How to Make an Extra $500 (Hint: It Depends on the Math!)

By | August 21, 2019


– Hey, it’s Pat here. In this video I’m going
to teach you how to earn an additional $500 a
month in your business. It doesn’t matter where
you’re at with your business, if you’re just getting started or you want to add an additional income to what you’ve already done,
whether it’s on the side or you’re growing your full-time business, it doesn’t matter. These are gonna teach
you what is possible. And the reason this video is important is because we’re gonna get
into the math a little bit. The math helps you determine what to do. Now I’m not gonna tell
you how to do something for like a quarter and
do it like 2,000 times, but we’ll start with a dollar. Something you can do for a dollar or sell for a dollar 500 times, right? Because 500 times one is $500. So one example are iPhone apps, right? iPhone apps are very popular. 99 cents is a common price
point and you sell 500 of them, you can have about $500 a month. But you have to keep in mind also that you’re splitting the cost. Essentially, Apple is taking 30% from you if you’re gonna be doing iPhone apps, so that means you have
to do a little bit more at the 99 cent level to get to that point. Now I’ve actually built an
iPhone app business myself with a partner of mine back
in 2009 and we did very well. We almost grossed a
million dollars from that, but we’ve since stopped that because the app market is quite
huge now and very saturated and it’s very difficult,
especially with Apple and all the other competitors out there, to get found and cut through the noise. But you can make it work, and
many people have proven this. Where you can succeed with apps, if you choose to go down that route, is to get very niched with it. So find a specific group of people. These entertainment apps, like these farting apps or whatever, those don’t work anymore. You can get lucky, but
if you really want to actually build a business out of this, selecting a niche, building tools and resources that they can use, these apps that they can use
in their sort of daily life or create habits or whatever, that’s how you can start
to gain some momentum there and actually make these 99
cents apps work for you. Another example that uses
a very similar kind of math would be like producing ebooks that you then sell on
Amazon for like 99 cents. And very similar, Amazon takes
a cut of that, typically 30%, and actually they take more if it’s between a certain price range. So I think even at the 99 cents range, you’d actually benefit more
by pricing it at $1.99, in which case you’d
only have to sell half. But again, how do you
get people to find them? Well, iTunes and Apple and Amazon, they have algorithms that can help you. And really what matters is
how useful is that thing or how great is that content. That’s how you get found,
that so you get shared, and that’s how you can do very well by selling a lot of things
at a very cheap price, but that may not be
the way you want to go. Alright, so next up let’s
talk about something you could sell for perhaps
maybe around the $5 level. Now obviously you could sell apps for $5, you can sell ebooks for $5, but let’s talk about something else. What about something like a template or a worksheet or some sort of spreadsheet that people can get
access to that helps them in some way shape or form in their life. So this is actually a lot
more common than you think. There’s a lot of niches out there that do serve a lot of
people in that space by selling worksheets and templates. If you look up on Etsy
there’s a number of them related to parenting and productivity and those kinds of things. Sites like Teachers Pay Teachers, teachers are creating their curriculums and selling them to other teachers as well and they’re making money
as a result of that too. Now five bucks would likely
be on the lower range of selling things like that
and just think about it, you’d need about a hundred people every single month to get access to that. But of course since you’re
using these platforms, you’re likely going to share
a little bit of that profit with those platforms and that’s okay. So you might need to sell a little bit more than a hundred a month, but if you can get to that point or maybe you have that size audience or you have connections with people who have those kinds of audiences, it can work out really well. Alright, so let’s move up now to $20 per item that you’re selling and how many of those
would you need to sell in order to get to $500 a month. Well, 25 of them, right? And this is something
I have experience with because the first thing
I ever sold was a book, an electronic book, an ebook, on my website at GreenExamAcademy.com and this was a book that
was not available on Amazon, but it was a study guide, essentially. A lot more information, a
lot more helpful for people who are trying to pass
this particular exam. I sold it for $19.95. And at that price level,
as you can see, 25 people. That’s less than one a
day every single month to get to that $500 level. So things start to add up at this point. As you can see, now we have less people that we need to find, but we’re
helping them in bigger ways. Yes, an app or a little ebook on Amazon could really help somebody, but something that’s a little bit more related to the specific
problems that they might have and something with perhaps some workbooks and other worksheets and
things that they can do to get some results, that’s something that you can command a much higher price point for and again, you wouldn’t
need as many people to get some big results. And fun fact, I later raised
the price of that same book and in that month I actually sold more. So as the price goes higher,
there’s higher perceived value in what it is that you’re offering, at which point a person may
be even more comfortable with paying for that thing. Okay, so let’s move up in price point now to something that’s maybe
around the $50 range. So how many of those
would you need to sell to get to $500 a month? Well, 10 obviously. When you break it down,
that’s like three a week. So what kinds of things
