In these moments, a stocked emergency fund can ease your stress and keep your finances healthy. Read on to learn what an emergency fund is, plus essential tips for building and managing your money reserves like a pro.

What is an emergency fund?

An emergency fund is a store of cash that’s earmarked for surprise expenses. You keep the money on deposit, but ignore it until something unexpected happens, such as: 

• Job loss 
• Work furlough 
• Illness or injury
• Sick or injured pet 
• Car accident
• Damage to your home 

Each of these circumstances comes with an income loss or increased expenses. If you lose your job, for example, emergency fund cash can supplement your unemployment income. That keeps the bills paid until you find a new opportunity. Or if your dog gets sick, you can pay the vet bills out of your emergency fund — rather than using expensive credit card debt.

More than 60% of Survey Junkie members already have an emergency fund, and saving more for one is their top financial goal, ahead of retirement saving, debt repayment, padding a vacation fund, and saving for big-ticket items. 

Why now is the time to save 

Generally, now is always the best time to save to an emergency fund. Why? Because bad financial surprises are unpredictable. And so you have to assume you may need extra cash at any moment.

But in today’s economic climate, there are added reasons to start saving now. These include: 

• High interest rates: Cash savings rates are stretching above 3% APY. You want to take advantage of those high rates because they won’t be around forever. Just a few years ago, you were lucky to get 0.50% APY on your cash deposits. 
• Looming recession: Many economists predict a mild U.S. recession in 2023. Recession increases the chances of job layoffs. You want to be prepared for that possibility.

The benefits of an emergency fund 

Having money available for unexpected expenses delivers serious benefits, including improved financial strength, peace of mind, and vital experience practicing financial discipline.  

Financial strength. First and foremost, you are stronger financially with cash on hand. When you have the money to absorb emergencies, you spend less on credit cards. That spares you from interest fees and other bank charges down the road. 

Peace of mind. You’ll also be confident you can handle a huge variety of financial situations. That peace of mind is priceless. Imagine facing the possibility of job loss. With no extra money available, you will also worry about losing your home or ruining your credit. A good emergency fund balance minimizes your stressors in those tough situations. 

Financial discipline. Building a reasonable emergency fund balance takes time and discipline. Flex those muscles long enough and they become a habit. And that habit of saving is the key to achieving any financial goal. 

How much money should you have in your emergency fund?

Experts recommend an emergency fund balance that’s enough to cover three to six months of your living expenses. If you don’t know your living expenses, start by adding up your annual net income. Divide that number by 12, and then adjust as needed. Common adjustments include:  

• Adding expenses you charge on credit cards. Credit cards allow you to spend more than you make. For a true sense of your living expenses, add back what you charged to your cards.
• Adding back expenses that are deducted from your paycheck. Retirement contributions and health care expenses are the big ones. 

If you make an average salary of $60,000 annually, you probably spend about $48,000 a year after taxes. In that case, you would target a minimum emergency fund balance of $12,000 to $24,000. 

Surprised by the size of that range? You’re not the only one. While 69% of Survey Junkie members contribute regularly to savings, more than one-third (38%) have less than $1,000 on deposit. Still, some are hitting and surpassing those balance thresholders. The table below shows the breakdown. 

Table data source: Survey Junkie.

How to build an emergency fund 

Knowing you need an emergency fund is one thing. Understanding how to create that fund is another. To get you going quickly on this new phase of your financial evolution, here’s an easy step-by-step plan for building up your money reserves.

1. Plan 

First, set a starting goal. This could be the three months of living expenses balance, but it doesn’t have to be. If you’re not in the habit of saving yet, set your sights on a lower number — say $1,000. 

Second, determine how much you can save. If you follow the 50/30/20 budget practice, 20% of your budget is allocated to savings and debt paydown. Most of that 20% is probably earmarked for debt paydown and retirement. Still, you might allocate 5% for your emergency fund. On a $48,000 annual budget, that’s $200 a month. 

The last step is to set a timeline. If your initial goal is $1,000 and your savings budget is $200, your timeline is five months. After you reach that first goal, set another one and repeat the process. 

Note that you don’t have to set a monthly savings goal. A daily, weekly, or annual goal may work better for you. It mostly depends on how often you get paid and your personal spending habits. Across the Survey Junkie community: 

• 8% set daily goals 
• 31% set monthly goals
• 13% set yearly goals 

Sadly, 48% of Survey Junkie members don’t set savings goals. 

2. Implement 

Implementing your plan is easy if you use automation. Set up automatic transfers from your checking account to your savings account. Time those transfers to happen the same day your employer deposits your paycheck. 68% of Survey Junkie members contribute to their emergency fund on a regular basis.

3. Increase your income 

Adjusting to your new savings practice is easier if you find ways to increase your income. A simple option is to join the Survey Junkie community. Do so to earn money for sharing your feedback on reputable brands and products you may already use. 

Other side hustle ideas include: 

• Freelancing on gig sites like Fiverr
• Selling handmade crafts on Etsy 
• Transcribe documents from home 
• Tutor remotely to students around the world 

You can funnel the extra income into your checking account. That will help relieve the sting of those automatic transfers into your emergency savings.  

4. Monitor progress 

Check your progress against your goal every three months. Even if you’re saving automatically, this check-in is important. Give yourself a few minutes to feel proud of what you’ve accomplished. Think of your growing financial strength and how it will benefit you going forward. 

If you’re falling behind on your plan, uncover why. It’s usually one of two things: bad luck or poor decision-making. 

Be honest with yourself here. You might have trouble controlling your spending. In that case, try working on a cash budget. Once your cash runs out, that’s your cue to stop spending money.

5. Avoid new debt 

While you are working to live into a new budget, avoid new debt. New debt masks overspending and makes it harder to save. Whatever funds you had budgeted for the emergency fund may have to go to the credit card company instead. 

Where to keep your emergency fund

The normal practice is to keep your emergency fund in a savings account where you earn a competitive interest rate. In the first half of 2023, a competitive interest rate is something more than 2.5%.

It’s also smart to keep the money in a savings account that’s not too accessible. You want it linked to your checking account — but consider using a different bank. This way, money transfers between your two accounts aren’t instant. If access to the cash takes a few days, you’re less likely to spend your emergency savings on an impulsive purchase.  

When to use your emergency fund

Plan on tapping your emergency savings for sudden, unexpected changes in your income or expenses. You might use the money to cover your rent after a work furlough. Or it might pay your insurance deductible after a car wreck.  

Once you have $10,000 or more saved to your emergency fund, you may want to use some of it to repay high-rate debt. Alternatively, you could pause your emergency fund deposits temporarily — and redirect that money to your debt accounts instead.

Do not use your emergency fund to take a nice vacation or buy yourself a new car.
Those items are separate savings goals. You can pursue them in the same way you save for emergencies — but using different funds. For example, you might budget $200 monthly for your emergency fund and, separately, $100 monthly for your annual vacations.

Ready for anything with emergency savings 

With money on hand, you can manage through financial upsets without lingering damage. Even better, the process of building an emergency fund teaches you critical money management skills. If you can set a goal and save over time to achieve it, you have the know-how to repay debt, save for a down payment on a house, send your kids to college, and retire comfortably. 

It’s exciting to have that know-how. Today you are saving for emergencies. And tomorrow? Who knows. You may be working towards retiring young with a full seven figures in the bank. 

The post Why Now Is the Time to Save for an Emergency Fund appeared first on Survey Junkie Blog.

