Is One Source Of Income Really Enough?

Can we really trust that nothing will happen to our main income in these times? More people lose their professions and income to AI every day.

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The short answer is no, it really isn’t. Even if you are highly sought after and have a very high income, there is always a risk that something will happen to you, to the industry you are part of or the employer. Better safe than sorry.

Whether you are a part-timer at college, a full-time office worker or a business owner, it is recommended to have at least three sources of income. And at least one of them should be passive. You can have your main profession as your main source of income. Then you can set up a side hustle and a passive income.

If you become unwell, you will always have the passive income to rely on. If something happens to your main income, you have your side hustle and your passive income to fall back on. A nice little cushion while you find your way again. And most side hustles can be turned into full-time incomes as well.

I think that we all have skills and talents. At least one, but usually a bunch of them. It does one good to list them regularly, for each talent or skill is a potential income source. Or a source of numerous potential income sources.

I would also recommend having at least two separate savings accounts. Not including your retirement savings, which should be in a separate account or multiple. You know what they say? Don’t keep all your eggs in one basket.

I like to have a few accounts where I can save money at the best rate I can find. I keep my FU-money there, my money for annual expenses and my rent money. My rent is paid automatically on the 28th of each month. Then I have another account, or rather, I use another bank where I save money in stocks and funds. I monitor both banks weekly and make adjustments where and when needed.

In conclusion, yes, you need more than one income source. One main income source, one side hustle and one passive income is a good first goal to set.