Nowadays, lots of Filipinos earn decent incomes through online jobs.
Even those in the province can earn similar salaries to their city-based counterparts.
Some even earn enough that they actually have excess cash.
So, a good problem arises — what do you do will all your extra money?
Instead of spending it on frivolous things, here are 5 smart strategies for managing your excess cash better.
Pay Your Debts
If you have any outstanding debts, now is the time to pay some off.
This can help reduce your interest payments, if any.
Also, you get to settle the debts faster and improve your cash flow in the future. This also lessens the stress that comes with debt.
Check this guide as well to pay off your debt faster as a remote worker.
There’s a saying about emergencies:
“When do you repair your roof? It’s when the sun is still shining.”
You never know when emergencies will happen. It’s best to prepare for them while you have extra cash available.
So, try to save at least 3 to 6 months worth of expenses for future emergencies. You can also check these tips to build an emergency fund as a remote worker.
Invest in Income-Generating Assets
If you’ve already got an emergency fund, you can get started on your financial portfolio.
Extra cash is great for investing in income-generating assets to build passive income.
It can be a part-time business, stocks, mutual funds, or anything that can earn you money without too much effort.
Remember though, invest only in schemes that you understand and which suit your risk tolerance.
For starters, you can check these simple investment options for remote workers.
Invest in Yourself
A great skill set is one of the most valuable investments. So, you can use your extra cash to hone your skills.
Enhance your existing skills or acquire complementary ones by attending seminars, courses, and conferences.
For example, content writers can learn SEO management to complement their services.
Graphic designers can also enroll in basic front-end web development courses to expand their working knowledge.
With more skills in your arsenal, you’ll be more valuable to your clients in the long run – and end up with even more extra money.
Also, you can check these reliable websites for learning marketable online skills.
Build a Retirement Account
Still have some cash leftover? You can start building your retirement account.
You can start with small monthly contributions; they’ll grow with compounding interest.
This will provide you with a secure nest egg for your retirement years.
Check out these tips to build a retirement fund as a remote worker.
There, you now have smart strategies for manage your excess cash from your WFH jobs.
However, if you’re still looking for remote work that pays better, you can sign up through Remote Staff for the best online opportunities for Filipinos.
Remote Staff has a database of clients who can provide a stable and long-term income based on your skill level.