Difference between revisions of "Multiple streams of income"
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| + | [[File:Eggs in a basket.jpg|right|thumbnail|350px|"Don't put all your [[egg]]s in one basket" - Popular saying.]] | ||
'''Multiple streams of income''' is an [[economic]] concept that is applied to either [[business]] or personal use whereby the person or business entity seeks multiple sources for [[income]] that have some level of separateness so that in the event that one stream "dries up", the other sources will continue and prevent a catastrophic situation from occurring. | '''Multiple streams of income''' is an [[economic]] concept that is applied to either [[business]] or personal use whereby the person or business entity seeks multiple sources for [[income]] that have some level of separateness so that in the event that one stream "dries up", the other sources will continue and prevent a catastrophic situation from occurring. | ||
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| + | == Benefits of having multiple streams of income == | ||
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| + | ''See also:'' [[Diversification]] | ||
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| + | *[https://www.lfcu.org/news/managing-money-credit/the-importance-of-having-multiple-streams-of-income/ The Importance of Having Multiple Streams of Income], Lafayette Federal Credit Union | ||
| + | *[https://www.forbes.com/councils/theyec/2020/02/25/five-benefits-of-having-multiple-sources-of-income-as-an-entrepreneur/ Five Benefits Of Having Multiple Sources Of Income As An Entrepreneur], Forbes, 2020 | ||
| + | *[https://www.advisorpedia.com/viewpoints/why-should-you-have-multiple-income-streams/ Why Should You Have Multiple Income Streams], Advisorpedia.com | ||
== Multiple streams of income and personal income == | == Multiple streams of income and personal income == | ||
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*[https://www.cnb.com/personal-banking/insights/create-multiple-streams-of-income.html How to Create Multiple Streams of Income], City National Bank | *[https://www.cnb.com/personal-banking/insights/create-multiple-streams-of-income.html How to Create Multiple Streams of Income], City National Bank | ||
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| + | *[https://www.entrepreneur.com/starting-a-business/17-passive-income-ideas-for-increasing-your-cash-flow/299914 17 Passive Income Ideas to Increase Your Cash Flow in 2023], Entrepeneur, 2023 | ||
*[https://www.entrepreneur.com/leadership/grow-your-wealth-with-these-5-different-streams-of-income/429315 5 Streams of Income That Will Grow Your Wealth], Entrepreneur Magazine, 2022 | *[https://www.entrepreneur.com/leadership/grow-your-wealth-with-these-5-different-streams-of-income/429315 5 Streams of Income That Will Grow Your Wealth], Entrepreneur Magazine, 2022 | ||
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| + | *[https://www.bankrate.com/investing/passive-income-ideas/ 25 passive income ideas to help you make money in 2025], Bankrate.com | ||
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| + | *[https://www.shopify.com/blog/passive-income-ideas 29 Passive Income Ideas To Increase Your Earnings in 2024], Shopify | ||
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| + | *[https://www.nerdwallet.com/article/investing/what-is-passive-income-and-how-do-i-earn-it 12 Best Passive Income Ideas: Earn More in 2024], NerdWallet.com | ||
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| + | *[https://www.godigit.com/life-insurance/wealth-management/guides/how-to-create-multiple-streams-of-income How to create multiple sources of income] | ||
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| + | Video: | ||
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| + | *[https://www.youtube.com/playlist?list=PLbjmSS6LZDGpWxbxadz12RNZCo8EbIwuV Multiple streams of income - video playlist], Video playlist | ||
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| + | *[https://www.youtube.com/watch?v=svGz-0GXXcM Multiple Streams of Income: Do They Work?] (Specialization vs. multiple sources of income, timing of having multiple sources of income) | ||
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| + | *[https://www.youtube.com/watch?v=5vZjrxE8Wlc 7 Passive Income Ideas] by Mark Tilbury (Tilbury has earned his wealth through a combination of successful investments, business ventures, and other income sources.) | ||
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| + | *[https://www.youtube.com/watch?v=eD0N8wXjNSs The Real Secret to Wealth: Multiple Sources of Income] by Bob Proctor | ||
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| + | *[https://www.youtube.com/watch?v=44zeQ28ky7k Multiple Sources Of Income - What No One Ever Tells You] | ||
