I’m going to be writing about my five different sources of income, and how I was able to build up five sources of income by the age of 23 years old. I don’t think this is very common. I think most people in their 20s, even into their 30s, have one source of income. That is the income from their job. Maybe as they get into their 40s or their 50s, hopefully sooner, but the unfortunate reality is that most people wait until that age to begin exploring different sources of income. That is primarily when people begin to explore earning income through investments.
I really didn’t follow the traditional model. I said, “You know what, I don’t like this old model for a number of different reasons”. I started following my own model, with making money and building my business. I want to share with you guys exactly what my sources of income are, when I began making them, and basically the timeline of starting off as being somebody with one source of income, and moving up to having five different sources of income.
First Source of Income: Job
First of all, we’re going to start back in April of 2015. That is around when I graduated college. I just turned 20 years old, and I got my first source of income. That was my first full-time job, and I had just that one source of income for a while. Now, I did save a lot of the money, I was always always been a relatively frugal person. I saved a lot of money, but I was relying on that one source of income which was the income from my job at the time. That is when I read a book called Rich Dad Poor Dad, a very popular book if you guys have not heard of it before, you should get a copy. Check out the library, or maybe you can find it online. That is when I learned about working for your money versus letting your money work for you. I said, “You know what? I want to allow my money to work for me.” That is when I decided to have a second source of income. That is when I made my first investment of $5,000 into the stock market.
Second Source of Income: Stock Market
At the time, I actually invested in mutual funds. I hadn’t really learned what mutual funds even were. The expenses you were paying, the management fees and so down the road. I invested into that mutual fund and invested it myself. That is what I did at the time, and this was in August of 2015. I opened up a mutual fund with $5,000. At that point I became somebody who had two sources of income. If you guys are familiar with Robert Kiyosaki, I’m sure you’ve seen the Cash Flow Quadrants, as far as being an employee, a business owner, self-employed or an investor. At this point, I was both an employee and an investor. This was a very crucial moment for myself, because I had finally had two sources of income. Was that second source of income much? Not at all. I wasn’t making very much at all from my investments of $5,000. I was probably making a couple dollars a month, if that. However, I had become somebody with two sources of income. Even though that source of income was very minor, at the time.
Third Source of Income: Online Business
After that is when I read a book called Click Millionaires. This was all about how people were making money online. All these people who became millionaires with the internet, with a computer just you’re probably using to read this article. I became so fixated on this idea, I said “You know what? If all of these people have done it — I’m going to do the same thing. I’m going to hopefully one day become a millionaire online.”
I’m in the process of doing that. I said I’m going to do that too, and that is when I decided to start my side hustle. This was October of 2016, and my side hustle was a YouTube channel where I was teaching other people. At the time, I was talking about fitness. I was talking about the stock market. I was talking about personal development. I was trying to cover all these different topics at once. Eventually, I narrowed down to just personal finance and investing. But at the time, I was trying to cover all these different topics.
October of 2016 is when I started my youtube channel, and I was very aggressive with this side hustle. I was working on it for probably twenty or thirty hours a week, on top of having my 40 hour a week job. At that point in time, I had three sources of income. Were these huge sources of income? Absolutely not. My job was paying for the bills. All of my investments any returns I was making dividends, those were reinvested back into my investments. The third method of having an income, my side hustle, I was making a couple dollars a month, the very first month on YouTube. I think I made about three dollars. It was not a lot of money, but it was three sources of income at the time. These were income sources that had the potential to grow.
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Back down to Two, Back up to Three: Digital Products
In June of 2017, I went from having three sources of income to just two sources of income. I got rid of my job. I got rid of my primary source of income, which was crazy at the time. However,I wanted to go all in with my side income — my YouTube channel. That became my full-time gig. In June of 2017, I had just two sources of income. For my investments, which I was obviously not living off of or touching, and my side hustle, so really I had just one source of income I was living off of. Now I, stayed with those two sources of income for a while, until I realized that there was a ceiling to how much money I could earn with having a YouTube channel. There’s only so many videos that you can make. I was churning out content every single day, but my earnings were pretty much stagnant. I realized I must figure out another source of income from this YouTube channel. That is when I discovered digital products.
