How to Make $200 a Month Using Proven Methods

Earning an extra $200 each month is an achievable goal for many seeking to supplement their income. This guide offers practical strategies to help you reach this target by leveraging existing resources, skills, and time.

Selling Items and Decluttering

Selling unwanted items is a straightforward way to earn extra income. This approach involves identifying unwanted household goods, clothing, electronics, or even simple handmade products that can find new owners. Choosing the right platform and preparing items effectively impacts sales speed and profitability.

Assess items for condition and potential value, focusing on those that are gently used or in good working order. Online marketplaces offer broad reach, with platforms like eBay often charging final value fees ranging from 8% to 15%. For items sold for local pickup, Facebook Marketplace generally charges no selling fees, but for shipped orders, a fee of 10% or a minimum of $0.80 applies.

Create appealing listings with clear, well-lit photographs and concise, accurate descriptions that highlight an item’s features and condition. When pricing items, consider comparable sales on the chosen platform and factor in any selling fees to ensure profitability. Regularly reviewing and adjusting prices based on demand can help facilitate quicker sales.

From a tax perspective, selling personal items for less than their original purchase price is generally not considered taxable income, and any loss incurred is not deductible. However, if you sell an item for more than you originally paid, the profit is considered a capital gain and is taxable. If your sales activity resembles a business, such as regularly buying items to resell for profit, all gross income from these sales is taxable, and you would report this on Schedule C, deducting any associated business expenses. Third-party payment processors are generally required to report transactions to the IRS on Form 1099-K if payments exceed $2,500 in 2025, though all income is taxable regardless of whether you receive this form.

Offering Your Skills and Services

Monetizing existing skills or providing common services to others presents another accessible path to earning additional income. Many people possess abilities that are valuable to others, such as tutoring, pet sitting, babysitting, or offering handyman services. Identifying these marketable skills is the first step toward finding potential clients.

Examples of services that are often in demand include pet sitting, where rates can range from $25 to $30 for a 30-minute visit or $45 to $75 for overnight care. Other opportunities might involve yard work, house cleaning, or basic virtual assistant tasks. Word-of-mouth referrals, local advertisements in community centers, or online community groups can be effective avenues for securing service-based work.

For those with skills suitable for remote work, online freelance platforms like Fiverr and Upwork connect individuals with clients seeking various services. Fiverr generally charges a flat 20% commission on all projects, while Upwork applies a 10% service fee to freelancers’ earnings. Setting competitive yet fair rates is essential, and consistent, reliable service helps build a positive reputation and a steady client base.

Income earned from offering services is generally considered self-employment income. If your net earnings from self-employment total $400 or more, you are typically required to file Schedule C (Profit or Loss from Business) to report your income and expenses. Additionally, you will owe self-employment taxes, which cover Social Security and Medicare contributions, calculated at 15.3% on 92.35% of your net earnings. It is advisable to track all income and expenses meticulously, as this information is necessary for accurate tax reporting.

Engaging in Online Tasks

Participating in online micro-tasks, surveys, and user testing provides a flexible way to earn supplemental income, often suitable for spare moments throughout the day. These activities typically involve completing small, discrete tasks that contribute to larger projects for businesses or researchers. While convenient, the hourly earnings from these activities are generally lower compared to other methods.

Platforms specializing in surveys, such as Survey Junkie or Swagbucks, pay users for sharing their opinions on various topics. User testing sites, like UserTesting, compensate individuals for providing feedback on websites and applications. Micro-task platforms offer a range of small jobs, such as data entry, content moderation, or image tagging. The cumulative earnings from these tasks can contribute meaningfully to a monthly income goal.

When engaging in these online activities, manage expectations regarding the pay rate, as it can vary widely. Consistency in participation often helps accumulate earnings over time. While individual tasks may offer modest compensation, performing several tasks regularly can help achieve a target income.

Income from online tasks, including paid surveys, is taxable. If you earn $600 or more from a single platform in a year, that platform may issue a Form 1099-NEC to report your earnings. Even if you do not receive a 1099 form, all income earned must be reported on your tax return. If your net earnings from these activities are $400 or more, this income is considered self-employment income, requiring you to report it on Schedule C and pay self-employment taxes through Schedule SE.

Leveraging Your Assets

Generating income by renting out or sharing existing assets can provide a distinct pathway to earning extra money each month. This method capitalizes on underutilized possessions, transforming them into income-generating resources. Various assets can be leveraged, depending on what you own and your comfort level with sharing.

For instance, if you have a spare room, listing it on platforms like Airbnb allows you to earn rental income. Similarly, a car can be rented out through peer-to-peer car-sharing services like Turo. Other assets, such as a parking space, or even specialized tools and equipment, can also be rented out to those in need. Each platform typically has its own process for listing assets, which often involves creating a profile, setting availability, and determining pricing.

Platforms usually charge fees or commissions on earnings, which can vary significantly. For example, Turo income is taxable, and if you materially participate in the car rental activity, it is typically treated as self-employment income reported on Schedule C. You can deduct associated expenses, such as Turo fees, maintenance, and the business use portion of insurance and vehicle depreciation, by tracking mileage or actual costs. For rental income from real estate, such as a spare room, earnings and deductible expenses are generally reported on Schedule E (Supplemental Income and Loss).

Understanding local regulations and ensuring adequate insurance coverage are also important. The effort involved in managing these arrangements, including communication with renters, cleaning, and maintenance, should be factored into your decision. Keep thorough records of all income and expenses for tax purposes.