Much has changed in the financial mindset over the last four decades. The financial blueprint began to entertain such mindsets as “privatization”, downsizing”, “outsourcing”, and “globalization”. More and more people began to lose their jobs. The popularity of the 40-40 Plan (40 hours of work each week for 40 years) began to dwindle. The new economy needed people with the mindset of an entrepreneur who creates and builds his own wealth.
As a matter of plan, here’s how you can move to that mindset.
1. Concentrate on how you can increase your income in a radical way. The increase should ideally fall between 25% and 35% of your present income. This increase should be enough to cover taxes and inflation, the most potent “enemies” of your income.
2. Get your income-generating skill mastered. This will help you increase your income. The leading income-generating skills are sales, marketing, product development, and financial management and investing. Master one of these four skills and you will see how potentially you can increase your income in a radical way.
3. Reward yourself. At least 10% of your income is yours to keep. The financial experts and gurus teach that the first to enjoy the fruits of your hard work should be yourself and your family.
4. Get rid of your debts. Your debts counter any effort you place in increasing your income. Seek to eliminate old debts and try not to incur new ones. Debt is a personal “prison” you should strive to get away from.
5. Seek additional income streams. At least four income streams should provide you a sizeable amount of freedom to fulfill your personal goals. As it was said, having a single stream of income opens yourself up to the risk of “prostituting yourself to the highest bidder”.
We have entered into a new economy that would have you shift your paradigm. Align yourself with the Entrepreneurial Era and you would have enough room to play and reach your financial goals.