I live Freelancing. The obvious reason: It's the major source of income for me. You got some skills, market it and you are going to make handsome money. The method used is Freelancing.
So, How to start Freelancing? How can you be a Freelancer? The path is very simple. 
For starters, just make profiles at some CrowdSourcing Services as Elance or oDesk , and start bidding at the jobs which match your skills! Easy, isn't it? If it works, you can consider about Building personal brand and get projects without these crowd-sourcing services. Sky is the limit.
Ready to start? OK. Let's learn how to get work from sites likes oDesk and Elance. The steps are:
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Complete you Freelance Profile. Include you previous experiences, skills and Portfolios.
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Pass the related tests. It proves that you are capable for something.
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Bid Less than others at start. You have to get the jobs to make your profile shiny. Focus on building authority at start.
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Never Over-promise. Always include what you are capable to do.
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Always mention, why you are the right person for the job. Include that why you are working for less money. What are the steps and milestones? The more detail you provide about you and your services, the winning chances will be higher.
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Apply some effort while bidding. If the job is for Web Design, try to make a quick mock-up based on the data provided. Send it with application. Thus, the chances will be more. If its about SEO, do a quick review of website.
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Engage the Buyers. Tell them that they can ask questions before rewarding job. If you get selected for an interview, try your best to convert it into a gig. Please them, with your answers and politeness.
So, these are the basic tips for Freelancing. Well, It is really a good way to make money. All you need is to be good at some skills.