All You Need Is To Dream Have you ever dreamed of earning a SIX FIGURE INCOME someday? Bet some of you do. But only a handful of us would actually commit ourselves into making our dream comes true. Instead of committing to pursue our dream we often just sit back and do nothing about it.
"The future belongs to those who believe in
beauty of their dreams." Eleanor Roosevelt "
Well, for some people, earning a SIX FIGURE INCOME seems to be an impossible dream to attain. It appears that such belief is absolutely pessimistic. To earn a SIX FIGURE INCOME is possible and within our reach if we possess fundamental understanding of how wealth is created and accumulated.
By same token, depth of our financial knowledge and planning will determine our financial future whether we will retire broke, debt-ridden or leave a huge amount of wealth for our dependence. The choice is ours because we are navigator of our own destiny.
As Burke Hedges author of book The Parable of Pipeline eloquently writes , " becoming a millionaire is a matter of choice, not chance."
How To Achieve A Six Figure Iincome And Be Financially Free
Most of you must have heard of people saying; you either be a professional or run your own business to earn a SIX FIGURE INCOME. It is true to a certain extent however, a profession per se does not guarantee one a brighter financial future. Why? Because no matter how much we earn as an engineer, a manager, an accountant, an architect, etc. you will still depend on a paycheck or a fee for a living. So moment when we stop working, our income will stop flowing in.
Thus, being a professional with a big income is never going to make us financially free. He/she will never make his or her family safe and secure. Burke Hedges calls this group of people a "bucket carrier". He writes," as long as you carry buckets, you have to show up and do work in order to get paid".
Sound familiar isn't it. This is how rat-race world works. Instead of working for money as Robert T. Kiyosaki author of best selling book Rich Dad and Poor Dad has pointed out, we should make money work for us. A brilliant saying!
So how do we get out of this rat-race world? The answer is we need to start thinking on how to make money work for us. Have you heard of concept of leverage? It is a concept that is widely applied in all fields of work including financial world. So what is it all about?
What is leveraging?
Leverage is a phenomenal concept that has been known to people throughout ages. The root of word leverage, lever is originated from an old French word that means, "to make lighter." Say, if we want to move an object, which is many times heavier than us, what do we do? That's right. We place a rigid bar on a pivot to lever it and object becomes so light that even a child can lift it easily.
" Give me a lever long enough and a fulcrum on which to place it, and I shall move world." - Archimedes
This is power of leverage. In today's financial world, we apply same principle of leverage to time and money, and outcomes are exponential. Leverage allows people to work smarter, not harder, and it is reason behind creation of so many millionaires in last century.
Leverage: The Source of Residual Income
Residual income, which is also known as passive or recurring income, is an income that will continuously generates inflow of money to us after initial effort that we have put to work or money we have invested in an investment fund. Alternatively, if you are an inventor, your residual incomes will basically derived from rights and patents of something you have invented and used by others. The same goes to an artist or a musician.
Two Types of Leveraging
Leveraging Money
Have you heard of Warren Buffet? Yes, second richest man in world and a legendary figure in stock market that earn six figure income by leveraging other people's money and as result he made himself and his investors rich in course.
