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Contrary to popular belief, there are only 6 Passive Residual Income Options that you have to choose from if you want to earn passive income and live your perfect lifestyle.
There millions of dollars of books, courses and training material that supposedly teaches people how to earn multiple streams of passive income BUT when it comes right down to it, you can only do one of these 6 things to create passive income.
Royalty Business (Singing, Writing, Acting, Speaking, Branding, Etc)
Internet
Of course there are a lot of different areas in each one of the options above but those are the only 6 options that give you enough leverage to produce passive residual income options.
The best part is that if you learn how to do one really, really well, then you’ll be able to stop spending time earning linear income and start spending time doing what ever is that you want to do. That may just be spending some time learning how to earn additional income from one of the other options.
The other thing you’ll realize when you get into earning passive residual income is that there are a lot of ways that you can leverage the time you put into one option into another options.
For Example, as you may or may not know, I’m a supporter of using a combination of Network marketing, the internet and personal branding to create multiple streams of passive income. I started out doing network marketing but quickly realized that I could be more effective in building that business if I also became efficient in marketing online. It was actually easier to build the 3 things together than it was to build one of them by itself.
So what’s the point here? Well, you’ve got 6 options to produce passive residual income and put yourself in a position to live you perfect lifestyle, the thing you need to do is decide which one fits your situation and needs the best.
The following Millionaire Mind Wealth Principles were used to develop the foundation of the Quit Your Job Early Plan.
Millionaire Mind Wealth Principles:
If your motivation for acquiring money or success comes from a non-supportive root such as fear, anger, or the need to “prove” yourself, your money will never bring you happiness
If you want to make a permanent change, stop focusing on the size of your problems and start focusing on the size of you!
If you want to change the fruits, you’ll have to change the roots first.
If you want to change the visible you’ll have to change the invisible
If you want something you’ve never had you’ll to do something you’ve never done
You can choose to think in ways that support you in your happiness and success instead of ways that don’t
When you are complaining, you become a living, breathing “crap magnet.”
If your goal is to be comfortable, chances are you’ll never get rich. But if you’re goal is to be rich, chances are you’ll end up mighty comfortable.
The number reason most people don’t get what they want is because they don’t know what they want.
If you are not fully, totally and truly committed to creating wealth, chances are you won’t.
The secret to success is not to try to avoid or get rid of or shrink from your problems; the secret is to grow yourself so that you are bigger than any problem
If you say you’re worthy, you are. If you say you’re not worthy, you’re not. Either way, you will live into your story.
Money will only make you more of what you already are.
There’s nothing wrong with getting a steady pay-check unless it interferes with your ability to earn what you’re worth. There’s the rub. It usually does.
Never have a ceiling on your income
“Where attention goes, energy flows and results show.”
Until you show you can handle what you’ve got, you won’t get anymore!
The habit of managing your money is more important than the amount
Either you control money or it will control you.
Action is the bridge between the inner world and the outer world
It isn’t necessary to get rid of fear in order to succeed
If you are willing to do what’s easy, life will be hard. But if you are willing to do what’s hard, life will be easy.
Training and managing your own mind is the most important skill you could ever own, in terms of both happiness and success.
You can be right or you can be rich, but you can’t be both.
“Every master was once a disaster.” T. Harv Eker
To get paid the best, you must be the best.
Rich People Mindset vs Poor People Mindset
Rich people play the money game to win. Poor people play the money game to lose
Rich people are committed to being rich. Poor people want to be rich.
Rich People think big. Poor people think small
Rich people focus on opportunities. Poor people focus on obstacles.
Rich people admire other rich and successful people. Poor people resent rich and successful people.
Rich people associate with positive, successful people. Poor people associate with negative or unsuccessful people.
Rich people are willing to promote themselves and their value. Poor people think negatively about selling and promotion.
Rich people are bigger than their problems. Poor people are smaller than their problems
It’s amazing how important it is to have the correct mindset as you work towards financial success. You can learn more about the Millionaire Mind Wealth Principles by purchasing T. Harv Eker’s book called Secrets of the Millionaire Mind (you can find it in our ‘books’ section on the right of this page).
The reality is; you are actually closer to success than it seems.
It seems that most successful people have some sort of opinion or advice to offer in terms of what it takes to achieve success, or simply what success even means. There are all kinds of personal development books, blogs, training programs, and even consultants out there that all focus on the keys to becoming successful. However there is one message that seems to pop up no matter where you look, and it happens every day. You’re actually closer to success than it seems, and it shows all the time.
