Most of us would like the chance to spend more time with our families, work a lot less and still bring in a sizeable income. If you’re only going to rely on your current income, the chances of that happening are pretty small, unless you’ve got an incredible job. However, there are ways that you can achieve this dream and they’re a lot easier than you might think. You’re about to learn how to work smarter and less and still make more money than you are right now.

The key to working less is having more than one stream of income coming into your pocket every month. This is a sound principle for many different reasons. First, you’re reducing your risks by not having to rely on your main source of income to pay your bills and keep living well. You can spread that risk around and if you do lose your job, you’ll have the resources on hand to keep paying your bills until you can find a new one.

Another benefit of having multiple streams of income is that you can eventually phase out your full time job, if you’re making the right investments, and start working part time. The old adage that two part time jobs make one full time job is certainly true here. By creating another stream of steady income that you can rely on, you can eventually scale back your current hours until you’re working only part time. If you’ve got some really great streams of income coming in, you may even be able to quit that full time job and focus on these streams instead.

Ok, so we understand how multiple streams of income can make your life easier, but how do you get started? You’ll need to take a small amount of risk here if you want to get to the point of being able to spend less time at work, but it is well worth it. It is best to try to reduce these risks when you’re first getting started so that you don’t jeopardize your finances, but with smart choices, it’s easy to pick a great income stream.

Some of the most common forms of creating multiple streams of income are actually the most simple. Let’s say that you have a knack for fixing cars. During the day, you’re a buttoned down corporate worker, but on the weekends, you’re a car fixing fool. Start taking on outside work during those weekends and boom – you’ve got your first income stream coming in. As word of mouth travels, you’ll get more business and it will most likely pay better than your current job.

Other streams of income include investing in P2P lending, other business opportunities, or even stocks and bonds that have a steady rate of return. The main goal of using multiple income streams to work less is to stop treading water at your job and start doing what you love while you’re getting paid for it. With the right amount of dedication, you should be able to go part time or even quit your old job.

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If you invested in the real estate market recently and are now regretting that decision, there are a few ways that you can get out of financial trouble. For awhile, the real estate market was very solid and property values were going up. Many experts advised investing heavily in real estate, seemingly forgetting to take into consideration that the ride couldn’t last for long. This means that thousands, if not millions of people, are now wondering how they can get out of the real estate market and salvage at least some of their investment.

First, it is important to see if you really do need to get out. If you have only one property and its value is dropping fast, it can be tempting to unload it. However, those property values will eventually come back up. If your property is located in a good area, you may be better served to hang on to it until the market stabilizes. You can always rent it out until that happens to at least keep some money coming in.

But if you are over invested in real estate panic may be setting in. If you have several properties that are now worth less than you owe on them, it can be tough to know where to turn. While it is easy to cut your losses and run, it may not be possible. Your first option is to just sell and hope that you’ll get a good price. Right now, it is definitely a buyer’s market again and it may be hard to recoup a good portion of your investment.

However, in some people’s books, something is better than nothing, or waiting around for the values to drop even further. If you are absolutely uncomfortable holding on to that property or you are at risk of defaulting on your loan, you need to do something quickly. There are several Federal programs in the works that will be used to help some people, but if you cannot qualify for these, your options begin to shrink.

The SBA and FHA both offer special low interest loans with flexible terms that can help you get current on your mortgage payments and get out of danger of a foreclosure. Most of these loans do not need to be paid back until you actually sell that property, so if you are in a tight pinch, this is a good idea.

Selling out will not be easy right now, so you may want to consider spreading the risk around. Offer someone a share in the property to give you some extra capital. You’ll still own part of the property but you won’t have to worry so much since you won’t be carrying the entire debt load by yourself.

The property market will turn around again, and it is best to hold on as long as you can, unless the property is already worthless. By spreading around that debt however, you can hold on quite a bit longer and still see a return on your investment.

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The level of consumer confidence in the United States rose unexpectedly in November, rebounding from a record low. This surprising change apparently came as concerns about the rising rate of unemployed coupled with tumbling financial markets was alleviated by falling gas prices. The Conference Board’s index of consumer confidence suddenly climbed to 44.9, which while the second lowest reading since 1974, is still a nice rise from 38.8 which was recorded last month. A separate report showed that home prices were continuing to drop, which was further undermining the level of consumer spending.

Consumers are retrenching themselves amid a startling increase in job losses and falling stocks and home prices, especially amidst what is being regarded as the worst credit crunch in more than seven decades. Still, the falling gasoline prices along with the end of political uncertainty have conformed consumers somewhat, according to some economists. Consumers are still largely hunkered down accordingly to financial economists, and a contraction in consumer spending is still expected in this forth quarter. Still, since the consumer confidence was projected to remain at around 38 in this month following the 38 that was reported in October, many economists are surprised to have seen an increase in consumer confidence as a result of the lower gas prices this month.