could you do at that level? Well, you can create something
like a small online course that really helps a person achieve some sort of goal that they have. So a little bit more valuable than a book, in terms of how you help somebody, a lot more valuable perceived there, because there’s likely
gonna be videos in it or perhaps some quizzes or
even a certificate at the end and this is very common through sites like Udemy.com or Lynda.com. Prices can range in those
different platforms, depending on the price, and you see courses that are
even more expensive than that. But that’s something you
can do that you just do once and then you just have to worry about having students understand
that this thing actually exists and then you can start building that and then of course you can build more courses on top of that. So maybe you only have to sell
one of each course every week if you have three courses down the road. So the math really starts
to work in your favor at the higher price levels, obviously, but it all comes with providing more value and the kinds of things that you produce. Now online courses can obviously
range in different prices and I would absolutely
not undersell yourself, which is a very common thing to do. I mean, I have courses that
are in the $497 and $697 range. Very premium courses
that walk people through a very specific process
on how to do things like podcasting or affiliate marketing, but anyway we’ll talk
more about that later. Let’s move up a level and
let’s get to the $100 level. What could you sell for $100 and how many would you need
to sell to get to $500? Well, the obvious answer is five. So what could you do at that $100 level? What would make sense? Well maybe you take the information that you have in this course, and instead of an online course
that people get access to, maybe it’s group coaching. So you find people who want
to work directly with you. You can answer their questions and you do it in a group manner where it’s one to five, for example, and you can have those people continue to pay you every single month. So you don’t even have to find new clients when you want to do that. So this could be something like tutoring. Maybe you do tutoring for something or you teach music or
something like that online. You can do that virtually
using tools like Zoom, for example, where people
get access to a link to then get direct access to you and you can do that in a group fashion. You can start to introduce some sort of lower-level services at
this price point too. So maybe, for example, you have some web development expertise and you have five people who
pay you every single month just to get access to you
whenever they have questions to help them with their website as they come across bugs
and things like that. A little bit of access in a group manner or some services that you
can offer at this point too. Five people a month? $500. So now let’s make the
jump from $100 to $500. Why? Because all those
things I just talked about, you can obviously
increase the price point, you can sell one course
for $500, for example, you can have two clients who pay you $250 for some sort of service that you offer, but let’s talk about the
one client or one person or one customer at $500 a month. Kind of sounds cool, where you can just find one
person every single month or one person that can
pay you for 12 months and that’s all you have to worry about for an extra $500 a month. What could it be? So perhaps this is a one-on-one situation. You have one person who
pays you $500 a month for some training, physical
training, for example, or maybe you are there to help them with their search engine optimization or you become their go-to designer to help them with whatever
images they might need on their website or photography. Maybe you just continually provide some photography for this client of yours. No matter what it is, one person, what do they need help with? Do you have a skill that they need? They’re likely gonna pay for that, because they don’t have the time, they don’t have the skillset or the education that
you have about that thing and you’d be surprised about what people would pay for at that price. Another example would be to find a company that would pay you a $500 a
month retainer, for example, for some sort of ongoing
service that you do. It could be really anything. Find a company, ask them
what they need help with, and work out a deal. It’s actually a lot easier than you think to find problems that you
could potentially solve. Now coming up with a deal and getting the courage to
actually go and do that, that’s the hardest part. It really all starts up here. So the money is out there. There’s no shortage of
opportunities for sure and there’s a lot of different
ways, as you can see, to kind of move things up and down in terms of how much something costs and how many people you need in. And, of course, over time you
might get even more people in at even a higher price,
which be kind of cool, but it’s really up to you
to take those first steps and take that action. So hopefully you got some
motivation from this video and the numbers make it
seem even friendlier to you, because I know a lot of you
are just getting started and you just have no idea
what’s even possible. Well again, like I said,
I’ve structured it in a way so you can see the numbers
actually work in your favor. So why don’t you just get
started and make things happen? Now what’s really cool is, since you’re just getting started likely, you are in the right place. I teach people how to take what they know and turn that into a business. So make sure you subscribe to the channel if you haven’t already. I’d love to know also below which one of these examples are you either doing already
or thinking of doing? Which price range and person range is most interesting to you? And then finally, make sure
you click on the videos either here or over here on
this side to get started, because those are going to be the most helpful videos for you right now. So click on one of these videos next and I’ll see you in the next one. Thanks again and Team Flynn for the win. (soft music)