Its simple, almost too simple however it is very important. One of the biggest mistakes people make is giving up when they are so close to succeeding! It doesn’t matter if it is a large corporation, small business, personal relationship, or playing a sport. The same challenge exists, and more often than not, most people are actually closer to success than it seems
2009 was a real eye opener for me when it comes to realizing how crucial this mistake can be. It was just today that a peer told me they lost over six thousand dollars because of a mutual fund that was hit by the recession. The problem here wasn’t that the fund took a dive, the problem is the cold feet kicked in and they got out of their investment and put the money into savings at a much lower interest rate! Since the time that the fund dropped and the loss took place, the mutual fund has regained almost 40%! That money would not have been lost had it be left in the fund.
You don’t have to be taking part in investing, or making crucial business decisions to learn from this mistake. You just need to be human. Everyone makes mistakes, in fact that’s one of the best ways to learn. The message here is that too many times when something is a little out of our comfort zone, we panic and react. Most of the time if we would take a little extra time, or get a couple more opinions, we would realise the reality that around that corner usually lies success! Don’t let cold feet set in, you’re actually closer to success than it seems.
Contrary to popular belief, there are only 6 Passive Residual Income Options that you have to choose from if you want to earn passive income and live your perfect lifestyle.
There millions of dollars of books, courses and training material that supposedly teaches people how to earn multiple streams of passive income BUT when it comes right down to it, you can only do one of these 6 things to create passive income.
Real Estate
Stocks
Network Marketing
Big Business
Royalty Business (Singing, Writing, Acting, Speaking, Branding, Etc)
Internet
Of course there are a lot of different areas in each one of the options above but those are the only 6 options that give you enough leverage to produce passive residual income options.
The best part is that if you learn how to do one really, really well, then you’ll be able to stop spending time earning linear income and start spending time doing what ever is that you want to do. That may just be spending some time learning how to earn additional income from one of the other options.
The other thing you’ll realize when you get into earning passive residual income is that there are a lot of ways that you can leverage the time you put into one option into another options.
For Example, as you may or may not know, I’m a supporter of using a combination of network marketing, the internet and personal branding to create multiple streams of passive income. I started out doing network marketing but quickly realized that I could be more effective in building that business if I also became efficient in marketing online. It was actually easier to build the 3 things together than it was to build one of them by itself.
So what’s the point here? Well, you’ve got 6 options to produce passive residual income and put yourself in a position to live you perfect lifestyle, the thing you need to do is decide which one fits your situation and needs the best.
Robert Kiyosaki’s cash-flow quadrant example really simplifies your income choices.
No matter how you slice, Robert Kiyoski’s cash-flow quadrant clearly identify’s the four choices you have when it comes to earning income. There isn’t 5 ways to earn income; there isn’t 3 ways to earn income; there is only 4 ways. This video and the diagram that follows displays the 4 ways:
If you want to control your time and your level of income, the only place you can do it is if you join one, or both, of the options on the right side. I’ve said it 1000’s of times and I will continue to say it, “if you are working as an employee, you are being leveraged and your employer controls your level of income and the amount of time that you work.” That is saying that employment is good or bad, I’m simply stating the facts. The way that the right side quadrants fit into the quit your job early philosophy is that you need to have a business that produces cash-flow (preferably passive income). This income will replace the employment income and have the potential to become very lucrative if the right leverage strategies are put in place. The intention with the passive income business is to build enough cash-flow so that you can take a portion of that cash-flow and build wealth through investments (real estate and stocks).
I have a ton of respect for Robert Kiyosaki and his message. He believes in raising your financial IQ so that you can control situation. The difference between him and us is (besides the fact that he is incredibly loaded) is that he talks a lot of theory. We intend to not only teach the theory but also offer a solution.
Unbeknownst to most people, it is actually possible to plan to live your perfect lifestyle and then actually make it become your reality.
What do you think about this thought
“we all have a vision of what our perfect lifestyle would look like; the challenge is trying to figure out
how the hell to actually live it in your lifetime.”
That’s the million dollar question isn’t it. Well here’s a little exercise that can help you get there
The theory behind this exercise is that you need to know where you’ve been, and where you are at this moment in your life, before you can determine what the right course of action is that you want to take.
So, for this example, I’m going to use 30 years of age as our starting point. You can replace that with your current age. Take as much time as you want with this exercise and it may even help to write some stuff down. The important thing is to get of it is to know what you want in your life. What type of lifestyle do you want? So just follow along, think about questions and answer appropriately for what fits into your life.
Take a snapshot of what your lifestyle is like right now. What does it include? What parts do you like and what parts don’t you like?
Now follow the red arrow back to 5 years ago in your life. What was your life like then? What did it include? What did you like about it and what did you want to change? And Most importantly, what did you want your life to like 5 years from that day 5 years ago (which of course is today – I know it’s a little confusing but this is a powerful exercise to go through)
Now follow the ocean blue arrow back to the present day ask yourself if your vision from 5 years ago is what you are living today? Then realize that regardless of what the answer is, it doesn’t matter, all you can do is take what you have and build on it.
Dark Blue Arrow – Start to project what you want your life to like in 5 years time. In an ideal world what would it include? Who is part of it and what are you doing? How much money do you make? What things are you experiencing? These are all important questions.
