It doesn't matter if you own a small business on the side, re-sale stuff, monetize a YouTube channel, write books, make and sell furniture, knit sweaters, bake pies, partake in online affiliate marketing, cut or style hair, become a public speaker, or write a blog. The fact is, you need to have more than one stream of income in this volatile age of the widening gap between the rich and the poor.
Keep this in mind, you don't need multiple streams of income to buy more stuff, take more vacations, or to haphazardly spend on things that go down in value. If that is what you choose to do with extra income from various streams of income, that is your prerogative, but the fact remains, there are several reasons, other than frivolous reasons, to have many different streams of income.
Here are 5 valuable reasons you must have multiple streams of income.
1. Affirmative action is a thing of the past - Nowadays, being able to take advantage of built-in discrimination based on skin color is over. Is racism still alive and well in the workplace? YES. However, advantages of affirmative action have now been replaced by women, trans-gendered people, disabled persons, Asians, Hispanics, and other groups. Corporations do not have to hire you, and the fact is, if they don't have to hire you, often times they won't. I wish I didn't have to say that, but this is, unfortunately, backed up by many studies that show this to be true. And if companies do hire you, they will likely hire only a few people that look like you at the very top. Sad, but true. Most people won't say this, but it's very obvious. Multiple streams of income will allow you to rely less on somebody else's job, and rely more on yourself!
2. Control and ownership of your financial life - Having additional streams of income allow you to have a realm of control over your destiny that you don't have when you rely on only one source of income. When you own or control another source of income, which is at your disposal and under your control, there is a healthy sense of power that is developed and nurtured, that adds to your self esteem and develops your sense of self worth. It does something unnatural to a human being, particularly a man, when someone else is feeding your family! Relying on one job to eat will mute you and emasculate you as a man, quicker than anything else. If you want self esteem, have multiple streams of income. It helps!
3. Diversification - The first rule of investing is being diversified, or not putting all your eggs in one basket. If you have one stream of income today, if that stream goes dry, you are up a creek with no paddle. Run your life like you'd run an investment. You'd never put all your eggs into one piece of investment, so why put all of your eggs in your one 9 to 5 job? It doesn't make sense. You must have a cushion, an out, or some way to earn money, if that well runs dry. This is called security. This is extremely important. There are a million reasons that a corporation can get rid of you, and if you are only relying on them, you are jeopardizing your future, playing with house money, and putting yourself and your family at incredible risks. Why not minimize these risks by developing various avenues in which you make and earn money?
4. More money to invest in more capitol - If you want multiple streams of income just to have more material goods that will lose value and fade away in the next 15 years, then you have the wrong idea. Multiple streams of income can increase your wealth, which can be passed on to your future generations. More streams of income, which increase your ability to invest more, which in turn, increases your net worth and your ability to save, give, and store wealth. You don't gain wealth to simply spend it all and get rid of it before you die. You increase your streams of income to build and maintain wealth, which will affect the lives of your family in 100 or 200 or 300 years. You want capital, resources, and assets that are increasing in value. What better way to grow your wealth, then to do so with more disposable income from various streams of income?
I want to be clear. I'm not saying become a jack of all trades and do everything in the book to make a little bit of money from a lot of areas. I'm saying don't rely solely on your 9 to 5 job. That can be a death sentence to your freedom, your motivation, your ability to grow and develop yourself, and your ability to be secure. No job is a sure bet, but your ability to creatively create and generate income from various sources, is a skill that has infinite potential.
Start jotting down ideas and doing your research today, to develop what you will need in the future. Spend more time and effort developing your multiple streams of income, and spend less energy on that 9 to 5 job!