69 thoughts on “How to Make an Extra $500 (Hint: It Depends on the Math!)

  1. Zen Rose Garden Post author

    DUDE $500, MATH? Again, another great video!

    Reply
  2. Bernhard Ernst Post author

    This is great inspiration for anyone who wants to get into a particular market and does not have huge resources available. Also, different methods should hopefully give someone ideas since not everything can be done by everyone.

    Reply
  3. Phil Lichtenberger Post author

    #Teamflynn for the win! I started a $40/mo retainer program via Patreon. This books me for a single 30 minute per month 1 on 1 session. (Plus it adds all of my lower tier Patreon benefits as well) I'm still waiting on my first client…

    Reply
  4. Chris Pyak Post author

    Love it Pat. PS: Will my episode of AskPat still show?

    (If not it's fine. I understand sound quality was not the best.)

    Reply
  5. Jason Resnick Post author

    I've built out a video course for Freelancers called the Sales Kit – https://rezzz.com/freelancers-sales-kit for $49

    I've been thinking about ramping up Group Coaching though since I already do 1:1 coaching, thinking that potentially there are more folks on my list that would want the group type of thing.

    Reply
  6. Boobs Tattoos And A Motorcycle Post author

    This is awesome!!! Thank you for this video!!!! I am thinking about putting together a couple of beginner series videos along with a template of some sort but I was always skeptical about doing it. Eff that!!! You just gave me the cajones to go for it!!!!

    Reply
  7. Eric McPherson Post author

    #TEAMFLYNN for the win! Pat – Thanks for another great video! Currently looking at starting with affiliate marketing.

    Reply
  8. Big Blue Post author

    Hi Pat, I'm looking to set up a business selling training courses to businesses. I am looking at an initial training package, probably in the £300-£400 range then access to other training and a monthly newsletter to keep people up to date.

    Reply
  9. LightupwithShua Post author

    Really like the way you break it down. Thank you. I plan to use it to sell my courses and templates .

    Reply
  10. Jk Canvas Post author

    #TeamFlynnforthewin
    My wife and I are investigating starting a leadership consultant business and this would be perfect for us.

    Reply
  11. Marcus Brooks Post author

    Great idea! My passion is running and I would love to be able to monetize. Extra $500 is my goal right now.

    Reply
  12. Michael Jay - Value Investing Post author

    Simple but powerful concept. If you want to make $120,000/yr that is $10,000/mo.
    That means each month I need to make:

    50 sales for $200 or
    100 sales for $100 or
    200 sales for $50 or
    1000 sales for $10

    Figure out what product and what customer, then target the goal that makes the most sense for you.

    Reply
  13. Aqeeb Khan Post author

    Hi Pat ,I prefer $1 * 500, $5 * 100 & $500 * 1.

    Reply
  14. Hassaan Khan Post author

    Hi Pat, amazing video. I like the way you teach the business side of blogging.

    Reply
  15. Cookin' with Kibby Post author

    Dude, I love how something as simple as 4th grade multiplication factors can take something as intimidating as making an extra $500 and make it seem achievable. Thank you so much, Pat. #teamflynn serving for the win!

    Reply
  16. PowerPoint Training Online Post author

    Love the video Pat. Really interesting and you really make it easy to understand as you usually do.

    Reply
  17. Danny Rubio Post author

    Thanks for helping us put the math into our dreams so that we can realize how much we could get in a month. If we finish out our products and get stuff out there.

