Multiple Streams Of Income

"It's not possible!" is what I've heard often when I tried to discuss earning multiple streams of income with others, and it makes me quite upset.

I've kept to heart that great minds discuss ideas, thus I've been trying to use ideas as the main topic of my conversation. But sadly, most of the people around me don't share the same point of view. Most would choose to discuss people more (it's just talking shit behind their backs).

Despite that, I've managed to obtain a few opinions from some of them, and what I've heard got me contemplating for a long while. Average people don't get the meaning of multiple incomes, their perspective of the wealthy is that the wealthy people do business, that's why they're rich. To them, they're poor and average because they're working a job, while the rich are rich because they do business. It may be true, but not all of it.

Most wealthy people would have if not 5-7, at least 3 streams of income, and 1 of them is "earned income". Some of the top wealthy people in the world started from zero, started from " earned income" from a job, and build their way up the ladder. Not all wealthy people have rich family heritage, some build their empire and wealth from scratch. And here we are, complaining that we're poor cause we doing a job and not starting a business, it just goes to show how narrow-minded people are and how negative their mindset is.

Here I'll make it clear how is it possible to build up your wealth even though you're only working at a job.

Firstly, I'll describe the multiple incomes to help you understand more.

1. Earned income - Salary/paycheck earned from being employed/self-employed at a job. This earned income is typically subject to taxes at different thresholds depending on the amount.

2. Business income - Alongside earned income, and also subject to taxes. Income from the business that you've set up, otherwise known as a side hustle, and this income may even come from multiple sources. Most people use time after work (6 pm-10 pm) to earn this income

3. Interest income - Income earned from leaving fiat in your bank, even though it is not recommended now as the interest rate is too low to be able to earn a decent amount from them. Another one is interest earned from granting loans (Do remember to sign a contract with all details visible and clear).

4. Dividend income - Income earned from holding shares or stocks in a specific company, It may be paid quarterly or annually depending on the company's policy, and the amount earned depends on the company's revenue and profit.

5. Rental income - Earn from owning real estate and renting them out, then receiving monthly payment as rent. Your profit after paying your mortgage differs depending on your property's venue(wealthy neighborhood) and demands. Some of the experienced real estate investors scout for broken-down property in a well-doing neighborhood and house-flip them before selling for a profit or renting out for monthly cash flow.

6. Capital gains - Capital Gains income is acquired through the sale of assets such as art, stocks, business, and loans. Income earned via this route is subject to capital gains tax but will often be acquired as a lump sum rather than consistently over time.

7. Royalties or Licensing income - If you're creative and produce music or photography content? Licensing this for specified public usage means you can create royalties as an extra stream of income.

Royalties are not likely to be significant on their own, but mass production/usage of your content is likely to bring in a steady stream.

So what are the benefits of multiple income streams

* You reduce your reliance on your main income and will find that even if a problem arises with either one, or you end up losing one of the income streams, you still wouldn't be in a critical situation and can take your time rebuilding that lost income.

* You won't need to live paycheck to paycheck anymore, you're also able to reinvest back into your income streams to reduce your time achieving financial freedom.

* You'll have more time left on your hand to be with your family, travel, or pursue your dreams and passion.

* You'll now have the financial ability and time to set a concrete foundation for your side hustle and grow it into an empire.

Then how should I start building multiple income streams?

1. Saved Up - Save a portion of your salary, no matter it is 10%, 20%, 30%, or even better if it's 40%.

2. Cut Down On Expense - This I don't mean your necessities, I mean all your wants and short term desire(Luxuries, Brand Name, and the latest iPhone)

3. Still Not Enough To Save? - Get the freak off your couch and hustle! No excuses for those who want to build, some people work 2-3 jobs just to change their life, you cannot be saying you're tired after only working 9-5. Especially if you're a specialist at something, all the more you should use that skill to earn more than just your salary, you've got 24 hours a day and you're gonna work 8 hours and use the rest of the time watching movies on the couch?

4. Clear Debts - To peacefully invest without much stress, it's better if you use the money earned from side hustles to clear off your debts first. Start by being debt-free first, it greatly reduces your daily stress.

5. Start Investing - After clearing debts and saving up again, start investing in something small like stocks, if you feel it's risky, then try S&P500 first, it's like buying a fraction of stocks of 500 companies. That way you'll have your risk reduced now, and it's also recommended for beginners in stock investing.

6. Learn - You'll find yourself lacking in knowledge by now. Then start learning, whether you want to involve yourself in stocks, cryptocurrencies, real estate, or anything you find interest in. Research for more information before diving into it. -Know your enemies, you'll win every battle.

7. Grow, Grow, and Grow - Never stop growing, never stop learning and never stop going forward, because there is no such thing as stagnant. The moment you stop moving forward, then you're moving backward because the world won't wait for you.

I've said all there is to be said, there should be no more excuses.

Following my guidelines won't guarantee you being rich, but it'll guarantee you a better life than you're living now.

Even if you're not wealthy, at least not always being in a critical financial situation is a whole lot better, right?

Even now I'm also trying to do it, no matter how it'll fare in the future, I believe it'll be better than how I'm living now.

Good Luck and I wish you all a successful journey!