How to make money with a job
Everyone wish to have a successful career and usually work hard to build themselves up and their reputation.
But the majority don’t build their financial life up. This has affected many especially after retiring or downsized from the job they’re doing.
Just like building your career, you need to build your financial life in other to get the financial balance you need in the future.
Why need money when I have a job?
You may want to ask. Well, there are two things that can come knocking from the day you start earning money from your job.
1. They either fire or retire you
We’re in a time when job security is a thing of the past. Companies, organizations and firms can fire anyone to reduce spending or cost, especially when they notice you’re more of a liability than the asset.
Those that escape then will not escape retirement. It’s at that time that your expenses begin to go down while expenses continue to go up. Without proper planning, the person will be in a serious financial mess.
2. You keep working for the rest of your life.
From the first day, you can decide to either make money to work for you or continue working for money for the rest of your life.
Working for money can be frustrating and boring. Proper financial planning makes it possible for money to work for you.
Although some may argue the fact that it’s not possible to make money from a job. They may not be lying, but they’re not saying the truth.
If you’re employed or about to be employed, I offer you the following step that not only makes your money but makes you financially free. That is money working for you the rest of your life.
a. Develop an investment plan
Begin by developing an investment plan that you’ll follow. The idea is to write the investment you intend to accomplish that will increase your income flow.
For instance, a person who has a job can write the following as his investment:
– 20 two rooms apartment
– 5% stake at XYZ company
– Building material rentals
Just list them. After making the list, then develop a plan on how you intend to achieve it, by giving yourself a time frame.
For instance, using our example for “20 two rooms apartment”, you could set you to accomplish date to seven years. Then break these seven years into month by doing one thing that will make you one step forward every month.
b. Start saving and investing
In his book “the richest man in Babylon” George S Clason, said you only need to save and invest 10% of what you earn.
Doing that is what will make the difference in the long run. Saving and investing can be difficult sometimes, but delay gratification pays in the long run.
c. Keep improving your financial IQ
Continue to increase your financial intelligence always. Know the difference between an asset and a liability.
These two words have confused many and as a result, people then to believe that a liability is also an asset.
Having checked the definition of asset and liability, the best one I’ve got is the one given by Robert Kiyosaki. He said an asset puts money in your pocket while a liability takes money out of your pocket.
He went on to say, an asset feed you when you don’t have a job and liability eat you.
These I believe is enough for many. Get to know more about an asset and liability the difference then makes you financial savvy.
d. Build multiple streams of income
You cannot run away from expenses. In fact, the main reason why many run out of money before their next payday is because they have fix pay and variable expense.
The expense for this month can be higher or lower that the expenses of last month.
Expenses can arise as a result of many things like hospital bills, food, transportation, cell phone bills, school fees and so on.
The only solution to that is by building other sources of income. These not only up your monthly expenses but will make it possible to have extra money for investment.
Having a job can be the joy for many especially with the level of unemployment. You’ll need to build your financial life by yourself and these makes it possible for you to be financially free.