3 REASONS TO CREATE MULTIPLE STREAMS OF INCOME (EVEN IF YOU HAVE A FULL TIME JOB)
Why should you consider creating different streams of income?
In my previous posts I have mentioned the that time is more important than money. Multiple income streams can help free up your time but there more benefits to it than that. There is no doubt about it; the value of having multiple income streams is apparent is becoming more and more apparent as time goes on. But before we delve into the indisputable benefits of creating and collecting various streams of income, let’s get back to the basics. An income stream simply refers to any source of regular financial income in your life. Your job is one. But is it enough?
Even if you’re satisfied and believe that your current job will be around for some time, there are still extremely worthwhile reasons to create multiple income streams.
Here are three reasons to consider multiple income streams.
1. Survive Unemployment
In reality, there is no such thing as true job security. Whilst it’s true that your company may be doing well today, life is unpredictable and things can change within the next few months or even weeks. Sadly if you lode you job, money from unemployment benefits may not provide an adequate amount of cash to even cover your basic monthly expenses.
With a second (or third or fourth) stream of income however, you’ll be better prepared to not just survive a lay off or job loss, but thrive.
2. Build your emergency fund
The problem with living pay check to pay check is that building your cash reserve can prove challenging. This is where alternative streams of income comes in incredibly handy.
Note that financial experts recommend a 3 to 6-month emergency fund.
The final reason? The income stream / streams you create maybe your favorite career
3. Fallback Career
An exciting and worthwhile benefit to exploring different income streams is the possibility of discovering your true passion. You may find yourself enjoying a side-hustle more than your actual full time job. The good news is as you slowly but steadily increase income earned from multiple streams of income, you may be able to quit your full-time job one day and earn a living doing what you love.