Financial Planning, Millennials

Do you actually need 7 streams of income?

“The average millionaire has 7 streams of income.” 

Let’s face it, we’ve all heard this quote a million times. And, while I believe this is well-intentioned advice, it’s not the best advice for millennials. 

Let me tell you why 👇.

Your goal should not be to develop as many income streams as possible when you are young, and here’s why. 

If you follow this route, you’ll need to learn about investing, real estate, being a property manager, side hustles, selling, managing a business, etc. while also trying to manage your main job and becoming better at that.

Because you are trying to do so much at once, you’ll only be able to commit a small amount of time to each area. You know what usually happens after that? You’re not going to become GREAT at any single one of them.

You will be an average investor, average landlord and property finder, average business owner, and average at your job.

That is never the goal.  

This leads to less total income in the long run.

The better idea is to concentrate on one thing at a time and master it. Unless you plan to transform your side hustle into your full-time work, your main focus should probably be on the business you own or the main job you have as that is where the majority of your pay is coming from.

This is the best technique because spending so much time improving your skills in one area will typically result in you making the most money in the long run. After that, you can go ahead and add in other income streams. It’s just something you shouldn’t do right away before you have really developed in one main area.

It’s simple, develop expertise in one field, increase your revenue there, and then branch out into other areas overtime.

That is one of the best pieces of career advice I can provide! Make a name for yourself by excelling in one area. Specialize early!

Disclaimer: None of this should be seen as advice. This is all for informational purposes. Consult your legal, tax , and financial team before making any changes to your financial plan.