Fourth Source of Income: I Purchased a Blog and an Instagram Account
That is when I decided to build an online course, and to sell my own online course. In August of 2017, I launched my course. That is when, again, I moved on to having three sources of income. Number one being my investments, number two my YouTube channel, and the number three the revenue coming from the sale of my digital products. In August of 2017, I was back to having three sources of income. After that, I didn’t change my income sources for over a year. Until June of 2018, I had just these three sources of income. I made a purchase. I purchased an Instagram account called “Investing Simple”. This also came with a blog. I consider this to be its own source of income. I basically lump the blog and I lumped the Instagram account together into one category. This is now a fourth income source, that really has nothing to do with the other three (other than the fact that it’s related to investing).
What I like about “Investing Simple” is that it’s a totally different platform. If I woke up tomorrow and my youtube-channel vanished, or all of a sudden nobody was watching my videos, I would just jump over and go full-time with this blog. I would go full-time with the Instagram account. If you guys want to follow me on that Instagram account, follow the link. I would love to have you guys check it out. There’s a lot of good resources over there. My fourth source of income and then in July, one month later, that is when I figured out what my fifth source of income would be.
Fifth Source of Income: Affiliate Commission Sales from Blog
The fifth source of income was affiliate commissions from my blog, and also from YouTube videos. I’ve reviewed investing accounts there. I did make a small amount of affiliate commission in the past from Amazon affiliate links, but it was such a small amount of money that I didn’t really count it as a major income source. That was my fifth source of income, when I decided to explore the avenue of making money through affiliate links, and affiliate marketing. That was as recently as July of 2018. I am proud to say now that, other than the investing side, all of these other income sources are making me over a thousand dollars a month. Some of them, over ten thousand dollars per month. The investing is more of a long-term thing. Obviously, I’m not living off or drawing from those accounts. I’m putting money into those accounts. Down the road, that’s going to be the money that I live off of, earning enough passive income. That’s the goal. All of the other four sources of income are above $1,000 a month, or more. Some of them, over $10,000 per month.
Average Millionaire — Seven Sources of Income
There are three key lessons that I want you to take away from this. Sure, it’s cool that I have five sources of income. But, at the end of the day, all that matters is what you’re doing. Are you still relying on one source of income? Are you still relying on maybe two sources of income? You really have to start looking at this, and deciding, “Is this something I want to do myself?” The first point I want to make is that the average millionaire has seven sources of income. They are not relying on one source of income. If you are relying on one source of income, which is your job, if you lost your job tomorrow — all the sudden you’re making no money. I would not recommend relying on one source of income. It’s not like it used to be for your parents, where you would get a job and you’d work that job for 30 or 40 years. Today, people are changing careers all the time. People are getting laid off. There aren’t really as many unions, and so there aren’t as many of these jobs that are secure. When you look at these people that are relying on one source of income from their job, that is more risk than I would be willing to take. Just remember, the average millionaire has seven sources of income.
Build New Income Sources One At a Time
The next thing I want to point out is that each one of these sources of income, I built them one at a time. Don’t think you have to bite it all off at once. You don’t need seven sources immediately, if you have one — then come up with a second. You must build each one slowly. Build it over time. Build a quality source of income, and then move on to the next one. You can’t do this all at once. Do not attempt to do that. It’s just not going to work out for you.
Replace Income Sources as Needed
The third, and final thing I want to mention is that you’re going to need to replace these income sources as needed. There’s not many things out there that you can just start making money, where it’s never going to stop. It’s not like a spigot that you just turn it on. You’re going to have some income sources dry up entirely. You’re going to have to explore different ways of making money. There were a number of things that I tried that I actually failed with. Up until this point, I tried selling merchandise on my channel. That was one example — people weren’t really interested in merchandise. It was was an income source I was trying, but it just didn’t work. I had to try something else. Maybe at some point in time, nobody’s going to buy my digital products. Maybe the YouTube revenue dries up. You’re just going to have to develop a different source of income. The main thing that you guys should see is that I am not relying on any one source of income, or any one platform. If you are somebody who is an entrepreneur, you should be diversified across multiple income streams and not relying on just one income source. Those are my five sources of income. This is how I was able to build five income sources by age of 23. I am NOT special. Literally anybody in the world can do this. I encourage you to try it out.
My name is Ryan Scribner. I make content geared towards investors, looking to learn the basics of investing as well as personal finance skills. Investing Simple is geared towards the new investor who is looking to learn more about what options are available to you when it comes to investing your hard earned money.