Can someone recommend the best 1.19.3 Minecraft server-side mods to make it perform better?

I purchased my VPS through Hostinger. I have maybe 4 people on max, and even when it’s only 2, the server is prone to timing out and the lag can get terrible. It settles down eventually, but it’s never been a responsive server. There are two small farms (XP farm and iron farm), and a building and some bridges underground. We’ve explored a bit but nothing insane. That’s it. Hostinger says it’s not on their end. I’m running Fabric with Lithium and Phosphor just for performance, nothing else. I’ve allocated all 3GB of RAM that I purchased for my VPS package and that doesn’t help much. I started with 2GB, then 2.5, and today I allocated the rest.

To recap, the server is timing out sometimes, and the console is reporting really bad latency at times.

I ran a Minecraft server via host in like 2013 and there were huge builds with massive complex farms and I never ran into an issue. I’m not sure why such small potatoes is calling