So, let’s get you ready to change your finances for the better this year. First, we’ll walk through a few ideas for side hustles. Then, we’ll do a deep dive into smart ways you can deploy your newfound side hustle income. 

What is a side hustle?

A side hustle is part-time, income-producing work you do outside of your full-time job. Side hustles can be an in-person or part-time gig with set hours and taxed wages. Or, they can be more flexible work you do in your spare time. Either way, the usual goal is to make extra money. 

Examples of lucrative side hustle ideas

Side hustle ideas usually fall into two main categories. You can either perform independent tasks in your spare time for money. Or, you can deploy assets you own for passive income. These categories can overlap somewhat, too. Ridesharing is an example — you must actively do the driving, but you also need the car to do the job. 

Task-oriented hustle ideas 

• Online surveys: Join the Survey Junkie community and make money for sharing your opinion about products and services via focus groups and online surveys. 
• Freelance writing or graphic design: Promote your writing or design skills on gig websites like Fiverr and Upwork to land freelance projects. 

• Blog creation: Launch a blog and write about topics you enjoy. You can make money via advertising.  
• Yardwork: Network with your neighbors to make money for mowing lawns and pulling weeds. 
• Craft sales: Make unique crafts in your spare time and create your own business by selling them on Etsy. 

Asset-based hustle ideas

• Short-term rentals: List a spare room on Airbnb to secure short-term tenants. There are some 2.9 million hosts on Airbnb, making it one of the more popular hustle ideas. 
• Ridesharing: Make money giving rides for Uber and Lyft. 
• Selling used goods: Make money by selling your old clothes, tools, or furniture on apps like Mercari. You could also offer the same service to friends and family for a commission on every sale.
• Storage space or parking space rentals: Earn extra income by offering up empty space in your garage as a storage rental. You could also lease an unused parking space in your driveway.

Choosing a side hustle

Let your interests and your scheduling requirements guide you to the right side hustle idea. First and foremost, you must enjoy the work. If you don’t, you’ll have trouble staying motivated. Secondly, the hustle must fit into your lifestyle. If you can only work from home after you put the kids to bed at 9 p.m., for example, ridesharing isn’t an option. 

Once you land on the right gig, start planning the best uses for your new income stream. It’s fine to reward yourself a little at the beginning, of course. But you’ll want to buckle down and use your side hustle income to improve your finances. That way, you won’t always need a side hustle plus a full-time job to get by.  

Deploying your side hustle income 

Use the waterfall outline below as your guide to a richer future. Here’s how it works. You start by addressing the top priority, which is balancing your budget. Once you achieve that milestone, use remaining side hustle income to address the second priority. If you still have extra income left, move to the third priority, and so on.  

1. Balance your budget 

Your budget is unbalanced when you’re spending is higher than your income. The only way to survive with an unbalanced budget is to borrow to cover the shortfall. As a result, you’ll see your credit card balances gradually rise over time. 

To tackle this issue, sit down and analyze your expenses over the last six months. Find out where you’re overspending and by how much. Look for opportunities to cut back. 

Your side hustle earnings can raise your income to match your spending, but this is a short-term solution. You don’t want to depend on having two jobs forever. For that reason, you must also reduce your living expenses. 

Focus on your food, housing, and transportation needs. These areas can offer big savings opportunities, if you’re willing to change a few habits. Cook more and dine out less. Consider relocating to a smaller place. And, if it makes sense, downgrade your car or take public transportation more often. 

2. Knock down debt 

After your budget is balanced, use your side hustle income to pay down your debt. Credit card debt is particularly toxic to your finances. With low minimum payments and high interest rates, these accounts are difficult to repay. 

There are two primary schools of thought on how to repay debt. The cheapest approach is to make larger repayments on your highest-rate debt and minimum payments on everything else. This reduces your ongoing interest charges. 

It may be more motivating, however, to tackle the lowest debt balance first. In this way, you repay an entire account faster and eliminate one monthly payment. That frees up more money to make larger payments on the remaining accounts. 

Depending on the structure of your debt, one approach will stand out as the more sensible strategy. Whichever it is, set your plan in motion and stick to it. 

3. Build up your emergency fund 

A sufficient emergency fund balance protects you from charging up those credit accounts again. When a surprise expense pops up, you can cover it from your cash on hand. It’s only when you have no cash available that you must pull out the credit card. 

From a numbers perspective, it’s smart to put your side hustle income into an emergency fund only after you’ve repaid your high-rate debt. This is because you pay a higher rate on your credit card than you earn in a cash savings account. 

Also, if you’ve worked hard to pay down your debt, you’re in the habit of sending that money somewhere. Once your credit cards are repaid, it’s an easy transition to redirect the funds to a high-yield savings account.  

4. Invest 

You’ve repaid your debt and saved up enough cash to cover six months of your living expenses. Now what? This is where your real wealth journey begins. You’re ready to start investing. 

Different ways to invest money

When you invest, you are deploying money with the expectation of earning a profit. Investing is most associated with the stock market, but you have other options, too. 

1. CD Funds

You can get a higher yield on your cash deposits by agreeing to leave your funds untouched for six months or more. You do this by opening a certificate of deposit or CD. These are issued by banks and credit unions and insured by the FDIC or the NCUA.  

Shop around for the best rate and term. And once you commit, leave your CD funds on deposit at least until the term ends. You’ll pay a penalty if you withdraw the money earlier. 

2. Professional development

Famous investor Warren Buffett has said, “Investing in yourself is the best thing you can do.” 

Depending on your line of work, an investment in professional development could provide very strong returns. Could you improve your ability to make money at your full-time job with another degree or professional certification? Or, could added training help you turn your side hustle into your primary income stream? 

3. Exchange-traded funds (ETFs) 

ETFs are portfolios of investments that sell ownership shares to investors. Those shares trade throughout the day on a stock exchange. This is different from a mutual fund, which settles trades once daily. Also, many mutual funds have minimum investment amounts, while you need only to buy a single share of an ETF. 

ETFs are generally less risky than individual stocks because they are diversified. An S&P 500 ETF, for example, gives you exposure to 500 different stocks. In aggregate, those 500 stocks will be less volatile than any one single stock. 

If you’re new to investing, start with low-fee index funds that invest in large, well-established companies. Many of these companies pay dividends, so these ETFs often provide a new passive income stream, too.

4. Stocks 

If you have a financial background and enjoy research, you can invest in a portfolio of individual stocks. As with ETFs, it’s wise to stick with mature companies to start. You should also own at least 20 individual stocks at a time, so you’re not overly dependent on any one of them. 

With ETFs and stocks, you can invest a set monthly budget in the assets you choose. This is less risky than investing a large sum every six months or so. 

And, if you use a brokerage like Robinhood that supports fractional investing, your monthly budget can be very small — as low as $1 a trade. Rather than spending $100 on a single share of Amazon, you can buy one-tenth of a share for $1. In this way, you can build a diversified portfolio of stocks for as little as $20 monthly.

Investing in ETFs and stocks is itself a side hustle — albeit a long-term one. Plan on keeping your money invested for at least five years. If you earn dividends, reinvest them unless you absolutely need the extra income. 

5. Real estate 

Owning real estate is also a side hustle, as well as a proven strategy to build wealth and make money. The most common approach is to buy property you can rent out. The trick is to make sure your rents will exceed your expenses, including the mortgage. That gives you another income stream you can reinvest elsewhere. The property should also appreciate over time, which increases your equity and net worth.  

