7 Income Streams That Will Make You Rich in 2024 and How?
Hello friends, welcome to my blog. Here we will discuss “7 Income Streams That Will Make You Rich in 2024 and How?”
Let’s start with 7 Income Streams That Will Make You Rich in 2024, and How?
1) 9-to-5 Income Plan:
Most millionaire start out earning from their day job, With this income, they save and invest for the long-term However, for most people, their salaries grow excruciatingly slowly. “7 Income Streams That Will Make You Rich in 2024, and How”
This is how millionaires maximize their 0–5 income:
Step 1: Gain irreplaceable employment skills
Step 2: Gain experience rapidly by working a ton
Step 3: Move companies every 2-3 years to maximize salary
The more you keep learning and moving, the more you make
The more you make, the sooner you’ll become millionaire
2) Profit Income
Profit is simply the difference between revenue and expenses
Buy pen for $5, sell pen for $10
Profit income is key because it can be done without trading time for money
Here are some ways you can do the same:
1) Amazon FBA
2) Website Flipping
3) Dropshipping
4) Drop Servicing
Find a need, identify arbitrage opportunities and fulfill it That’s all it takes to start making a profit.
3) Interest Income:
To build significant wealth, your money needs to make money
You only have two hands and can’t do it alone
When you leverage compound interest, things really take off
However, don’t rely on crumby savings account interest
Do it instead.
Generally speaking, interest is earned from lending
However, you need to lend to the right people to make it worth your while
Acquire assets like municipal bonds, t-bills or participate in P2P lending to earn interest
Collect, on maturity, a premium or coupon payments over time
4) Dividend Income
When a company realizes a profit, it has two choices:
1) Reinvest
2) Distribute
When option number 2 is chosen, this is how you get paid
So how do you actually earn dividend income?
Here is the answer:
Every share you earn from a dividend-producing company or fund will provide you dividend income
Ex: Own 1 share of Coca-Cola and you’d collectroughly $0.40
The more shares you acquire, the more dividend income you make
He owns 1,000 shares of Coca-Cola and collects $400 a quarter
5) Rental Income
Real estate has been used for centuries in order to build wealth
It’s no surprise that this asset class is a go-to for millionaires
However, most people see real estate as having a high barrier to entry
Here’s how you can invest in real estate:
Investment options, from most to least expensive:
1) Commercial real estate (ex. investing in commercial complex)
2) Residential real estate (ex. buying and renting a house)
3) Real estate Investment Trusts (pooled money into a portfolio of assets <$500)
6) Residual Income
Residual income is any income from past work (ex. TV shows, books, etc.)
This is the most common form of passive income we tend to think of
However, you probably aren’t going to write a book or be on TV
Here are some other options:
Examples:
• Blog income
• Affiliate income
• Ad sense
• Music royalties
The more assets with residual income you create
The more income you ultimately earn
7) Capital Income
Profit is made by buying and selling; however, capital gains differs from profit income
Profit income is generated by selling inventory
Capital gains are earned by selling capital property (ex., homes, stocks, etc.)
Here’s how you can use capital gain income:
Step 1: Acquire capital asset (ex., stocks)
Step 2: Wait for appreciation (ex., stock goes from $20 to $50)
Step 3: Sell and collect profits
The benefit is that capital gains are taxed at preferential rates
By avoiding some taxes, millionaires grow their wealth faster, and so can you!
These are all the seven strong income strategies that will make you rich in 2024.
Thanks for reading…