Security is something that everyone wants.
In a world of uncertainty, everyone would like the security of knowing that they will always have enough money to buy food and pay the bills.
Conventional wisdom suggests that having a job provides a good deal of security, as you have a regular monthly income of a fixed amount, which you can plan your budget around, and maybe even a company pension, which will provide for you after you retire from your job.
But the fact is, although a steady job may provide you with a sense of security, it’s not actually a very secure way to earn a living.
Whenever I speak to friends about work, a lot of them are constantly worried that they’re going to lose their jobs. In ‘the current economic climate‘ more and more companies are laying off employees, and yesterday’s news reported a 17-year high in unemployment in the UK.
The reason people are so scared of losing their jobs is that for most people it’s their only source of income. They know that if they lost their job, finding another one might not be an easy task, and they might have to live off savings for several months (if they even have any savings).
So if a job can’t provide real security, what’s a better solution?
Multiple Income Streams
The problem with a full-time job, despite the apparent benefit of a regular income, is that it usually accounts for 100% of a person’s income. So if that income stream dries up, you’re left with nothing coming in every month.
On the other hand, if you make money from four separate sources, each accounting for 25% of your total income, when one of them dries up, you still have 75% of your previous total coming in every month.
This is the beauty of being self-employed, and the reason why being your own boss can actually provide more security than working for someone else.
The more you can diversify your income streams, the less impact it will have on your financial situation when one of them dries up.
For example, here are some of the ways I have earned money over the past few months:
- Freelance character design
- Painting sales
- Portrait commissions
- Building websites for artists and other companies
- Commission from recommending resources I believe in
- Offering services on Fiverr
And some that I plan to earn from in the not-too-distant future:
- Teaching an online art course, or selling tutorial videos
- Writing and selling ebooks
- Playing music gigs with my band
And there are plenty more ideas where they came from. The point is, although some of these are more lucrative than others, losing any one of them would not cause a personal financial crisis, as I would still have the others to provide some income.
What Value Can You Offer the World?
We earn money by providing value to others.
If you can consistently provide great value, in the form of products or services that people really want, then you can always earn money.
And the more different ways you can think of to provide value, the more income streams you can create, and the more financial security you will have.
Even if you’re quite happy with your job, and have no intention of ever giving up that regular income, it’s worth thinking about how you could potentially make a living if you ever lost your job.
If you’ve never thought about it before, why not try it now?
Think of something you can offer that people would find value in, and share it in the comments below.