risk
Many Ways To Stand
The rule
Many small income streams are like many legs on a stool - lose one, you still stand.
Where it flips
Chasing too many tiny streams can scatter you thin, so nothing grows well and you burn out. The repair is to keep only a few streams you can actually maintain, not a dozen you neglect.
If one salary feeds you fully, losing it hurts a lot. But if money comes from a few places, no single loss can break you. A small side skill, some rent, a bit of dividend, one more earner at home - each is one more leg to stand on. The same idea holds for skills. The more you can do yourself, the less any one loss can shake your life.
A worked example
Aarvi has only her job. When she is laid off, income drops to zero. Aayra earns from a job, tuition classes on weekends, and small dividends. Losing the job cuts her income but does not stop it. She keeps standing. [illustrative]
How to spot it
- ·Income comes from more than one place
- ·Losing one source is not fatal
- ·More than one earner or skill in play
Jacob Lund Fisker · Early Retirement Extreme