Congratulations, young person! You’ve picked a terrible time to enter the job market. You have so many factors stacked against you that your earning potentially will be negatively effected for decades. Here are a few of the conditions you’re up against:
This post is a continuation of What’s Your Personal Economic Plan?
What Can You Do? What Suits Your Temperament?
Now there's a plan.
There are a few ways to make money. There is passive income, which involves no effort beyond cashing checks. This could be from investment income (interest and dividends), rents (if rents exceed maintenance expenses), passive ownership share in a profitable business, and royalties (from music, books, and performances).
There is the possibility of having a job, with salary and benefits.
There is freelance, or independent work, where you charge a client for services delivered (on a job, hourly, or daily basis).
There is the entrepreneurial route, starting, or gaining an ownership stake in, a profitable business.
Your spouse, significant other, or family might be willing to support you, but this can mean sacrificing a lot of economic autonomy.
There’s also crime, but in the end crime doesn’t pay.
Part of creating a strong personal economic plan is understanding your own temperament. What are you suited for, and more importantly, what are you not suited for? The big “traps” in my opinion are as follows:
Posted in Creative Work/Career, Money
Tagged financial planning, passive income, pay yourself first, Steve Pavlina
