Tag Archives: passive income

Creating Equity With Your Work

Business Success, Income Creation, , , , , ,

Marcus was elated when he opened the email from his client. His proposal to create the new brand images for the company had been accepted, and he was looking forward to working on the contract. This job, his most lucrative assignment to date, would help him to overcome some financial difficulties.

Marcus was consumed with designing various elements of his client’s marketing material; spending long hours conceiving the corporate images that would give the company an updated, modern image. He devoted all of his time and work effort into the creative process as he wanted to excel at the task.

Although he had bargained that the project would have been completed in six weeks, the adjustments requested by the company extended the time to three months. While Marcus was happy with the cash inflow from this big client, he realised that the amount of work he did was not reflected in his final bill. Continue reading Creating Equity With Your Work →

2012 Money Mission Review

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This year, we started off on an optimistic note, asserting that it was possible to make 2012 your best financial year ever, despite the challenges that you may have been facing. To guide you along the way, I outlined a Money Manifesto with 12 commitments that were essential if you wished to achieve financial success.

Recognising that many people abandon their new year’s resolutions by the end of January, I thought that it was important for us to make more regular declarations if we really wanted to improve our financial well-being. My monthly Money Mission suggestions were designed to help keep you focused on carrying out your money goals.

If you have been reading my recommendations every month, how successful have you actually been in carrying out the advice? Has your year been a ‘Mission Accomplished’ or has it been yet another 12 months of ‘Mission Impossible’? Let’s review all the money objectives that we proposed during 2012. Continue reading 2012 Money Mission Review →

Money Mission: Build a Money Machine

Income Creation, , , , , , , ,

Wouldn’t it be wonderful if you could design a machine that can generate cash every hour of the day? Whether you were eating, playing or sleeping, this device would ensure that you were consistently supplied with a steady stream of income. Your money problems would be history and the lifestyle of the financially free would be yours forever.

While many of us would love to possess a magic money machine, this apparatus would probably be impossible to build, and it would definitely be illegal. However, the concept of creating an income source that could eventually produce earnings without your personal effort is something that is entirely in your power to achieve.

Do you have to work to earn?

Most of us have grown up with the idea that the only way to earn money was to physically work for it. We were taught in school to study hard, get good grades and look for a nice job with attractive fringe benefits. For the most part, our education system does not foster entrepreneurial thinking which focuses on teaching people how to create income-generating systems. Continue reading Money Mission: Build a Money Machine →

Getting Out of the Rat Race

Book Review, Wealth, , , ,

“Warning: Do not read this book unless you want to quit your job!”

With such a dramatic introduction to The 4-Hour Workweek, I was instantly hooked. The blurb on the back cover continued, “Whether your dream is escaping the rat race, experiencing high-end world travel, earning a monthly five-figure income with zero management, or just living more and working less, this book is the blueprint.” I mentally placed a check against each of these desires.

As I started reading Timothy Ferriss’s debut Wall Street Journal best-seller, I realised that his cautionary advice was not merely a great marketing plug. The 4-hour Work Week is not a recommended resource for employees who value the perceived security of their jobs. If you really love working for other people, this book may be too disturbing or intimidating for you. Continue reading Getting Out of the Rat Race →

Networking for Earning

Income Creation, , , , , , , , , ,

Over the past weeks, we have been examining the age-old question “How can I earn more money?” If you’re seeking an answer to this problem, but you have insufficient time to increase your income, then you may have to change your method of making money.

As discussed, most persons earn a living by pursuing linear income, and have to continually put in work time in order to get paid. Linear income puts a ceiling on your earning ability, as time is a restricted resource. Also, if you have to physically stop working for any time above your vacation or sick leave allowance, your income is negatively affected.

Looking for options, we considered residual income, where you are able to earn continually from some type of work or investment that you carried out once. For example, you can earn residual income on royalties from book or record sales.

We also examined leveraged income, in which you can multiply your total income by utilising the efforts of other people. If you employ others to work in your business, then you make use of this type of income. Continue reading Networking for Earning →

Using OPT to Earn More

Income Creation, , , ,

One of the biggest financial challenges many persons face today is the need to earn more money to make ends meet and achieve their goals. As most people obtain their incomes by selling their time for dollars, their ability to increase their remuneration is severely limited by the number of hours in a day.

Many employees and self-employed persons neglect to pursue earning options from sources that are not wholly dependent on their physical efforts. They believe that work security lies in their own ability to complete a task and receive a payment for it.

In reality, this is not a very secure way of earning, as circumstances such as pay cuts, job loss or illness can derail expected income.

One solution to this problem is to create a passive income source that pays you repeatedly without your continued personal effort. As your earning potential is not completely dependent on your time, it is easier to make more money to supplement your regular pay cheque and channel excess money to invest in long-term goals. Continue reading Using OPT to Earn More →

Increase Your Net Worth

Wealth, , , ,

“I daydream constantly about being wealthy. I’m fed up with not earning enough money, and tired of having to scrimp each month to make ends meet. What should I be doing now so that one day I can really be rich?”

I believe that at some point, everybody has fantasized about being very wealthy and living like the upper class on “Lifestyles of the Rich and Famous.” While most people never realize that dream, a select few have been able to figure out a way to make the wealth gods smile in their favour.

What is it that separates this small percentage of the population that has achieved great riches from the rest of the world? One of the reasons, according to T. Harv Eker, bestselling author of the Secrets of the Millionaire Mind, is that people who are determined to be rich focus on increasing their net worth. Continue reading Increase Your Net Worth →