    Reply
  18. Ahmed Khalifa / Hear Me Out! [CC] Post author

    You could always a combination of several different price points for different products. And using the same mathematics logics explained in your video, you could have several different items selling at $500 a month.

    And that would be fun!

    Reply
  19. Mitch Allen Post author

    Okay, I've done both: Kindle eBooks and iPhone apps. It's not that easy to just toss something over the wall and have money raining in. It helps – a lot – to have an email list of loyal followers first. With all the competition you really need to step up your game.

    Reply
  20. Luis Martinez Post author

    Good video, though the last example (basically being a freelancer for a company) is purely active income right?

    Reply
  21. Michael Weiss Post author

    Thanks Pat for keeping it simple and inspiring us. I'm working on a Udemy course that I plan to turn into an ebook. I didn't think about selling worksheets though, so thanks for the suggestion!

    Reply
  22. Colin O'Neill Post author

    Sorry off topic, but great DeLorean and TARDIS t-shirt!!!

    Reply
  23. Jason Rice Post author

    Great video! I love the idea of having a variety of service/product offerings at varying prices to make extra scratch every month. Thanks, Pat!

    Reply
  24. Bryan Bulmer Post author

    The video help me think about creating a checklist for those going to college to help them think through the deadlines and make sure they have they have the materials they need to meet those deadlines.

    Reply
  25. Shelly Galligan Post author

    I teach boaters how to handle medical emergencies on the water. So far this looks like a 2-3 hour seminar at boat shows and yacht clubs. I’ve just started getting a small stipend for each one and am branching out into smaller team trainings. I’m audience building and establishing my authority. Next I would like to come up with an ebooklet, then an online course to acutally have something to sell!

    Reply
  26. Why Leave Town Post author

    Love the t-shirt Pat! Oh, yeah the video was great too:)

    Reply
  27. Blessed or Messy w/ Franki Post author

    Hello. I'm selling eBooks at various price points on a couple of sites. I'm also teaching classes. Always looking for ways to earn more. Thanks for sharing.

    Reply
  28. Jason Cheong Post author

    Feel so motivated every time after watching your short video. Thanks for breaking things down so clearly! #teamflynn for the win!

    Reply
  29. Because we were bored Post author

    Hi Pat, great video really makes it sound simple now the hard part coming up with the right products and then marketing those products. That being said I think your videos, podcasts and blogs are great I just need to find for works for me, what I am passionate about and then put your methods to work. Keep up the great work you are helping so many.

    Reply
  30. Purposefully Inspired Post author

    Great ideas Pat. Thanks for breaking things down and sharing inspiring options that have worked for you! Gino

    Reply
  31. Communication Coach Alex Lyon Post author

    Love the clear thinking. I have a template that I show in my videos sometimes and I think I could spiff it up a bit and charge at least $5 for it. Thanks for the great ideas. 🙂

    Reply
  32. Nichole Thomas Post author

    Great video! I'd love to try the incorporating worksheets and group sessions in my model. Thanks for the ideas!

    Reply
  33. Travis Sanders Post author

    I always feel so inspired to go away and create something after watching your videos or listening to your podcasts, Pat. thanks a lot for putting this out there to help people like me who are just starting out, as the roller coaster ride of being pumped and motivated one day, and feeling like you can't do it and it's not going to work, is very real, and can really slow down progress!
    Once again, thanks for the motivating and inspiring content!

    Reply
  34. Jordan Kolker Post author

    Hi Pat! I Know Your Son Keoni! He Is In My Class! I Am In Mrs. Dress’s Class! I Love Your Channel! I Have Subscribed! And The Cool Thing Is Is That I Have Met You! Good Job On Tou Vids!

    Reply
  35. Maria Nattestad Post author

    Thanks Pat! This is my favorite kind of math. I sell software to a niche that I initially thought "doesn't pay for things, especially not software" — scientists. Circa produces $100 x ~15 per month for the last year. The math works 🙂 I also started with a lower price point of $25 and literally had some professors tell me that was too low, I'm glad I listened.

    Reply
  36. Dakota Stelzer Post author

    Love these back drops you use! Content is pretty solid too!

