When it comes to accumulating wealth, there are 3 main ways to go about it.
- One, you can work for someone else, get paid a salary and try to save some money with every paycheck;
- Two, you can make your money work for itself by investing it wisely;
- And three, you can start your own business and become your own boss.
The 3 choices above are not all equally effective. In fact, I would say that investing your money wisely and starting your own business are the only truly scalable ways to make money.
First off, what do I mean by scalable?
Let’s take your day job as an example. If you work for someone else, chances are you are either paid by the hour or paid a fixed salary. As a result, since there are only 24 hours in a day, there’s is only a finite amount of money that you can possibly make in a given year.
Sure, you might get a small raise from year to year, but in reality you will never be able to make “life changing” money with just your day job.
Now I’m not saying that having a day job is bad.
After all, having a steady salary is an excellent way to make ends meet and pay the bills. But the best way to expand your pool of wealth is by starting your own business and investing the money that you do accumulate.