Multiple sources of income
Nowadays, you see everywhere people selling or talking about the concept of multiple sources of income. Interesting.
I’ve never heard of this phrase 15 years ago. I guess it’s one of those flavour of the decade kind of thingy.
This phrase - multiple sources of income - is a great sales hook to pull in customers and converts (sheep to the slaughter).
I first heard this phrase during the Multi-Level Marketing (MLM) craze in Singapore. Remember it?
Next were Options, Forex, Property, Land banking, and what have you. Even in cyberspace, “experts” were selling programs how you can earn extra sources of income through affiliated marketing, blogging, etc.
Mind you, I have nothing against a side income or two. I myself have done it. But multiple sources of income?
Pareto’s principle or 80/20 rule
In our work life, especially those of us in sales know and practice this rule. We know how to prioritise and allocate our limited resources to those activities that give us the biggest payback.
If you are not familiar with this 80/20 rule, you may want to read up on it. Practising this rule is one of the biggest contributors to me getting my overseas posting.
Some KPIs you can miss; some KPIs you die die must hit! Clueless people try to hit all KPIs. Crazy! (Of course unbuttoning my shirt’s top buttons and wearing musk cologne helps with female bosses. Hey! I’m joking only!)
Isn’t it strange? We do one thing in our professional capacities, but we do another in our private lives. And I thought I was the only one with split personalities!
Experiment: Take one pin and a bundle of the same pins. Now poke your hand with each of them. Which is more painful?
Walk the talk
Regular readers may point that I dabble in currencies, precious metals, equities, futures, CFDs, and so on. Aren’t all these multiple sources of income?
Before returning to Singapore, I have two sources of income: my salary from IKEA, and my profits /dividends from speculation.
Can you see what I try to show? Equities, futures, currencies, etc. are merely vehicles or tools that I use – what I do part-time is speculation or betting. Nothing more; nothing less.
I don’t care whether I should call it trading or investing. And I don’t split hairs between dividends and capital gains – money is money; just as long it’s legal!
Now after coming back to Singapore to enjoy my “sabbatical from work”, I have one single source of income – speculation.
Others try to increase their multiple sources of income, I’ve reduced mine.
Selling or buying your way to financial freedom?
Now apply my logic to those evangelists of multiple sources of income. They may be engaging in lots of different activities, but there’s one common thread – selling.
That’s how they got rich! (Selling books; selling seminars; selling services; selling products; selling ideas; selling dreams, etc.)
Ask yourself: If you only buy from them, how are you going to be financially free?
I’m not saying don’t buy from them (we all have to make a living); but you got to join them after buying. Start selling too!
But I make money by buying equities and properties you may protest.
Au contraire! You make money by selling equities and properties at a profit!
Think about it for a moment.
(Tip: You earn your salary by selling your time plus labour and/or brain power. No country gets rich only with imports.)
Confessions of an ex-salesman
Singapore Man of Leisure (welcome to my blog; just google it!)