Earlier today, the S&P / Case Shiller home price index taken for 20 United States metropolitan areas in September showed a drop of 17.4 percent from a year earlier, which is the largest change since 2001 when year over year records began. The economy contracted at around a 0.5 percent annual pace between July and September, which was more than was initially estimated. Consumer spending began to drop at the quickest pace since around 1980. Stocks did manage to maintain earlier gains since the Federal Reserve took new steps to unfreeze credit options not only for homeowners, but also consumers and small businesses as well. The central banks committed as much as $800 billion dollars to these new initiatives hoping to create change in consumer confidence and spending accordingly.

The housing slump, which is what was responsible for triggering the credit crisis in the first place, is probably going to extend at least into a forth year. Foreclosures continue to run at a record rate, which is increasing how many properties are going up for sale, and is pushing home prices down in the process. Luckily, the outlook on the entire thing is improving. The improvement in consumer confidence this month is reflecting the general expectations among consumers that the economic situation cannot get much worse than it already is. Despite the improvement in consumer expectations index this month, consumers still seem to remain extremely pessimistic. Accordingly, the possibility that the economic is going to improve in the first half of the following year is still going to remain highly unlikely unless the economy experiences a great amount of positive change in the next couple of months.

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When most of us hear the word dividends, we think about the easy life, of lying around on the beach while earning an insane amount of money. The cold hard truth is a lot less pretty. Dividends can pay, but unless you’ve got a lot of money invested, your returns are going to be pretty small. Let’s take a cold hard look at dividends as well as some alternatives that can help you achieve your goals in less time.

First off, dividends are a very nice little income. But, it’s important to emphasize that “little.” If you’re planning to retire and live off them, you’re going to need to have a very large fund or you’re going to have to really cut costs. Look at this way. Let’s say you have a divided that returns 2% interest. In order to make a measly $12k a year, you’re going to have to invest more than $500k. Not many people can live on $12k a year, no matter where they are from.

While it certainly is possible to find higher paying dividends, the vast majority are in this range. So, unless you’re sitting on a $500k nest egg, you’re going to need to come up with another way to secure your financial future. One of the best ways to do this is to leverage your debt.

But wait, isn’t debt a hideous thing that should be avoided at all costs? Well, in the strictest sense of the term, and using the traditional logic, yes, debt is not a good thing at all. But, let’s look at it in a different light. There is such a thing as good debt, debt that actually works for you instead of running you into the ground. It’s time to rethink what you already know about debt and get ready to change your perceptions.

Bad debt is debt that you rack up buying inconsequential things. You get used to having nice things and you keep buying, even if you don’t really need anything. Before long, you’re in over your head and you’ve got nothing to show for all of that debt. This is the most common kind of debt and the reason that it has earned such a bad reputation.

Now, let’s look at good debt. Good debt is money that you spend that will create returns for you. By using debt to make smart investments instead of silly purchases, you can start creating multiple streams of income. This is a lot better than buying stuff that you don’t even need. One of the most common types of good debt is a mortgage. Most of us don’t have the resources to go out and buy a house with cash, we need to go into debt to get it. But, it’s incredibly worthwhile and usually necessary.

Good debt can be leveraged in many different ways. You can use it to purchase investments and bonds that will help you secure your current income. You can use it to take advantage of new opportunities that will create solid streams of income. In a nutshell, good debt works for you by allowing you to start investing in your future.

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While most of us get the general principle that we need to go into debt if we want to build up our credit, it’s tough to know exactly how far you should go. When you’re first starting out, it’s all too easy to get buried in bad debts that run into tens of thousands of dollars and it can take years to undo the damage that has been done. However, there are some simple rules of thumb that you can follow to help you determine how much debt you can safely use and what you’ll need to avoid in order to stay on top.

First, it’s important to understand the difference between bad debt and good debt. Yes, there actually is “good” debt, but you’ll need to be smart about your choices. Good debt is debt that can be leveraged to create income for you. Bad debt is the kind of debt that happens when you overspend on frivolous things that won’t make any sort of return. It’s perfectly fine to go into good debt, and in fact, most of the world’s millionaires have used this very technique to get where they are today.

Why is there such a disparity between these millionaires and the average American that’s trying to figure out how to make ends meet? The key is in how they use their debts. While there are exceptions to the rule, most business people don’t run out and blow a loan on the latest this or that. They use that loan to make an investment to create another stream of steady income. Over time, you can build up multiple income streams using this technique and you can end up making more money with these than you can with your old job.

The average American however may not know this. They’ve been trained to overspend, to run out and blow their paychecks on the latest clothes or electronics. All the time they’re spending, the interest rate charges are piling up and they’re getting deeper and deeper into debt. At the end of the day, a shirt may look nice, but it’s certainly not going to secure your future.

So, how do you know how much debt you can comfortably go into? If you’ve already established that your going to use that money wisely on new opportunities to create more income, you’ve got a little more wiggle room. It’s a good rule of thumb to use your salary as a guide as to how much debt you can comfortably handle. At first, try not to exceed three months of your current salary. This will help you learn the ropes and you won’t have the risks of getting in over your head.

As you start to make money from your multiple streams of income, you can invest this back into making more money or you can just pay off the old loan and get a new one to keep the process going. Never go into debt for the wrong reasons – and never let your debt get out of control.

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