In fact, no matter how many jobs you hold, the income you get from working more hours alone will never get you out of poverty. How do you create a sustainable income? To become rich, we must remember several principles.
Firstly, anything that is not sustainable is not to be envied.
In a course on wealth, the speaker on stage asked the audience on stage, "Do you know what the definition of rich is?" The audience was stunned. Isn't the definition of wealthy a lot of money?
The speaker shook his head, "If you think you are rich because you have money, then you don't know the definition of wealth."
A truly rich person is someone who has health and time to spend money, and how is the definition of having wealth defined? That starts with understanding how long the original standard of living can be maintained when the whole family is not working.
"The definition of having wealth is being able to keep yourself and your family clothed and fed when you are not working, or when you lose the job at hand. "The audience was dumbfounded on the spot; not working and still being able to continue to survive? This is something that is not taught in all schools. The speaker implied, "When rich people don't work, they still have their previously invested funds, stocks and the rent of their houses, and most importantly the systems of their businesses work day and night, and so on, so rich people still earn tens of millions of NTD every month playing golf every day."
Having a gold mountain and a silver mine is not really something to envy. Instead of choosing a million dollars, you should choose a cup that will keep on bubbling with money.
"The cup that keeps on bubbling with money", that's the concept of continuous income.
"It doesn't matter how much money you make, it's how long you can make it that counts."
Many people spend their entire lives working and are reduced to almost working machines, but are unable to get rich in their lifetime. Those who buy lotto and gamble, thinking they will get rich overnight, they too achieve their goal of getting rich, but, note, it is to help those lottery betting shops or casinos to get rich.
It is not that difficult to get rich. Income is a measure of psychological status and our surroundings are simply a projection of our brain's values. Think about how many times your current job pays you. How many times in your life are you selling something that you can use? We can then have real wealth and create a plan to never run out of money!
Secondly, completely change the income structure.
It is the income structure that is the key factor in determining whether the family is rich or poor. Most families earn the majority of their income through work, with about 95% of their income coming from the salary they receive at work. The proportion of income earned when not working, such as interest income, rental income, pensions, royalties, etc., is lower for the average household, at around 5% or even none.
In order to change the income structure, we must increase the "income when not working".
If we could increase the income from non-working hours, which was only about 5%, to over 95%, we would not have expected inflation to rise so fast, and now he is 80 years old, still in good health, but almost sitting on his pension.
So we have to think through how much money one needs to save for retirement to be able to beat inflation.
Smart people know how to use their leisure time to help themselves find a sustainable income. In order to avoid the collapse of an M-shaped society, we have an obligation to tell our friends around us to find ways to have a sustainable income. This is a sense of mission and a responsibility to society.
Thirdly, at least one person in the family has to generate a sustainable income.
Every car has a fifth
Do you have a spare wheel for your family to have a "sustainable income"? There are two roles in the family, the caregiver and the dependent. The caregiver is the one who is responsible for the family's livelihood and earns money to take home to support the family, while the one who is unable to work is the dependent.
Risk is always present and if something unfortunate happens to the caregiver, the family will be impoverished or even unable to make ends meet! It is not uncommon in Taiwan for the whole family to be left without a caregiver and in need of social assistance when the caregiver falls down. In fact, it doesn't take an accident for the carer to be sacked by their boss one day and lose their source of income, and the family's financial centre of gravity is suddenly thrown off balance. Note that most carers work hard every day, and over the long term, it is highly likely that their bodies will be overwhelmed, so it is often the carers who fall down first.
Smart families know how to save for a rainy day and can even make it less strenuous for the carer. A radical change in income structure and the pursuit of a sustainable income is the only option. Therefore, to stay out of poverty, at least one person in the family must generate a sustainable income.
Fourthly, influence the world out of poverty and create a sustainable income together.
When people are in good times, they must think about where the crisis is! Whenever you create a sustainable income, you will be able to get out of poverty. Build up at least one sustainable income for yourself or your family while you still have the energy and spare time to do so!
Investment income, copyright income or system-generated profits are all types of sustainable income. In Taiwan, about 1.5 million millionaires have used their spare time outside of work to develop their own sustainable income systems to lift themselves out of poverty and realise their dream of never running out of money.
Some people have to work hard at a second job after work because their income is not stable at work, but don't think that this will keep them out of poverty.
Once again, no matter how many jobs you have, you will never be able to escape poverty by earning hours.
Any income that is unsustainable is not worthy of envy, and working overtime and pursuing it at the cost of your health is even less worthwhile. Also, the interest on your savings alone is not enough to keep you in retirement. Are the clients you find today going to come back and spend tomorrow? Many kinds of options are available that can in fact allow you to profit multiple times.
For example, a songwriter gets paid, a marketing consultant who holds shares in a business charges a fee, a landlord collects rent, an inventor registers a patent, a website builder collects click-through fees day and night, a supermarket collects channel promotion fees, an entrepreneur builds a system to collect franchise fees, a businessman does direct sales, an insurance broker builds an organisation and expands the system, and many other situations that may bring ongoing payments. Which do you choose, to be paid once for doing business, or to be paid n times?