5. Alternative assets 

You can also invest in various “alternative assets.” These include things like gold, bitcoin, collectibles, and private equity. Private equity is ownership in a company that is not publicly traded — like, say, the coffee shop your neighbor owns. 

Alternative assets are best suited for experienced investors. There are opportunities to make money, but these assets can be very unpredictable. For an example, look up how bitcoin’s value has evolved over the past three years. 

It’s also important to note that investments like collectibles and private equity have no pricing transparency. That means you don’t really know what they’re worth until you try to sell them. 

Side hustling right 

A side hustle you enjoy is a smart way to earn extra cash in your spare time. Choosing the right side hustle is your first decision to make. But a fast second decision is your best use for that new income stream. 

Balancing your budget, paying down debt, padding an emergency fund, and investing — in that order — are smart money moves. Imagine how much stronger your finances will be when you can accomplish those milestones. You will forever remember the day you decided to side hustle as the start of something big!  

The post How to Invest Your Side Hustle Income appeared first on Survey Junkie Blog.

Yes, those are big challenges. But they don’t have to hold you back. You can still make solid progress towards financial independence with the right mindset. Commit now to better finances ahead. Then make a plan and do the work. 

You won’t be alone, either. Some 85% of Survey Junkie members plan to change their lifestyle in 2023 to prepare for a potential recession. And 35% expect those lifestyle changes to be  “significant.”

If you’re ready to get started, here are eight money moves for the coming year that’ll put you on track for long-term financial success. These moves align with the top financial priorities for Survey Junkie members, which include raising income (28%), trimming spending (24%), and increasing savings (21%). 

1. Stick to a strict budget.

The best thing you can do for your finances is learn how to create a budget and stick to it. Master these skills and you can accomplish nearly any financial goal, big or small. 

If you’ve never created a budget, expect some trial-and-error as you define a process that works for you. You can start with a budgeting app, a spreadsheet, or the old-fashioned spiral notebook. 

Document where your money goes 

Whatever form your budget takes, the first step is the same: identify where you’re spending money now. Comb through your bank statements and categorize your expenditures into buckets, like groceries, hair cuts, gas, rent, utilities, insurance, etc. 

It’ll help, too, to note which categories are required expenses and which are discretionary. Also have line items for debt paydown, emergency fund deposits, and long-term savings. 

Compare your spending to your income 

Step two is to compare what you spend to your income. Your outbound cash might be higher than your income, or vice versa. Either way, if you want to improve your finances in 2023, you commit to spending less than you do today. The spending-to-income comparison mostly tells you how much less you should plan on spending in the year ahead.  

Set lower spending limits 

Now for the fun part. Review where your money is going today and identify areas where you can spend less. These tips will help: 

• Look for savings in your required expenditures first. Insurance premiums, utility costs, and grocery bills are good places to start. Shop for cheaper insurance, turn down your thermostat, and start planning meals around your store’s sale flyer.
  
• Trim your discretionary spending, but don’t zero it out. You could probably force your budget to balance if you never dined out again. The problem is, that strategy isn’t sustainable. Keep a budget for discretionary spending, even if it’s small.
  
• Be prepared to adjust. You might set limits that later turn out to be unworkable. Don’t throw in the towel. Just go back to your numbers and adjust.
  

Track your progress 

With budget limits in place, start tracking your expenses against those limits. This works best if you can set aside a few minutes daily to jot down expenditures. That way, your running totals are always up to date. This is important, because then you’ll be able to adjust if you’re close to overspending in a certain category.

2. Start a new side hustle for an additional income stream.

You can only get so far by cutting your expenses. To speed up your financial progress, you have to raise your income too. You can do that by getting a promotion or a second job, but you might prefer a more flexible side hustle instead. 

As an example, you could join the Survey Junkie community and share feedback on brands you know and use every day. This is a popular choice – 60% of Survey Junkie members would consider using survey-taking apps and services to increase their financial strength in 2023. 

You could also sell handmade goods on Etsy, transcribe for hire, or write as a freelancer. 

Once you start collecting on your new side hustle, direct that income to your most pressing financial goal. This might be debt paydown, shoring up the emergency fund balance, or starting an investing program. 

3. Leverage credit card and cashback rewards.

If you have good credit, you can secure a no-fee credit card that pays you 2% or 2.5% on every purchase. That saves you $0.02 or more for every dollar you spend. 

Note that some cards advertise cashback rates as high as 5%. Usually these high rates are for only one category, such as dining out. Most people will make more by earning a lower percentage on every purchase. 

You can apply those accumulated cash balances to your card balance. Alternatively, some cards will also deposit your cashback rewards into a linked savings account. 

Whichever option you pick, don’t let the rewards balance sit there for too long. It can be tempting to “save up” your rewards, but you’re better off cashing out frequently — especially if you put the funds in a savings account. Your savings account earns interest, while your cashback balance does not. 

4. Take advantage of a high-yield savings account.

Speaking of earning interest, have you checked the APY on your savings account lately? Thanks to historically high inflation, the best savings account yields are higher than 3%. Even so, the FDIC reports that the national average savings yield is only one-tenth of that, or 0.30%.

If you’re still earning less than 1% in a traditional cash account, it’s time to make a change. On a $5,000 balance, increasing your yield from 0.03% to 3.50% raises your annual interest income by $160. Even better, this is passive income — once you move your money, there’s no action from you required. 

5. Prioritize your debts amid rising interest rates.

Unfortunately, higher cash yields go hand-in-hand with higher interest rates on your credit cards. And since there’s no telling when interest rates will dip back down, it makes sense to ramp up the payoff of your credit cards and other liabilities. 

If you’re following your budget, you shouldn’t be racking up new charges. That’s good: No new debt makes it easier to whittle those balances down to zero. There are two primary approaches you can take: 

1. Start with the highest-interest account. Budget a high monthly payment on your most expensive account. Make minimum payments on everything else. This approach makes the most sense on paper, since it limits your total interest expense.
   
2. Start with the lowest-balance account. Budget a high monthly payment on your lowest balance account and make minimum payments on everything else. This approach can be more motivating, if it allows you to pay off an entire account faster. That eliminates a monthly payment and frees up more cash to pay down other accounts.
   

Choose the option that’ll work best for you and stick with it. 

6. Raise your emergency fund savings balance. 

A lot of people try to skim buy without an emergency fund. You can get away with this temporarily — right up until something bad happens. Big, unexpected expenses are hard to manage without any cash on reserve. You may have to pull out the credit card or, worse, take a hardship withdrawal from your 401(k). 

The usual guideline is to have enough cash on hand to cover six months of your living expenses. But the right emergency fund balance for you might be more or less than that. Some factors to consider when planning your ideal cash fund balance are: 

• Your job security. If you work in an industry that’s subject to layoffs in an economic downturn, more cash is better.
  
• Your insurance deductibles. Your emergency fund should always be at least enough to cover the deductibles on your car and homeowners insurance.
  
• The difference between what you make and what you earn. If you are living paycheck-to-paycheck, a big emergency fund balance is critical. Unfortunately, you can’t afford to save much in this scenario. Consider a side hustle, at least temporarily, to remedy that problem.
  

7. Cut back on big expenditures.

While you’re transitioning to a better financial future, hold off on buying a new car, remodeling your home, or taking a bucket-list trip to Europe. You can revisit these big expenditures once the economy is on surer ground.  

