Last Updated on November 21, 2023
Recessions are tough on everyone. In a time of uncertainty, many don’t know if they are guaranteed to get another paycheck, and the worry runs high as people are concerned that they won’t be able to make house payments, pay bills, or provide for their families.
Fortunately, there are ways to make money at home during an economic downturn, so that everyone can have the peace of mind that they are looking for.
So let’s talk about it.
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Ways to make money from home during a recession
1. Now is the time to sell things you don’t need.
With plenty of worldwide e-commerce platforms, there’s no reason why you can’t make money by listing items that you no longer need or use – no matter how big or small. Sell old clothes that no longer fit or that you haven’t worn in years, and go through closets and basements to find items that you no longer want but someone else is willing to buy.
2. Try delivering food or groceries.
So, this one isn’t technically a work-from-home job, but it’s worth mentioning on this list. There are variety of online apps that allow people to sign up and make extra money on their own time. Someone could potentially bring in several hundred dollars per month getting paid for deliveries and earning tips, working as much or as little as they choose. Companies like Doordash are a popular choice for those interested in this side hustle.
3. Open a high-yield savings account.
According to experts, you won’t make a significant amount of money by doing this, but during a recession every little bit helps. With interest rates rising, it is possible to score a rate of 5% or above from a high-yield account. This is a great way to get a little cash on the side that you can put away for when it is needed.
4. Invest in a self-storage facility.
This requires someone to have some cash on hand, but those who are in a financial position to invest can create a lucrative passive income stream. During a recession, people tend to sell their homes or downsize, and the demand for storage facility rentals is high.
5. Rent something out.
If you have items that others might need to rent for the day, such as a truck, trailer, power-washer, tents or more, you can make quite a bit of extra money on the side. By advertising your items for rent on social media, you’ll be able to find people who need what you have, and before long, you’ll be making some much needed extra cash.
6. Try a house hack.
Everyone knows that housing payments are typically everyone’s biggest expense, but there are ways to offset this. If you are in a position to get a roommate, you might want to consider doing so. If you have a room to rent for short term use, this is also a great way to make some extra money. By cutting a huge expense, you can have extra money each month to help during difficult times.
7. Consider pet-sitting.
Advertise your services on social media, and you should be able to generate a nice stream of money each month. Pets are like family, so when others are out of town they need to find someone to take care of their animals. Offer to have one or two cats or dogs in your home at any given time.
8. Take online surveys and scan receipts.
By doing this in your downtime, you’ll find that you can bring in a few hundred dollars each month. There are numerous survey sites available (you can also enroll in paid research studies), and at times they don’t pay a lot of money right away. However, by taking surveys on a regular basis, you’ll soon find that you are being paid more each week. Another option is to take advantage of platforms like iBotta or Fetch Rewards where you can earn points on your receipts and use those points to purchase gift cards. And you can’t forget about Cashback apps!
9. Sell your own products.
There are many options out there to sell your own products. One popular choice is to make money selling printables from the comfort of your home.
10. Try a blog.
Many people make money each month by monetizing a blog. No matter the topic, you can blog about it and monetize the blog, meaning that you join advertising and affiliate programs. You can utilize services such as RankIQ to create content that quickly finds its way to the first page of Google. This can be a lucrative side job during a recession, and provide anyone with a much-needed stream of income.
Why you should always have a backup plan in place
It is vital to have a backup plan in place during tough economic times. When a recession happens, no one can be sure what will happen to their job, and losing employment when you are unprepared can have devastating effects. Always make sure to have three to six months of living expenses put away for tough times, and don’t wait on getting started making money from home.
The more you can put away, the better, and the less you will have to worry during an economic downturn. After all, no one can predict how a recession will affect them. Even those who are self-employed may feel the effects, and it is in everyone’s best interest to be prepared well in advance.
Financial Tips for Everyone
A recession can be stressful, but with a few financial tips, you’ll find that it doesn’t have to be as rough as it sounds. Create a budget and stick to it as far in advance as possible. Remember that it may not be the best time to make unnecessary purchases with money that you can be contributing to an emergency fund. It is also wise to eliminate as much debt as you can as quickly as possible.
During a recession, interest rates tend to go up, and you’ll be paying more towards to cost of your debt. Whenever possible, make larger payments on credit card or loan debt, and you’ll find yourself paying less in the end.
Finally, shop around for deals. This is one of the best ways to save a significant amount of money each month, and it is surprisingly easy. Shop around for less-expensive cell phone services, and get rid of any extras that you don’t use.