- Financial freedom is about diversifying your income from as many sources as possible.
- Everyone from college students to working people to retirees can take part in the gig/e-commerce economy.
- Life circumstances and economic cycles never stop changing—make sure you are protected.
*** Don’t forget our next open house, November 9 in Naples, FL—check out our full-service financial suite.
Do you remember what it feels like to have a great conversation, an enjoyable game of golf, a great business presentation or just a wonderful family outing in which you have a lot of fun and excitement? Those are the kinds of life situations in which you have great energy flow throughout the entire day. Likewise, when it comes to cash flow, you want that energy to come from multiple sources, not just one.
The traditional approach is that you are getting cash flow through a salaried job with bonuses, retirement plans and other programs available through your employer. The conventional approach during retirement is to receive cash flow during retirement from Social Security, maybe a pension and from various investments, including your 401(k) and IRA accounts.
But what if you could expand your sources of cash flow while you’re still working? In addition to earning a salary, lots of folks are conducting e-commerce or running a home-based business on the side, or participating in the gig economy through Uber, AirBnB, TopCoder and other kinds of activities that provide extra cash but don’t require a full-time commitment. They’re also buying real estate businesses—industrial or office buildings, retail spaces and apartments.
You can also use traditional cash-value life insurance policies that you can borrow against without paying taxes. You can use these for leverage and to diversify your cash flow sources.
1. College students concerned about large student loans on their backs can use gigs and other e-commerce activities to help pay for college and cut down or eliminate the need for college debt.
2. Folks in the workforce can buy income-producing real estate, do different side gigs or purchase a cash-value life insurance policy to supplement their salaries.
3. Retired folks can leverage their largesse—assets that they’ve accumulated for children and grandchildren—to help them build multiple sources of cash flow.
At the end of the day, financial freedom is about diversifying your cash from as many sources as possible while life circumstances and economic cycles change. That’s part of making smart decisions about your money.
Speaking of smart planning, we have our next open house in our Naples, Florida, office on Wednesday, November 9. Our team will be there along with an estate planning attorney, a CPA and an insurance specialist. If you’re in the Naples area, please stop by. You can RSVP here.
And if you missed our Technology Night from a few weeks ago we have posted all the presentations and videos here.
Until next time, enjoy. Gary
Learn more about TransformingWealth™ , our proprietary approach, designed to get your arms around the big picture so you can make informed financial decisions. Ask Gary about Coyle’s TransformingWealth Preview Meeting, and schedule a complimentary consultation and start living the Good Life Managed Well™.
Gary Klaben is in our Glenview, IL office and serves our clients who are now located all over the country. He has over 30 years of experience and is the author of Changing the Conversation, The Wealth Sanctuary and co-author of The Business Battlefield. Whether advising his clients, mentoring his team, or coaching entrepreneurs, he is always simplifying complexity and motivating others to take the next action that’s right for them.
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