8. Start investing.

If you aren’t investing today, it’s time to start. This could be as easy as contributing to your workplace 401(k). If you don’t have a retirement plan at work, open a low-fee IRA and make tax-deductible contributions there. 

401(k)s are effective savings vehicles because they collect regular contributions straight from your paycheck. You can mimic this system outside of work. Simply open a low-fee brokerage account that accepts automatic deposits and investments. Even if you start with a small investment of $50 monthly, this is a habit that will repay you well over time. 

A richer 2023 

With dedication and discipline, you can make 2023 the year you break out of a financial rut. Lay the groundwork by creating and sticking to a budget — one that doesn’t include any big, voluntary expenditures. Then raise your income with a side hustle, credit card rewards, and higher yield on your cash savings. Use the extra cash to pay down those credit cards, plump up your emergency fund balance, and fund an investment account. 

You can do this. Just think about how thrilled you’ll be in 12 months, when you can embark on another new year from a much stronger financial base. 

The post 8 Money Moves to Boost Your Financial Success in 2023 appeared first on Survey Junkie Blog.

Now that the season’s biggest sales are behind us, you might still be looking for other ways to cover costs. Fortunately, there’s a wealth of ways to save money or earn a little extra this holiday season so that your gift list doesn’t swallow your savings. And you’ve come to the right place for them!

Through these little-known ways to cover holiday costs, you can cross off the last item on your gift list with confidence and spend your holiday season with a little less financial stress. 

1. Download Cashback and Coupon Apps

With cashback and coupon apps, you can reduce your bill while placing a little money back in your wallet . You’ll rarely find yourself paying full price for gifts. Here are a couple you might want to check out.

Gone are the days of coupon clipping, but Coupons.com comes with an app where you can essentially link your store loyalty program to their coupons. They manage the grocery store coupons for you so that you’re done with paper. It’s that easy!

RetailMeNot is another great coupon finder when you are shopping online or in-person. I use their app all the time while holiday shopping. Not only can you unearth 20% – 30% coupons, but you can also get larger and more expensive free gifts with purchases at stores like Sephora. 

2. Take Paid Surveys

Another way to earn holiday savings for your family gift list, get-together groceries or train tickets is to join a survey site. These companies pay you to take surveys for them and your answers serve as market research for some of the world’s most popular brands and products..

To ease the stress of holiday spending, try Survey Junkie. It’s one of the most trusted brands for paid surveys and has a community of more than 20 million members. While people rely on Survey Junkie to earn extra cash and gift cards all year long, many members use their rewards to cover holiday expenses. 

It’s free to join and all you need to do to get started is create an account and fill out your profile with your demographic information. Your daily survey matches appear on your dashboard.  

You can earn as much as $40 monthly if you complete three surveys daily, adding extra cushion for your holiday shopping. You can redeem for cash via PayPal or bank transfer, or get paid via gift cards to major retailers like Amazon, Target, Walmart, Sephora, and more to buy presents for your family. 

Taking paid surveys in your spare time is a great way to earn extra cash for holiday expenses.

3. Buy Gifts in Bulk

If you keep an eye out while shopping, you can spot amazing deals, many of which come in bulk. I just bought three packages of five hand lotion tubes at Costco for $11 each with a great coupon deal. That’s almost $2 per tube.

And I’m not alone. The majority of Survey Junkie members with wholesale club memberships (71%) said they’re planning on using their membership perks during the holiday shopping season to save money.

Here are some bulk items sure to come in handy during the holiday season:

• Candy
• Hand lotions
• Soaps
• Crafts 
• Ornaments
• Snacks
• Socks
• Candles
• Tea
• Lip balm
  

While not exactly the kinds of gifts you’d wrap up with a big bow and give to your spouse or children, these items make great stocking stuffers. These items are also great for last-minute gift bags you may need to whip up for coworkers, your mail person or a neighbor.

4.  Leverage Brand Loyalty Programs

There are actually companies that will reward you for a membership or for spending money with them. Your brand or store loyalty means a lot to them.

Yet even though 81% of people are in brand loyalty programs, less than one third of consumers plan to use these programs to save money during the holidays. It could be that they’re unaware of the savings and deals available through these programs. Whatever the case, now is the perfect time to check the websites and apps of your loyalty programs to learn how you can take full advantage of your membership. 

I recently got a $35 off coupon card for any pair of shoes under $50 at DSW. That means I can get a pair of shoes for $15. That’s a major steal!

Here are some great companies that offer loyalty programs:

• Sephora Insider
• Costco
• Starbucks Rewards
• Amazon Prime
• Kohl’s
• Reebok
• Dick’s Sporting Goods
• Apple
• Disney
• Bed Bath & Beyond
• Baskin-Robbins
• PetSmart

If you would like to keep your holiday expenses down, consider devoting your entire gift budget to one store to maximize the benefits of their brand loyalty program!

5. Sell Items in Your Home

It turns out, your own home may be a treasure trove of extra cash to help with the many expenses of the holidays. Unused or lightly used items that you no longer need may be of great value to someone else. You can sell these items to raise extra cash for your holiday shopping.

Here are some items you might sell for some profit:

• Books
• Instruments
• Clothes
• Shoes
• Jewelry
• Home decor
• Bikes and trikes
• Camping equipment
• Electronics
• Exercise equipment
• Pet supplies
• Furniture

List them on Craigslist, Facebook Marketplace, OfferUp, and/or eBay with thorough descriptions and well-lit pictures. 

Decluttr or Amazon Trade-In are also excellent websites to trade your used electronics for cash or an Amazon gift card. You can get the valuation of your items instantly online, and print a free shipping label on their websites.

6.   Earn with Credit Card Rewards

Most credit cards offer rewards and they can help you get a bit more mileage out of your holiday budget. Two highly rated credit cards for cash back are the Wells Fargo Active Cash Card and the Chase Freedom Unlimited. 

The Wells Fargo Active Cash Card has a rewards rate of 2% with an intro offer of $200, while the Chase Freedom Unlimited card gives 1.5% – 6.5% back. If you do a lot of holiday shopping on Amazon like I do, you can earn 3% on all your purchases on Amazon with Amazon Prime Rewards Visa Signature Card.

7. Make Your Own Gifts

If your budget doesn’t allow for gift-shopping this holiday, consider giving gifts that you can make yourself. You can save money by shopping the sales or buying your supplies in bulk. Here are some ideas:

• Knit scarves, beanies, or blankets
• Etch beautiful letters on wood
• Make a homemade cocoa station
• Personalize ornaments
• Package cookie or bread mix in a mason jar
• Bake cookies or yummy food
• Make scented candles or bath bombs
• Create beautiful stationary or bookmarks

If you have a Cricut, you can make your own personalized t-shirts, socks, towels, or hats for family and friends. People might even think they’re professionally made. 

My family once made Asian pickles for Christmas gifts, and friends asked non-stop for the recipe long after the holiday. People love delicious food, especially if it’s well-made.

8. Cover Travel with Gas Rewards 

For people who travel a lot to visit family during the holiday season, one thing you can do is conserve your holiday expenses on gas. There are many ways to do this.

With Shell Fuel Rewards, you can earn $0.10 per gallon for every $50 you spend at a restaurant, $0.20 per gallon for shopping online, and so forth. 

Most of your markets also have rewards on gas. You simply have to shop for groceries and then input your rewards card info at the pump; your gas discount will be dependent on how much you spent at the grocery store. Kroger’s Fuel Points Program and Safeway Just for you Fuel Rewards are two excellent options.

