting.
  • Airbnb & Airbnb Experiences – these are great options if you have extra space or a specific talent to share.
  • Buying and selling electronics – my son has been doing this and made some pretty great returns on his investment, and he is only 14!
  • Real Estate Investing – buy and holds primarily, but crowdfunding, such as Realty Shares, is another great option.
  • Rover – we absolutely love boarding dogs!
  • Selling at Consignment Sales – while you might not make a ton of money doing it, it’s still a pretty great side hustle!
  • Stockpile – learning more about the stock market and the best place to put my funds for the highest potential ROI.
  • Surveys – such as America Consumer Opinion, Pinecone Surveys, Survey Junkie, and Swagbucks
  • Uber and Uber Eats – these can be done on your own schedule, which is great for those of us with a hectic lifestyle.
  • Writing a book or copy – this can even create passive income, which is one of my favorite side hustles!

Diversifying Your Skill Set

As discussed, learning new skills increases your diversity. By increasing your diversity, you can increase your problem-solving skills. When you increase your problem-solving skills, you can perform tasks much more effectively and efficiently. This can make you much more valuable within your primary position, or you can take you down the side hustle road instead.

Either way, the potential to increase your income is there within easy reach because you have increased your knowledge base. By diversifying, you are creating a better, wiser version of yourself. And the wiser you become, the more you increase your overall worth in the marketplace.

Now that you have a better idea of how diversifying your skillset can potentially increase your income, what new skill are you going to set out to learn? How do you think it can positively benefit your overall income?

What are some of the best ways you have found to diversify and increase your income?