Self Improvement : Stages of Income Earner & Transformation

The Cash Flow of the Poor
 

1. Salary (Direct Income)
2. Part Time (Passive Income)
3. Paper Assets (Portfolio Income) - None, because not sufficient.

Income into Food, Rent, Clothes, Fun, Transportation.

The Cash Flow of the Middle Class

 

1. Salary (Direct Income)
2. Part Time (Passive Income)
3. Paper Assets (Portfolio Income) - such as Fixed Deposit, Shares

Income into Liabilities (buying house, cars with monthly installment) into expenses (maintenance), food, traveling, eat better, shop better, changing cars, changing houses and savings is the last option.

 

The Cash Flow of the Rich Class

 

1. Business Income (Direct Income)
2. Real Estate (Passive Income)
3. Paper Assets (Portfolio Income) - such as Fixed Deposit, Shares, Financial Products.

Business Income pays all the assets, whereby Assets, would turn into fixed/flexible more business Income. An Asset is something gives you a return as in profit and money. While buying a house or a car would not give you an income or profit unless, you sell it or you rent it, making people paying for your monthly installment. Real Estate considered to be the most valuable product for a person, unless it is located somewhere "tanah runtuh/landslide", "banjir/flooded", or near bad fengshui area.
 


 

THE TRANSFORMATION

 

Poor into Middle Class...
Simple :
a) Take course to learn new things. The Skill of Marketing. (Turn yourself from salary into Top Sales Achiever)
b) Take opportunity to meet new people. A team of people that work together for better tomorrow.
c) Having a team of helpful friends and good friends on your side.


Middle Class into Rich...
Simple :
a) Take course to learn new things. The skill of Marketing & Investing during good and bad economy.
b) Take course to learn about financial products.
c) Take opportunity to meet business people. A team of people appreciate skills work together for better tomorrow.
d) Having a team of Tax, Audit, Accounts, Bankers, Lawyers as your closed and good friends.

Of course Rich might get into Middle Class and into the Poor category, when Rich out of control of the cash flow & directions.

A Question to be answered by yourself...

a) Is it more comfortable to use your money then to use credit card in order to invest?
b) Is it more comfortable to use your money then to use your parents money in order to invest?
c) When is it to be more comfortable to use your money?

So how confidence are you in terms of investing a business?
Ever learn how to drive a car or ride a bicycle when you are young?
A risk without learning is dangerous, such as riding a bicycle in the middle of the road, parking a car without a hand break.

The answer is : How much you are wiling to pay to learn the risk?
For riding a bicycle, falling down from the bicycle, will hurt yourself, but would you give up? For driving a car, paying attention while passing the driving lessons. Of course, if accidentally hitting someone, have you learnt your lesson well?