If you have a Costco membership, you can typically pump gas at any local Costco for an average of 21 cents less per gallon than other gas stations.

9. Spend Less on Regular Expenses

Though it may be painful at first, one of the best ways to save money is to pull back on expenditures. Holiday budgeting is a great way to jump start smarter budget management in the new year.

You might be pleasantly surprised at how easily you acclimate to more mindful management of your expenses, and you may keep up the good habit! Here are some simples ways you can cut down on extra expenses:

• Cancel your cable. 
• Make your own coffee at home.
• Make your own lunches to take to work.
• Turn off your A/C and heater more often.
• Get rid of your gym membership and exercise at home.
• Alter your meal plans based on what’s on sale at the market.
• Unplug electronics that are not in use.
• Carpool to work. 

Even if you commit to doing these things for a couple months, it could save you hundreds of dollars that will come in handy for holiday shopping and paying off those credit cards after the last gift is opened. 

10. Shop in Dollar Stores or Thrift Stores

You might balk at the idea of buying gifts from the dollar store or at the thrift store, like I initially did, but you might also be surprised at what you can find.

My family has been able to give some very beautiful $1 mugs as gifts that would normally cost $15. At the very least, turn to the dollar store for gift wrap, bags, and boxes. Here are a few other gifts that you can find for $1:

• Flashlights
• Glassware
• Tupperware
• Bowls
• Coloring books
• Journals
• Holiday decor
• Toys
• Puzzles
• Markers, crayons, paint
• Office Supplies
• Candy
• Snacks
• Socks
  

At Below Five, I have been able to buy a lot of $1 practical joke gifts for children:

• Snap gum
• Fake money
• Fake insects
• Squirt gum
• Snake in a can 
  

These are excellent stocking stuffers or small gifts for your kids’ friends. Kids really do love these inexpensive, fun gifts and they enjoy using them on others. Don’t be surprised if they become the highlight of the holiday gathering. 

Have a fantastic holiday season!

If you stack these ways to save money with ongoing holiday sales, you’ll be able to knock a lot off of your holiday spending.

With these tools in mind, I hope you can enjoy your holiday season without the stress of holiday expenses weighing you down. You and your loved ones can keep your holiday spending in check while enjoying one another and the magic of the season.

The post 10 Little-Known Ways to Cover Holiday Costs appeared first on Survey Junkie Blog.

The concern is valid, too. Per the Consumer Price Index (CPI), the September inflation report showed prices rising 8.2% in the last year. That means you’ll either need to raise more cash this year or seek out extra savings to stretch your budget. 

Whether you’re saving for holiday travel, looking to cover a Secret Santa gift exchange, or coveting new holiday decorations, here’s how to score holiday season savings so that you can make the most of the season without draining your bank account.

1. Set a budget

Don’t underestimate the power of a budget. Understanding and documenting what you can afford to spend on is one of the best ways to save money during the holidays. Without a budget for holiday shopping, you don’t know definitively when you’ve overspent. But you will see the consequences later in lingering credit card debt.

Start with a review of your larger household budget, plus your bank and credit accounts. If you normally make more than you spend, you can direct part of your extra income into your holiday budget. Otherwise, you’ll rely on cash savings and, possibly, credit cards. If you do resort to credit cards, decide now how much debt you’re willing to take on. 

You can also look at what you spent last year to inform this year’s gift giving budget. For example, if you’re still paying off your 2021 gift-buying costs, it’s smart to spend less in 2022. Or, if you got a big raise last month, that might warrant a small budget increase this year. 

More than half (53%) of Survey Junkie members plan to pay cash on holiday purchases, while 41% will use credit cards. And, almost half (46%) of these shoppers say they’ll spend less in 2022 vs. last year. 

2. Make your shopping list 

Once you’re armed with a total budget, you’re ready to prepare a holiday gift list. 

Start with the names of your giftees. To allocate funds to each person, group them into two or three buckets first. Each bucket represents a spending limit. For example, you may want to spend more on your direct family members, and less on coworkers. Your spouse and kids will be in the top bucket, while your coworkers will be in the lowest bucket. You might also have a middle-tier group that includes, say, your siblings and parents. 

From there, you can assign estimated spending ranges for each bucket. Also write down any gift ideas you already have in mind. That way, you can validate your spending ranges by price-checking those items. 

Your spending limits will be guidelines more than hard-and-fast rules. If you find the perfect gift for your mom for 50% less than expected, great. That will provide a nice cushion in case you need to overspend slightly for someone else. 

3. Buy discounted gift cards

Sales aren’t the only way you can save money for the holidays. You can also buy gift cards for less than face value at Raise.com. Other sites like GiftCards.com and GiftCardGranny.com reward you with cash back on your gift card purchases.

Buying discounted store gift cards can generate savings of 0.5% to 10%. At the lower end of the range, you’ll find popular department stores like Target and Amazon. More specialized retailers like Bed Bath & Beyond are at the higher end. 

Plan on using the gift cards to purchase gifts — rather than gifting the cards themselves. Discounted gift cards often come in odd denominations, such as $17.49. If you give away the card as is, your giftee might think you spent a little on yourself first. Fortunately, these denominations are often the perfect amount to cover a Secret Santa or White Elephant gift, wrapping paper, Christmas cards, or the perfect hostess gifts for holiday parties. 

You can use discounted gift cards to save on household expenses, too. Say you find a gift card for your local supermarket. Use it to lower your weekly grocery bill and then allocate the savings to your holiday spending.

Survey Junkie offers gift cards to go-to holiday retailers like Amazon, Walmart, Target, Sephora, and more. With Black Friday and Cyber Monday sales right around the corner, members can redeem their points for gift cards to deepen the discounts and shave off an additional $5, $10 or even $15.

As always, read the fine print before you buy. Some gift cards are only usable in store or online, but not both. 

4. Be loyal

According to a Survey Junkie questionnaire, 81% of consumers are members of brand loyalty programs, yet only 30% plan to use their loyalty memberships to save money this holiday season. 

The discrepancy may be due to the hassle of getting value out of loyalty programs. Admittedly, the restrictions can be, well, too restrictive. The richest loyalty programs often charge a membership fee or require you to use a specific credit card. 

But you can get value from those programs, too. The trick is to plan ahead and choose just one or two at the most. Then, do all or most of your shopping for holiday gifts with those stores. 

Take Amazon as an example. The Amazon Prime Rewards Visa pays 5% back on purchases from Amazon and Whole Foods Market. All other purchases earn 1% to 2%. You do need a paid Prime membership also, but you may already have that in place. 

A 5% reward adds up to $50 in Amazon credits for every $1,000 you spend. Given the diversity of Amazon’s catalog, it’s possible to do all your shopping with this one retailer. 

Even better, you can spend the Amazon credits you earn on more gifts or household essentials. That’s not the case with loyalty credit earned at a specialty retailer. 

If you don’t shop Amazon or have a Prime membership, seek out a department store loyalty program. That way, you can consolidate your holiday spending with that store, which increases your earnings potential. 

5. Use cashback apps 

Cashback apps come in two main varieties, rebate apps and receipt apps.  

Rebate apps give you cashback for clicking through the app to buy from major retailers. Rakuten and Capital One Shopping are two popular examples. They offer rebate percentages as high as 15%. These apps also share coupon codes and alert you when the product you’re shopping for is available for a lower price elsewhere.  

Receipt apps like Fetch Rewards and Ibotta reward points when you upload your shopping receipts. You can then redeem those points for gift cards. The awards per receipt are small, but they add up over time. You can also increase your earnings potential by referring family and friends to the app.

