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How to make money

Sophie Paine

You have listed all the goals you would like to achieve with your money. The list is very long and your weekly allowance is not enough? Then you need more money.

Most people get their main revenue through work. They can be employed by a company or a governmental organisation and earn a wage or salary. Others choose to set up their own company - they are entrepreneurs.

Employment is an exchange: the employee gives time and work for the employer who gives money to the employee. Employees usually sign an employment contract with their employer. It describes the terms. Employers' and employees' rights and obligations are also defined by the labour laws.

So how much will you get? It depends: a salary can be fixed or variable. One part can be linked to the achievement of objectives or targets. It is usually paid monthly, but in some countries (Philippines, US) it is paid every fortnight.

Entrepreneurs get their revenue from the profit made by their company. This is more risky as the company might lose money but can also be a bigger reward if the company is very successful.

The third type of revenue is from investments, like rents from a property or dividends from share.

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