    Reply
  37. Sun Dancer Post author

    Well, as always, Pat does a great video. While listening to this, I reflected that Pat…..(based upon his earnings page)…..has paid out a lot of money to people for their expertise. Sometimes, the hard part is knowing when to pay the money out…..or learn how to do it. $$$…..or learn? Tis the question!

    Reply
  38. Jason Stallworth Post author

    I’m a small-time Heavy metal recording artist in which I promote my albums and music. But I would also like to expand and create an eBook for video series for metal guitar tutorials. Perhaps I could sell that for $50?

    Reply
  39. Fit Love Power Post author

    Really greta vid Pat. This channel is in the fitness niche and you opened my eyes to using what it is I'm good at to make a product to provide value.

    Reply
  40. Jay Mindoro Post author

    Wow…I have a lot going in my mind right now! 🎉

    Reply
  41. Too Many Ideas Post author

    Hi Pat! I made an app, a tool for Instagram users, but its not getting discovered. Any tips for this?Hope one that it reaches $500 amonth! 🙂

    Reply
  42. Ma.theresa Vios Post author

    Just talking…very confusing.. U talk so much with so many ideas. Its difficult to understand for me.

    Reply
  43. FindingYOurself Williams Post author

    its nice but hard the key really is to start doing it

    Reply
  44. Alexa Lanier Post author

    I keep getting distracted by your shirt. I LOVE IT!!!

    Reply
  45. Plants Not Perfection Post author

    I’m digging your stuff Pat, thanks! So well spoken

    Reply
  46. janco vorster Post author

    Again you have "opened up my brain" to new possibilities. Thank you very much.

    Reply
  47. Dr. Suresh: Online Biology Teacher Post author

    Pat, Thanks a lot for guiding and tutoring us, I heartly appreciate your work and content you provide, you are unique in the value you provide. I need to know how to prevent E-book from being shared by the buyer???

    Reply
  48. Darryl Miller Post author

    Pat, I appreciate your transparency because there are so many people out there in the social media think that they are going to get a lot of money just by them sitting back and wait for the rooster to crow. It takes hard work and commitment. As you said is quite well is that it is not the amount of time you put into doing what you do but to think smarter with your time. Keep up the good work. Thanks, D.M.

    Reply
  49. xCCflierx Post author

    if you have a $3000 item you can sell, then it would be you ONLY have to sell TWO of them each year for you to be at $500/month. But the most important thing you kind of missed is that you should use ALL of them, because $500/month is:
    1 $3000 item, 2 $500 items, 4 $100 items, 8 $50 items, 16 $25 items, 32 $10 items, 64 $5 items, and 160 $1 items in one year. You can start people off with a free ebook, trial, or sample and then move them up the ladder for them to buy more items. Or start them off at the top, and then move them down the ladder for something that fits their needs and budget the best.

    Reply
  50. Carlos Post author

    I will not buy nothing from you with that title after looking this video. You just changed the product with higher price and kept going and going. You can apply the same thing with car wash or anything else. I appreciated your time for the video and I watched it all but I though you will be giving up tips not just lets sell this for $1 x 500 and then this for $2 x 250 times. Click bait video

    Reply
  51. mahmoud faryabi Post author

    I really glad to find you pat, you make me feel better and strat to work and cut laziness, appreciate 🙏

    Reply
  52. Hatice Tavli Post author

    I know math and data science and artificial intelligence and stuff.. how to I earn money with that online?

    Reply
  53. Josh Pearson Post author

    Fuck you you lying mother fucker. How many of you can watch so many money making vids like this before you realize they're fucking bullshit. He's trying to sell you something, that's how HE makes money. Not you.

    Reply
  54. devendra patil Post author

    Sir, I want to start online income and I don't know where to start…. Please help me I am very confused and stuck………

    Reply
  55. DigitalVideoTools.org Post author

    He'll of a lot easier to sell one item for $500

    Reply
  56. Joes Golden Garage Post author

    Video influencers sent me. Just subbed! Enjoyed the interview. Look forward to listening to channel! Thanks

    Reply
  57. Joes Golden Garage Post author

    Oh and I love the t shirt. That’s pretty funny

    Reply

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