6. Leverage big holiday sales

You probably already have Black Friday and Cyber Monday circled on your calendar. Some 70% of Survey Junkie members plan to shop Black Friday, while 52% intend to shop Cyber Monday. The two holidays are widely known for delivering the best deals of the season. 

To save money during these big holiday sales and to find great deals for your holiday needs, lean on your gift list and always compare prices. Resist the urge to buy goods that aren’t on your shopping list, just because they are deeply discounted. If you don’t need the product, the discount is irrelevant.

Comparing prices helps you validate the deal. Too often, hyped discounts are less impressive when you compare them to other retailers’ offerings. 

You also have sale options beyond Black Friday and Cyber Monday. Veterans Day drives big discounts in the first half of November. Small Business Saturday is the ideal time to shop local, assuming you recover from Black Friday in time.

And if you’re a last-minute shopper, don’t miss Super Saturday and Free Shipping Day in December. 

7. Consider a side hustle

Starting a side hustle can be another excellent way to fund your holiday shopping. There are many options and they range widely — in commitment level and skills required. 

You could leverage your professional or creative skills by selling services on gig sites like Upwork and Fiverr. You could also sell handmade holiday cards and gifts on Etsy or through your own social media channels. 

You could also join the Survey Junkie community, where you’ll earn for taking surveys and sharing your online behaviors. Ease the stress of holiday expenses, and get ahead of the shopping and spending rush. You need no special skills, other than an honest opinion. Sharing your feedback can be incredibly rewarding, too. Your voice can influence big brands to make their products and services better — for you and other households around the world. 

If you prefer a gig that’s more passive, you could rent out your driveway, basement, or spare bedroom on marketplace websites like Spacer, Neighbor, and Airbnb. 

Top ways to save money during the holidays

Plan ahead and you can make it through this inflation-ridden holiday season without breaking your bank account. Set your budget, make your list — including that perfect gift for mom or dad. 

Then strategize on your shopping. Lean into discounted gift cards, loyalty programs, and cashback apps. Those will magnify the savings you earn at the big holiday sales and ease the financial burden of the season. And finally, if you know you’re going to overspend, pick up a side hustle like Survey Junkie. The earnings will help you pay off those credit cards faster — ideally before this cycle starts over again next year.

The post How to Score Holiday Season Savings appeared first on Survey Junkie Blog.

It’s a win-win for both you and the companies when you become a product tester!  You get paid for testing products, and in return, the companies get a free candid review and avoid catastrophe upon launching. You are their market research.  

 Before you dive into the world of product testing, find out below 1) what products they have you test, 2) how much compensation you’ll make, and 3) some things you should keep in mind with each company.  

When you register with these companies to test products, here is some information they might be interested in:

• Your marital status
• The number of children living in your household
• Your employment status
• A list of your hobbies
• Your expertise in various subjects – cooking, makeup, etc.

These details will help companies gauge how well your life experiences and attitudes fit with their products. 

Sound intriguing? Below is a look at some of the most reputable companies and market research firms that offer product testing opportunities. Read on for a detailed overview of 6 ways to get paid to test products.

1. BzzAgent 

BzzAgent rewards its members for testing consumer products and taking the time to share their valued opinions by completing surveys. The more you fill out your profile (interests, income, lifestyle, etc.), the more likely companies will want to use you as a product tester. As is the case for all market research firms, the amount of work can vary depending on your demographics and if you fit the group they’re researching.  

After you have been selected to join their product testing program, you will receive an invite to “BzzCampaigns” letting you know that samples are on their way.  

Once you receive your samples, post your honest experience on social media and/or submit your honest review where the company wants it, possibly on a company website or elsewhere. Create a Bzz!  Keep in mind that  for a bulk of the product reviews, you need to feel comfortable posting pictures or videos of yourself on your social media account trying the new products.  

With BzzAgent, your compensation is the free stuff you receive. The work you put forth is to review these products on social media or company websites, and the benefit is you are able to test out multiple new products, from Lancome’s latest perfume to a new hair powder mask. You also get to be your genuine self and share your positive and/or negative thoughts. 

Earning potential: You get to keep free products and sometimes extra free samples.

Type of product testing: Car vacuums, pots, pans, makeup brushes, food items, hair dye, etc., with popular name brands such as Hershey’s, P&G shampoo, L’oreal, Lancome, Gillette, Conair, Armani beauty, Hormel, Zesty Paws, Melissa & Doug, Bissell, etc.

2. Survey Junkie

Survey Junkie rewards you for sharing your opinions and digital activity. This includes receiving and testing products, and then sharing feedback via survey. Are you looking for a trusted and secure site that has paid millions of dollars out to its members? Survey Junkie has a 4.3/5 Trustpilot rating from more than 30,000 reviews, which means they’re a reliable survey site.  

After filling out your general profile questionnaires, you can complete surveys daily to earn points, whenever and wherever you want – during your morning coffee, lunch hour, or in the evening from the comfort of your own couch. Keep an eye out for those that offer the chance to get paid to test products. Optimize your free time, harness the value of your opinion, and reap the benefit of having extra money for bills, coffee, or a gift for a loved one.  

In order to maintain the security of the platform and its members, Survey Junkie does require that you undergo a brief verification, via phone, call or photo ID verification. They also require a W-9 form for members when they approach $600 of earnings in a calendar year. 

Earning potential:  Earn as much as $40 monthly, and cash out at just $5 via PayPal, bank transfer, prepaid Visa gift cards, or gift cards to major retailers like Amazon, Target, Walmart, Sephora, Starbucks or Apple.

Type of product testing: Different types of consumer packaged goods and digital products (television episodes, movie trailers, etc.) 

3. UserTesting

Founded in 2007, UserTesting remains the place to sign up with if you want to test digital products. 

If you match the target markets that they seek, you will be invited to do user testing for them. You do need to feel comfortable in front of a camera in order to participate. Other than that, you need a PC, a webcam, an internet connection, and the ability to speak English. You will be asked to provide them with audio and visual feedback, where they hear you freely express your insight and thoughts. 

UserTesting is not a full-time job, but you’ll be pleasantly surprised with the extra monetary padding. You might even be the perfect fit for their product. Members have been known to make hundreds of dollars a month, spending only a few hours a week on testing.

Earning potential: Take their tests which range from 5 to 20 minutes, and earn $4-10. If you are lucky enough to get a live interview, you can make $30-120. The rate for the standard test on UserTesting is $10 per 20-minute test. They will pay you through your PayPal account. 

Type of product testing: You’ll be asked to review different kinds of digital products, including electronics, automobiles, software, hardware, etc.

4.  Johnson & Johnson

Johnson & Johnson is interested in your insights and thoughts on their products. Please note that you must be 18 years old to qualify.  

Complete their online survey and do any of the following to make your voice heard: (1) Become a product tester for their newest shampoo, dental floss, or other products; (2) Complete online surveys; (3) Join their online forum to discuss new ideas for their company; (4) Join a focus group of 6-8 people to discuss how to improve an existing product or give an idea for a new product; and (5) Join a consumer panel or a sensory panel to test the appearance, feel, and performance of skin care products. 

One thing to note: They don’t send surveys often, but on the flip side, they don’t flood your email inbox either. 

Earning potential:  Their appreciation may be shown in the form of prepaid gift cards or with an honorarium in the form of JP Morgan Chase Payment.  