Green Arrow – Ask yourself the same questions from #4 only this time it’s 10 years into the future.
Purple Arrow – Ask yourself the same questions as in #4 again. This time it’s 20 years into the future
Orange Arrow – Depending on how old you are right now you can project yourself into the future 40 years and ask yourself the same questions as in #4.
The point of this exercise is to simply get you thinking about what you really, really want and ask yourself if earning passive income streams would make that lifestyle you envision easier to attain? Can you see how you can use this process to live your perfect lifestyle. The first thing you need to do is make sure that you’ve got a clear vision of what that lifestyle is. The second thing you need to do is go through this self-evaluation process on a daily, weekly, monthly and annual basis.
The bottom line is that you need to make sure that you are always moving towards your goal. There is no way to do this unless you know where you want to go and then keep ‘score’ of where you are at in relation of where you want to be.
If you don’t keep score, how do you know if you are winning or losing? The best business’s in the world keep score every month by doing there financial analysis. Professional athletes keep score of their fitness every day so they know where they’re at so they know whether they have to push harder. By training at the optimal level they will be able to perform at the ultimate level.
You can do the same by going through this life projection exercise on a regular basis to make sure your plan to live your perfect lifestyle is on track.
Residual Income Streams: Is it better than earning a linear income from having a job?
Because this site is called Quit Your Job Early, you probably already know how we would answer the above question – we’d take the Residual Income Streams any day of the week… And Unless you are one of the ‘lucky few’ who actually loves their job, I would guess that you’d prefer to be earning residual income rather than going into work every day too.
The question is rarely whether people want to earn Residual Income Streams but more of a question of how can someone earn them without risking everything they have and completely altering their lifestyle. I’d say that’s a pretty good question, wouldn’t you. I have a theory that most people’s dreams get smaller as there age gets older. I also believe that a big part of that is because their JOB wears them down. It becomes ’stale’ and a ‘necessity’ rather than an ‘invigorating’ and ‘exciting’ place where they spend their time.
I have a lot of respect for anyone that works hard to supply for the needs of their family. I think that having a JOB is going to be a necessity for most people at some point in their life (and in a lot of cases, all of their life) but I also know that their are ways to put yourself in a position to not have a job and they all have one common denominator – Leverage.
When I say that a job gets stale and becomes a ‘necessity’ I mean that people lose their ‘get up and go’ and replace it with ‘I have to go because that’s just the way the world works’. I think a big reason that people wear down as they get more and more comfortable in their jobs is because they see believe that they are really worth more. They believe that they have more to offer the world and either their job doesn’t pay enough or it takes up all of their time. Take a look at this graph.
Traditional Job Income Projection
One of the things about having a job is that there is a ceiling on your income that you have no control over. If you have JOB, your reality is that you are allowing someone else to determine what you’re worth which can be a good thing and/or a bad thing depending on what your personal situation is. There were times when I was building my business and residual income streams that I thought that having a job would be a good thing BUT those thoughts quickly passed when I remembered how much I hated feeling constrained when I did have one. If you believe that you have a lot to offer the world and want to control your own financial situation then you have to find a way to quit your job early and take control.
As is diplayed in the diagram above, it doesn’t matter what point you’re at in your career, if you want to make more income, you will have to prove to someone else (your boss or another company that wants to pay you more than your current company) that you are worthy of your pay. Typically that process takes time. A traditional career will play out something like this.
Find a job out of highschool or college and get paid very little because you have no experience
as you gain experience, your income will grow fairly rapidly through the first few years of employment
After 3-5 years of employment, you will hit an income plateau (the raises go from being significant to being minuscule)
You’ll spend 3-5 more years proving your worth to your boss until you get promoted
this process continues over the span of career – or you simply find a level that you’re happy with and you’re income rarely grows
I know steps 1-3 because I experienced them first hand when I came out of college
I got hired for $29,000/yr
Went from $29,000/yr to $50,000/yr in 3 years
Went from $50,000/yr to $52,000/yr in years 4 and 5
I quit half way through year 5
I made a conscious decision to take control and attempt to earn residual income streams because I believed that they would give me a better chance to live my perfect lifestyle. When you earn residual income streams you’re income projection will go from the example above to one of unlimited potential (represented below)
Income Projection for Residual Income Business
Don’t kid yourself though. Earning residual income will take work. It doesn’t have to be overwhelming work, it just needs to be consistent and effective work. It may take you 6 months to replace your current income, it might take you 5-10 years to replace it, but does it really matter if it allows you to live your perfect lifestyle while you’re young rather than waiting until your 65 and retired from your JOB.
If earning residual income streams is new to you, or if you just want to learn more about what options you have, take the time to read this article – Passive Residual Income.
Until Next Time, Cheers to Your Success and Quitting Your Job Early,
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