Multiple Sources of Income
We have been conditioned to believe that our income should primarily come from one source. We grew up seeing our parents earn money from one job throughout their lives. So we were encouraged to go to school and get good degrees and hopefully find a job. Unfortunately the world has changed. We have many unemployed graduates. Jobs are no longer secure anymore. You could lose your job by simply looking at your boss the wrong way.
The richest people on earth don’t earn their money from one source. They have multiple sources of income. They are continuously creating new sources of income. And the good news is that anyone can learn how to do this.
Linda Proctor’s book called “Earn It & Enjoy It” clearly explains this principle. There are three ways of earning money according to Linda Proctor:
- M1 (Money 1), is the way 96% of the population earn their income; they are trading time for money. And when you run out of time… you run out of the ability to earn any more income. Michael Gerber wrote a book called the E-Myth and in it he says: “If your business requires your presence, you don’t have a business, you have a job.”
- M2 (Money 2) is the way 3% of the population earns their income… they invest money to earn money. This is a great way, if you have the assets and the skill. However, it can be difficult to accumulate the assets if earning in the M1 strategy.
- M3 (Money 3) is by far the best way of earning money. This is where you leverage yourself… through multiple sources of income. This is the way 1% of the population earns their income… but this group earns 96% of the money. ”
It is imperative upon each one of us to set up multiple sources of income. This is the only way to truly secure our FINANCIAL FREEDOM.
Good advise. Thank you!