Type of product testing: You’ll be asked to review products from brands like Aveeno, Neutrogena, Clean & Clear, and J&J baby products, and more. You might be smelling fragrances for a new body wash line,  evaluating a new lash lengthening mascara, or testing out new dental floss.

5. Influenster

At Influenster, there are almost 60 million product reviews from people interested in beauty and self-care products.

After you sign up on the Influenster app, provide your demographic data and complete “snaps” — short questionnaires about your lifestyle and interests — to boost your chances of getting free products to review.

As with all product testing sites, Influenster will choose you based on the demographic they are looking for to test each product.  Sometimes they will trend toward the youthful and other times towards seniors. You may even luck out and receive hundreds of dollars of free makeup and facial care products.

Earning potential:

You earn the free beauty products that you test!  You will be sent a VoxBox filled with products from different beauty brands that run from $30 skincare to beauty products worth $100+ in retail. Your VoxBox will have tons of freebies to review.

Type of product testing:

You’ll be asked to use makeup, nail care, men’s grooming, Bath & Body products, hair products, hair coloring, hair tools, snacks, electronics, sporting goods, pet supplies, toys/games, and much more!

6.  McCORMICK

If you love trying new food products, you’ll love being a product tester for McCormick. Act fast because the studies fill up quickly. Their clean product testing site is located in Hunt Valley, Maryland.  Every once in a while, opportunities arise when you can also test from your home.  

  McCormick typically runs 5 to 10 Home Use Tests per year.  However, if you live near their product testing site and can drive to their product testing site, you’re in luck!  You might be invited for taste tests. Eat a delicious turkey and cheese sandwich, and also reap the benefits of being paid for your time.

Earning potential:The compensation for each in-person test varies from $30 to $100. These usually last for two hours.  Get paid to test in your home from $10 to $15, depending on the time the study took and the number of products tested.  Product testers can choose to get paid via Zelle or Amazon gift cards. 

Type of product testing: You may be asked to sample a range of foods, snacks, and beverages!  

Last word on paid product testing: 

There are many different brands out there that value your opinion and will reward you for sharing it. Get paid, make some extra money, and let your opinion be heard. The best part? All you need is a computer or mobile with a reliable internet connection for most of them.

Keep in mind that most studies fill up quickly, especially from the companies that pay product testers, so sign up with as many companies as you can to better your chances of getting picked. You may even find yourself with a new side hustle of paid product testing gigs.

What are you waiting for? Check out some of these product testing companies, and make some extra money now.

The post 6 Ways to Get Paid to Test Products appeared first on Survey Junkie Blog.

Side hustles can take many forms but selling online with an Etsy shop is a popular choice for creative entrepreneurs. You may even end up with more than a modest income boost. Find success on Etsy, and you could find yourself running an online store that generates six-figure sales.

Intrigued? Read on for a detailed walk-through of how to sell on Etsy successfully.

What is Etsy?

Etsy is a worldwide marketplace for custom products. Some 96 million buyers visit Etsy each year to shop for craft supplies, handmade goods, or vintage items. Roughly 7.5 million active Etsy sellers serve those buyers. More than two-thirds (71%) of Etsy sellers manage their Etsy store as a small business — that is, as a way to generate profits and improve their financial independence. 

To start selling successfully on Etsy, you must do two things well: 

1. Create products people love. 
2. Merchandise those products so people can find them. 

Master those two tasks and you’re on your way to building a thriving, profitable Etsy store.

Pros of selling on Etsy

As you’d expect, there are positives and negatives to launching your own online store on Etsy. Let’s start with the positives. 

Etsy store setup and maintenance is easy.

You can open an Etsy account and shop in minutes, and with zero technical knowledge. Etsy walks you through the process, which involves filling in text boxes and uploading photos. 

It’s (almost) free to open your Etsy store.

Etsy doesn’t charge you to create your online store, but you will pay fees to list and sell your products. You’ll find more details on Etsy’s fees below.   

Etsy has an audience.

As noted above, 96 million people shopped Etsy in 2021. Get your products in front of the right subset of that audience and your small business can grow quickly.  

Buyers trust Etsy.

Etsy already has the trust of buyers, and you can lean on that trust to start selling. If you opened a standalone online store, you’d have to build that trust over time. 

Etsy Payments provides payment processing. 

Your Etsy shop automatically has a shopping cart that accepts payments in your currency. This spares you the hassle of setting up your own merchant services. You will need to register for Etsy Payments and set up a payment account, but that process is straightforward. 

You can find help and support from other Etsy sellers.

Etsy publishes tons of resources to help you grow your online store. You can also join one of many online support groups for the Etsy community. Use those groups to share ideas, ask for help, and stay current on Etsy marketing strategies. 

Cons of selling on Etsy

Etsy is convenient, but you will have to accept a few trade-offs as an Etsy seller. Below are five negatives to consider. 

The marketplace is crowded with sellers.

No matter what type of product you sell, you’re likely to face direct competition from other Etsy sellers.  

You must market your Etsy store and products. 

It’s not realistic to list your products and wait for them to sell. To be successful as an Etsy seller, you must market your goods on and off Etsy. You can promote your shop on Etsy through proper descriptions and photography. Off Etsy, you can market yourself through SEO, social media, your own website and word of mouth. 

Repeat sales can be challenging. 

Etsy shops can struggle to generate repeat sales from their customers. This is because Etsy buyers often don’t pay attention to the shop name. They mostly retain the fact that they bought something from Etsy. 

Keep this in mind as you develop your logo and brand messaging — design these brand elements to be impactful and memorable.

Etsy fees can be confusing. 

You’ll pay to list products and renew those Etsy listings. You’ll also pay a transaction fee, a payment processing fee, and, sometimes, an offside ads fee. You might also incur fees for optional programs like Etsy Plus. 

You don’t make the rules.

Etsy makes, and updates, rules that can impact the profitability of your online store. As an example, Etsy mandates that sellers use Etsy Payments for payment processing. You don’t have a choice on that, even if you have a merchant services account that would charge you less.

What are the shop policies for Etsy sellers?

Speaking of rules…Etsy has many. The rules for Etsy sellers outline prohibited behaviors, intellectual property, privacy, sanctions and trade restrictions, and shipping obligations. Plan on getting familiar with those policies early in the process so you don’t encounter any surprises down the road.

Most notably, there are rules defining what you can and cannot sell on Etsy, explained below.

What you can sell on Etsy 

Etsy allows you to sell handmade goods, vintage items, and craft supplies only. 

• Handmade items are designed by you. You can use a production partner, but you must name your production partner in your product listings.  
• Vintage items are at least 20 years old.
• Craft supplies are items like stickers, stationery, beads, photo albums, and stamps. In Etsy’s words, they’re “tools, ingredients, or materials whose primary purpose is for use in the creation of an item or special occasion.”

If your products don’t fit into the Etsy mold, there are other ecommerce marketplaces you can check out. Amazon and eBay are the two big ones. Walmart and Target also have online marketplaces that are open to independent brands.

What you cannot sell on Etsy

You cannot sell services or resell goods that you didn’t make on Etsy. You also cannot sell items that promote violence, illegal activity, or hatred. Etsy also prohibits alcohol and drug-related items, weapons, mature content, and goods that are regulated internationally. 

How much does it cost to sell on Etsy?

Etsy’s fee structure can be confusing because there are several layers of charges for active Etsy sellers. Below is a breakdown of five fees you’ll incur as an active Etsy seller. 

