One Income Source Is Not Enough!

My personal opinion is that in today's new economy, it is wise to have multiple income streams. Reliance on one income source poses a risk to individuals, entrepreneurs, and even large corporations. A single-source income stream, rather it comes from a job, a million-dollar customer, or a highly targeted market segment can dry up for any number of reasons.

I live in Michigan where many people derive their income from the auto industry. A downturn in that industry can affect masses of people in various industries because their critical source-point is the auto industry. In fact, before I got laid off from IBM last year, Ford was their biggest client here in Michigan. As Ford started making drastic cuts, so did IBM and many other IT consulting companies. This trend happened over and over again and our mid-western economy has still not fully recovered.

People still assume that a job provides security but the reality of unemployment tells an entirely different story. I was laid off for 7 months and I had plenty of time to come to terms with my own financial vulnerability. Financial consultants have always advised a person to have 6 months income saved up and as sound as this advice is, many people don't even have 2 months income saved up; they are actually living from paycheck to paycheck.

Over my 20+ year career, I've gone through the down-sizing fiasco more than 5 times and I would be quite foolish to pretend that I can depend on a job to be there just because I need the money. Jobs are good?they keep the economy flowing?people get paid?people spend money?the money flows in and out and everybody's happy. But?and this is a big BUT, jobs cannot be viewed as the single source of personal long-term security. Our view of jobs have to change to match the reality and the reality is - we'd better learn to manage our money well and we'd better learn to generate income from multiple sources if we want to create financial security.

There are a few people who don't have to worry about money now or in the future. They have money handled; their income is quite substantial, their lifestyle is affordable, their savings, investments, and retirement plans are unassailable. Most wealthy people cannot even claim this kind of stability because their lifestyles are exorbitant and out of control. But there are people who simply have no money worries; they made the right career choice, they love their work, they handle their career and money like an expert. How many people do you know that fall into this category? Not very many, right.

It's true, money doesn't buy happiness but don't let anyone trick you into believing that you can have a quality life without certain financial means. In western society, having a certain income is essential to survival. I know everyone who reads this article may not be suited to join my business but everyone who is looking for way to give themselves some financial breathing room should consider three things, controlling the money going out, diversifying the income streams, and increasing the money coming in. Starting a part-time home-based business is an excellent way to do this. This is one of very few ways that a person can legitimately reduce their tax liabilities and take the money they save and use it to make more money.

Robin Harris is a DesignerLife Coach who specializes in helping people get money handled once and for all. You can find out more about acquiring your free copy of the Self-care Kit which includes the amazing Money Module at http://www.how-are-you-doing.com

---

Photo Checks ? A Great Alternative in Checking

It's the little things in life that make it interesting.... Read More

Can You Afford Not To Look After Your Personal Finances?

Investing is a subject a lot of people don't want... Read More

University: A Course in Personal Finance

Recent findings from the Educational Policy Institute indicated that the... Read More

Budgeting Your Way to Financial Freedom

Financial freedom cannot be achieved without budgeting. Budgeting involves tracking... Read More

Planning Ahead with Your Finances

If you, like most people, have not seriously considered what... Read More

How to Save for A Down Payment

Saving for a Down Payment is hard work, so it's... Read More

Estate Planning Basics

You have probably accomplished a great deal with your life.... Read More

Take Control and Master Your Kitchen

Those who keep a watchful eye on where their money... Read More

Save Your Money, Dont Give to Charity Scammers

**If it's Spam, it's a Scam!- If it sounds too... Read More

Why We Are Never Satisfied with What We Have

I have to admit, I do it too. I complain.... Read More

Save Money on your Clothing Budget. Tame the Closet Monster!

Reducing the clothing budget was a serious challenge for me.... Read More

The Benefits of Banking Online

How many drawers did you have to look through to... Read More

Budgeting is Bothersome

It doesn't take much for you to get behind on... Read More

Simple Ways to Save Money

Things are so expensive these days. We seem to be... Read More

10 Steps to Take if You Are a Victim of Identity Theft

There have been an estimated 9.9 million victims on America... Read More

Tips To Save Money At The Supermarket

Are you interested in saving money off your grocery bills?... Read More

Dramatically Improve Your Stock Trading Success

Get Access to Realistic profitable strategies & discover the mindset... Read More

The Changing Shape of Family Finances

Super-mumsIt seems that the proof of maternal efforts is no... Read More

The World is Not Enough - Calling for a More Ethical Approach to Personal Finance

At a time when the entire world's attention is focused... Read More

Are You Ready To Be Fired?

Your boss has just informed you that your department is... Read More

Budgeting the Key to being Financially Stable

Single Mother's in need of Financial GuidanceBudgeting is key to... Read More

Save On Food - Ten Tips

To save on food, be an opportunist. Buy what you... Read More

Budgeting is Essential for a Single Mothers Success

Today many women are struggling with debt and it's even... Read More

10 Tips to Make Sure Your Financial Budget Will Succeed

You've analyzed your past expenses, put them into spreadsheets, loaded... Read More

The Origins of Check Writing

People haven't always written checks to buy goods and services.... Read More

Strategies for Success

Holy Shenanigans! More STUFF?Loosing one's business due to lack of... Read More

Budgeting: A Tough Love Way to Handle Your Household Budget

Developing and living by a household budget is by far... Read More

Bank On It: Places to Hide and Invest Money

Today I passed a thermometer at a bank that read... Read More

Vesting and Your 401(k)

Do you have a 401(k) retirement account? Are you vested... Read More

10 Money-Saving Tips

1. If you have your haircut every 3 weeks, try... Read More

Stretching Your Grocery Dollars

Shopping for groceries is an inevitable fact of our ever... Read More

Budget Planning - Its Elementary My Dear Watson

Does it feel like you have to be Sherlock Holmes... Read More

Im Broke, How Can I Afford...

I'm still amazed every time someone comes to me complaining... Read More