For Mr Ayuk he believes that the fact that you have a high paying job does not guarantee you job security. Given the reality of our present – day society, building additional and multiple streams of income is no longer a luxury but an existential reality.
This much was reinforced by Warren Buffet, the oracle of Omaha who said: “Never depend on a single income”. The current rampaging coronavirus pandemic has laid bare the fact that no one job is safe and that it is very risky to depend only on one income stream to live comfortably in an increasingly demanding and challenging world.
Millions of people all over the world follow a predictable path: they pick up a job, advance on the job and eventually retire with a pension plan. This established pattern or trajectory does not in any way ensure financial security; in so many instances, it leads to financial failure. Statistics have shown that families who depend wholly on a single income are at a greater risk of falling into poverty. In a nutshell, the masters, by this I mean hugely successful people, entrepreneurs, inventors, manufacturers have taught us that it would be hard to depend on one stream of income which will almost certainly keep one in poverty.
The case of Nigeria and other African countries with mono economy is very instructive. Nigeria and some other countries that are highly dependent on oil without the diversification of their economies are increasing finding it difficult to meet their financial obligations. With the price of oil plummeting as a result of glut in the market, these oil dependent nations are experiencing steep financial downturn and finding it difficult to meet such basic obligations as payment of salaries of civil servants. At a personal level, there are probably more than ten reasons why you need to have additional or multiple streams of income, the demands and economic reality of our contemporary life is a strong incentive to bring us to action. If you have children, you definitely should save for the cost of their education from primary, secondary to tertiary and university education. When you create an additional or multiple income streams, it will bring in additional cash monthly and help ease the burden of paying for the cost of the children’s education.
Another incentive that Ayuk believes should encourage you to build multiple streams of income is the rising cost of healthcare. The cost of healthcare is becoming astronomical and prohibitive. Extra income will certainly go a long way to ease the burden of higher prescription costs and unexpected medical costs. Unemployment is not desirable but can occur at any time and most of the time without warning. No matter how safe and secure you think that your job is, the truth is that no job is 100 per cent secure. An additional income can help you deal with the reality of a job loss. If you solely depend on your job and you lose it as a result of a recession, dwindling productivity or recession, you will find yourself in a bind and unable to fend for yourself.
There is the overriding need for you to take control of your income and finances by creating multiple streams of income. Even when you qualify or earn a raise at work, there is no guarantee that it will happen. Create extra streams of income and have the pleasure of giving yourself your deserved raise anytime you want to do so.
Creating multiple streams of income is no tea party. It comes with its challenges. So, on your way to creating them, you should take cognizance of certain realities. The truth is that each stream of business requires its own skills and expertise; it makes demands on the limited resource at your disposal. There is certainly a price to pay for each stream of income that you create. To be successful in creating multiple streams of income, you must master the first stream of income. First of all, pick the stream of income that you are passionate about, something that you find personally exciting and give it your all. The first stream of income is usually the most difficult as you will certainly be challenged by bumps and obstacles every step of the way. But you must persist long enough to reap the fruits of your labour.
Having mastered your first stream of income, the second thing to do is to systemize it. By this I mean that you should organize it in such a way that it no longer requires your limited time and attention. To conclude, it is important to realize that you cannot maintain only one stream of income if you are desirous of living a decent life. In order to create multiple streams of income, you can invest in real estate, strive to diversify your investments, offer a service or sell a product, create a product and start a project you are passionate about.