1. Etsy store cost 

Etsy doesn’t charge you to set up your shop. The only store-related charge is an optional subscription to Etsy Plus for $10 monthly. For that fee, you get a monthly credit for product listings and Etsy Ads, plus other perks to help you customize and market your online store and Etsy listings. 

2. Etsy listing fees 

You must list products on Etsy before you start selling them. Etsy charges you $0.20 for every product you stock in your Etsy store. Each Etsy listing expires after four months (unless you set it to auto-renew). You’ll pay the $0.20 again to renew the listing, either automatically or manually.

3. Etsy transaction and payment processing fees

Etsy’s transaction fee is 6.5%, and it’s applied to the listing price plus any shipping, gift wrapping, or personalization charges. You’ll also absorb payment processing fees of 3% plus $0.25. You may also pay a currency conversion fee.

4. Etsy store promotion cost

Etsy advertises products from its marketplace all around the web. If one of those ads features your product and it generates a sale, you’ll pay an “offsite ads fee” of 15%. You can opt out of this program, but only if your Etsy store sales are less than $10,000 in the prior year.

You also have the option to buy Etsy ads to promote your products to online shoppers.

5. Etsy shipping costs

As an Etsy seller, you will incur shipping costs. But you can pass those costs on to your customers, either directly or indirectly. The direct approach is to add shipping fees as a separate charge, on top of the product price. 

Alternatively, you can embed estimated shipping fees into your prices. You’d then offer these products with no added shipping cost. Etsy prefers this method because buyers love “free shipping.” 

If you’re in the U.S., U.K., Canada, Australia, or India, and you accept Etsy Payments, you can buy shipping labels from Etsy. These may be more cost-efficient than shipping products on your own.

How to sell on Etsy: Step by step 

1. Research the online marketplace 

Researching the Etsy marketplace is a great first step to launching your shop. Explore the marketplace to learn the landscape, meet the competition, and generate new product ideas. 

Based on a recent Survey Junkie survey with Etsy buyers and sellers, consumers most often choose Etsy over other retailers because they like to support small businesses (33%), appreciate the more diverse or unique product options (32%), and enjoy home-made goods (22%). Additionally, Survey Junkie members with an Etsy shop shared that the highest priorities for their customers are finding unique or higher-quality products (47%), receiving personalized service (26%), and taking advantage of more affordable prices (22%).

Keep these motivations in mind as you’re building a framework for your own Etsy store to ensure your product aligns with consumer preferences.

2. Set your product strategy  

The Etsy marketplace is crowded, so you need a solid product strategy to stand out. Survey Junkie members shared that they use Etsy primarily to shop for jewelry and personal accessories (37%), homewares and home furnishings (20%), apparel (15%) and craft supplies (14%). On average Etsy buyer purchases, the majority expect to pay $15-45. Lean on these top-selling product categories and price ranges to figure out where you can best fit into the marketplace.

Once you’ve determined your product offerings and price point, list out the goods you can sell, how you can price them, and what makes them unique. Use that information to find your top competitors and analyze how you measure up. Look for ways to differentiate your offerings from what’s already out there.

3. Research keywords 

Using the right keywords in your shop content and product listings helps online shoppers find you via Etsy search and off-site search engines (like Google). Lean on research tools like SEMRush and Marmalead to identify the best keywords for your shop and products, and optimize your Etsy SEO.

4. Create your Etsy shop

The basic steps to create your Etsy online store are: 

1. Create a new Etsy account or sign into an existing account. 
2. Add your profile picture and bio. Your picture and bio appear when you engage with other Etsy sellers in the Etsy forums.
3. Visit Etsy.com/sell > Get Started.
4. Set your shop preferences: language, country, and currency.
5. Choose a shop name. Your store name must be four to 20 characters long, with no spaces or special characters.
6. Create an “about us” page. Tell your story. Let your prospective buyers know how you became an Etsy seller.
7. Add shop policies. This is where you specify your rules for payment, shipping, refunds, and exchanges. You’d also include your contact information.  
8. Finalize your storefront. Brand your shop with your logo, shop banner, and shop announcement or welcome message. 

Don’t skimp on your shop’s content. Your policies and “About Us” pages are opportunities to use your mission-critical keywords and connect with your customers at the same time.

5. List your products and optimize for Etsy searches

Product listings are the heart and soul of your Etsy shop. The more complete the listings are, the better positioned you are to appear in Etsy search results. Essential best practices are:

• Write short, but descriptive product names.
• Keep your product descriptions clear and detailed.
• Add tags. You can add 13 tags to each listing. 
• Refer to your keyword research for names, descriptions, and tags. 
• Use the most specific category you can find. 
• Add attributes, like color, size, occasion, etc. 
• Use professional product photos. Put the best photo first.  

6. Select your payment method 

All Etsy sellers must link a bank account and a payment method. The bank account is where Etsy sends the sales revenue collected through Etsy Payments. And Etsy charges the payment method — a credit or debit card — for your listing fees.

7. Promote your Etsy business on social media 

Your Etsy store is not a magic path to quick profits. It’s a small business that you’ll need to promote. Use your personal social media channels to gain traction in the beginning. Announce your store opening and start sharing your products with your online friends and family. 

You can also create social media accounts for the business and work to build your following there. A solid content plan will help — strive for balance among posts that pitch products, posts that entertain, and posts that educate your followers.

Top Etsy shop start-up FAQs

1. How do you make money on Etsy?

As an Etsy seller, you make money by selling and shipping handmade, vintage, or craft supply goods at a profit. 

2. How to sell on Etsy without PayPal?

To sell on Etsy without PayPal, sign up for Etsy Payments. Etsy Payments is the marketplace’s built-in payment solution. Etsy Payments supports purchases by credit and debit cards, PayPal, Apple Pay, Google Pay, Klarna, and more.

3. Is selling on Etsy a good side hustle?

If you dream of launching your own online store, selling on Etsy can be a great side hustle. You can find success by developing a collection of interesting, competitively priced products — and then doing the work to market your shop.

4. How much does it cost monthly to sell on Etsy?

The monthly costs depend on how many products you list, your sales, and the optional services you use. 

At a minimum, you’ll pay $0.20 to list a single product for four months. Each time you sell a product, you’ll pay 9.5% plus $0.25 to Etsy for transaction and processing fees. You may also absorb a currency conversion fee if the buyer pays in a currency that’s different from yours.

If you have one product, for example, you can list it on Etsy for $0.20. You won’t incur any other fees until you make a sale.

5. What are some tips for finding success on Etsy?

Survey Junkie members are both active buyers and sellers on Etsy. Those that sell shared a few tips for making the most out of your Etsy shop:

1. Don’t skimp out on marketing; be consistent in your efforts.
2. Invest in high-quality product pictures.
3. Be creative and informative in your product descriptions.
4. Have a wide variety of products to satisfy different customer tastes.
5. Price fairly.

Is selling on Etsy right for you?

Relative to other online marketplaces, Etsy is more restrictive about the types of products you sell. But if you meet Etsy’s product requirements, setting up and maintaining your Etsy shop is mostly pain-free. You don’t need any technical skills — just a solid understanding of your products and what makes them unique. Working knowledge of how to research and use keywords helps, too. 

If that sounds like a good fit for your skillset, then an Etsy side hustle might be your biggest, best step towards financial independence. 

The post HOW TO SELL ON ETSY: A STEP-BY-STEP GUIDE FOR BEGINNERS appeared first on Survey Junkie Blog.