Top 8 Ultimate Productivity Tips to Make More Money

The ultimate aim of every working individual, entrepreneur, or big organization is to earn more and more money. Everyone works hard to achieve this goal. Still, some end up earning more than their co-workers. The same situation is applicable in the case of businessmen also.

There are two kinds of businessmen: one who believes in both hard, as well as smart work, and always be through with their daily to-do list. And others who too work a lot but fail to achieve their daily targets. This is productivity. Higher productivity more will be revenue. The productivity rule not only applies to people, but the same rule applies to our money also.

The major reason for getting up early and going to work is to earn money. There are many jobs where the income is directly proportional to productivity. This includes customer service, sales jobs, etc. In addition to this, productivity plays an important role in the case of bonuses, arrears, and promotions. An employee who finishes all the targets within stipulated time has higher chances of getting promoted than those who fail to achieve the given targets.

If you are an employee and you have a fixed salary, you can still manage to increase your financial productivity. In this article, we have covered a few tips that would help you in adding some extra income to your account. For detailed information, you can browse the internet and read pieces of advice given by financial experts. You just have to type 'what is snap finance' in your search browser and get answers to all the questions related to finance.

Here are a few tips that might help you in increasing your financial productivity.

1. Tax Benefit

One of the major portions of our income goes towards paying taxes. Paying taxes is not only our duty towards our country but also acts as our contribution to our country's growth and development. Hence, paying taxes is very important. However, there are numerous ways where we can reduce our taxable income. This includes putting money in SEP, HAS, Traditional IRA, 403(B), 401(K), and FSA. The money invested in these schemes gets deducted from the taxable income. This gives you a dual benefit, saving more money, and reducing taxes. After all, an easy way to earn money is by increasing the savings.

2. Re Invest

We all know that dividends can be very helpful in paying the monthly expenses like paying the electricity bills, purchasing groceries, medical bills, etc. of the investor. Besides this, the investor can also use the dividend money to pay for a holiday trip, making the down payment of a property, etc. But if instead of using the dividend amount, you reinvest it, then you can earn a lot of money on those dividends. You can either pool your dividends together and use them to make a fresh investment or can reinvest in the same company.

3. High Yield Account

Many people leave their money in the savings account. If there is any purpose (like making a down payment of a house or upcoming wedding) behind keeping money in a savings account, then it's better to leave it as it is. But, if the funds are lying in your account just like that, then you are losing money every day. The interest given in the savings account is very less as compared to other investment options.

High yield accounts are one such option. Most of the online banks are offering these accounts. The interest given in these accounts is far higher as compared to normal checking accounts. Hence, transferring your idle money to these accounts might increase your income by hundreds of dollars.

4. Time Management

Time management is very crucial for investments. The early you start investing, the stronger would be your financial fitness. In the early stages of life, we have lesser responsibilities, hence have higher capabilities of taking a risk. With age, our responsibilities, as well as expenses, increases. In addition to this, by retirement, the investment done during our 20s will give more benefits than the one does in our 30s.

Long-term investments need time to grow. If you want to earn good returns, then you should give your investments at least 7-10 years. Hence, if you wish to save money for buying a house or for your kid's education or your retirement, time management is essential. To optimize the productivity of your savings, start saving as soon as possible.

5. Unitasks

People think that the best way to increase productivity is through 'multitasking.' This means doing lots of things at the same time. Well, studies have shown that this is not true. Our brain can give its 100% when we concentrate only on one thing at a time. It is better to complete one job effectively and efficiently than doing too many things at a time, but not able to complete any of them within the given schedule.

6. Pomodoro Techniques

Focus and concentration are critical in increasing productivity at work. As we have discussed earlier that in many jobs, productivity has a direct effect on the salary earned. Wandering minds is a very common problem among employees. There are numerous distractions at work, including telephone rings, discussion among co-workers, etc. This makes focussing on the work-in-hand quite difficult. As a result, our productivity decreases.

A very simple technique that can help in overcoming this issue is the Pomodoro technique. This is a time management technique. According to this technique, the user should do the work in the intervals. The interval should not be more than 25 minutes, and a short break follows each interval. The technique has proved to be quite useful. The technique has gained so much popularity that even online versions are also available. Numerous websites and apps are available that take care of the timer and other instructions. In addition to this, these apps give visual and audio clues to keep the user on the right track.

7. Cushion Fund

Having a cushion fund is another way to increase financial productivity. Most of us depend on our credit cards to deal with financial emergencies. Credit cards have indeed made our life quite easier, but they have their own disadvantages. With credit cards, we tend to spend more than what we can afford. As a result, we end up in debt. Instead of increasing our savings, we end up paying bills from our savings.

You can save yourself from such a situation by keeping a cushion or emergency fund. You should try to keep at least three times your monthly expenditure. You can keep this money in your online account. This way you can earn good interest on your money till the need arises. The transfer of funds generally takes 2-3 days. Hence, in case of emergency, pay the bill using your plastic money, and once the funds are transferred, pay the credit card bill immediately.

8. Recurring Task Automation

Another way to save your time and money is by automating the recurring tasks. There are certain payments that we have to make every month. This includes credit card bill, home loan installment, car installment, etc. Many a time, we forget about the last date of payment. As a result, a late payment fee/ charge is levied to our credit card account. An easy option is to go for an automatic deduction. This way, the bill will be deducted automatically from your account, and you don't have to worry about late payment charges.

All the strategies mentioned above are quite easy to implement. These tips will help you in increasing your savings. You can use these savings to either fulfill your upcoming financial needs or to make investments for a secure future. If not, no issue, it is never too late. Just write down your upcoming financial needs or the amount that you would need to live a healthy financial life during your retirement period and start saving mon