If you still have all your eggs in one proverbial basket, you are probably setting yourself up for one big, flat fall. Relying on a single income stream in this economy is a risk no one should really be taking.
As the responsibilities of adult life increase, it becomes increasingly obvious that no one should have to survive on a single stream of income. It’s simply a risk not worth taking.
Whether you are an employee or a business person, living on a single income stream is like walking on a tight rope which could snap at any moment.
Let me ask you a question.
What will happen to your life if you lose your job or your business suffers a collapse?
Go look for another job?
Go start another business?
What will you do?
Don’t tell me, ‘but my salary is big enough’. The bigger your salary, the more you tend to spend it on more stuff because ‘human wants are insatiable.’
In this post, I want to share with you some reasons why you must never rely on a single stream of income if you want to fully enjoy your life. The idea is for you to start thinking of how to set up multiple streams of passive income for yourself so you can still do what you do and earn more in revenue.
A single income stream is not enough to build wealth
You build wealth when you have revenue pouring in from different sources at the same time. You may have heard that an average millionaire has more than 6 streams of income.
Sure you could become rich on a single stream of income but it’s extremely rare, difficult and quite frankly it’s just not enough.
If you are making millions every year which comes from only a single source, whether a job or your business, you are not a millionaire, you are just a lucky person.
It takes only one market crash, an economic downturn or a recession for you to lose everything.
More Risk, Less Control
With one stream of income, you are open to more risk and less control over your financial life. Getting income from several sources helps you to be less exposed to financial risks.
When you have more than a single stream of income, you are more likely to create exponential income than when you have to depend on a single income stream.
You are not in control of your job and this means you can lose it at any time. This means you are also not in control over decisions like which school to send your kids to. Your income decides that for you; the stretch on that single income could be too much.
Creating more streams of passive income gives you better control over your financial life. It allows you to respond to money issue instead of just reacting to them.
Job security is a trap
How secure is your job? Let’s face it, there is nothing safe about being an employee, especially in this tough economic climate.
Employees are mostly always living in perpetual fear because there is an invisible ax dangling over their heads.
Having more streams of passive income not only gives you something to fall back on in the event of a job loss, it gives you more freedom to build the kind of life you want, spend money on things which are important to you and do your job to your best ability without worrying about the sack.
It’s just not enough
Relying on a single stream of income is not enough.
Emergencies like an accident, a serious illness, unexpected disaster that will need you to relocate to another city for a long period, any of these could happen at any time.
You will have no choice but to borrow money which will lead to more pressure as you will be thinking of how to pay back, and how to feed yourself and family from that little income of yours.
This might even lead to getting a second job so you can raise extra cash which will end up stressing you out.
It is not fun being under pressure at all. It is not even good for the health as the person won’t be able to think properly because the mind is troubled.
Relying on one stream of income will make you start cutting down on what you are supposed to enjoy so that you can have enough left after expenses.
A single stream of income is not enough no matter the size of your paycheck. If you are still walking that tight rope, it’s time to take proactive steps and secure your future.
A lot of people agree that generating multiple sources of passive income is the way to go; they just don’t know what to do or how to go about it. That’s why I’m here.
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