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| + | *[https://www.youtube.com/watch?v=AqZbO8Ojhmw The Passive Income Scam] | ||
=== Common mistakes in creating multiple streams of income === | === Common mistakes in creating multiple streams of income === | ||
*[https://www.nasdaq.com/articles/the-6-biggest-mistakes-in-creating-multiple-income-streams#:~:text=What%20are%20the%20best%20ways,assess%20your%20skills%20and%20interests. The 6 Biggest Mistakes in Creating Multiple Income Streams], NASDAQ.com | *[https://www.nasdaq.com/articles/the-6-biggest-mistakes-in-creating-multiple-income-streams#:~:text=What%20are%20the%20best%20ways,assess%20your%20skills%20and%20interests. The 6 Biggest Mistakes in Creating Multiple Income Streams], NASDAQ.com | ||
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| + | == Multiple streams of income for a business == | ||
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| + | ''See also:'' [[Revenue diversification and businesses]] | ||
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| + | [[Diversification]] is a risk-reduction strategy for a business involving adding products, services, locations, customers and markets to your business's portfolio.<ref>[https://www.tradecommissioner.gc.ca/guides/spotlight-pleins_feux/spotlight-diversification-pleins-feux-diversification.aspx?lang=eng Spotlight – Market Diversification]</ref> | ||
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| + | '''Articles on revenue diversification and businesses:''' | ||
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| + | *[https://web.archive.org/web/20210310022157/https://www.forbes.com/sites/melissahouston/2021/03/04/the-importance-of-revenue-diversification-in-business/?sh=2eb10d712b4e The Importance Of Revenue Diversification In Business], Forbes | ||
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| + | *[https://web.archive.org/web/20230530015106/https://www.forbes.com/sites/melissahouston/2023/05/24/empower-your-business-by-diversifying-income-streams/?sh=6e3a621e4864 Empower Your Business By Diversifying Income Streams], Forbes | ||
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| + | *[https://web.archive.org/web/20230606221217/https://www.forbes.com/sites/williamcraig/2015/04/24/business-diversification-the-risk-and-the-reward/?sh=f35147c7d09c Business Diversification: The Risk And The Reward], Forbes | ||
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| + | *[https://hbr.org/1997/11/to-diversify-or-not-to-diversify To Diversify or Not To Diversify], Harvard Business Review | ||
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| + | == Diversification for investing == | ||
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| + | ''See also:'' [[Diversification and investing]] | ||
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| + | According to Investopedia, "[[Diversification]] is a risk management strategy that creates a mix of various investments within a portfolio. A diversified portfolio contains a mix of distinct asset types and investment vehicles in an attempt to limit exposure to any single asset or risk."<ref>[https://www.investopedia.com/terms/d/diversification.asp Diversification], Investopedia</ref> | ||
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| + | '''Articles on diversification for investing:''' | ||
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| + | *[https://www.investopedia.com/terms/d/diversification.asp Diversification], Investopedia | ||
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| + | *[https://www.forbes.com/advisor/investing/what-is-diversification/ How Diversification Works, And Why You Need It], Forbes | ||
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| + | *[https://www.investopedia.com/investing/importance-diversification/ The Importance of Diversification], Investopedia | ||
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| + | *[https://www.fool.com/investing/how-to-invest/portfolio-diversification/ Understanding Portfolio Diversification] | ||
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| + | == Books == | ||
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| + | *''How To Create Multiple Sources Of Income: A Comprehensive Guide To Building And Managing Multiple Sources Of Income'' by Partha Ranjan Dey. Independently published (May 21, 2023) | ||
| + | *''The Guide to Passive Income: How Affluent Investors Build Generational Wealth'' by Andrew Lanoie, (April 1, 2021). ISBN-10: 0578882213 | ||
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| + | == Quotes == | ||
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| + | "[[Diversification]] has been, and balance, like Wellington, has been so drummed into me, it's part of my personality." - John C. Bogle, American investor, business magnate, and philanthropist<ref>[https://www.brainyquote.com/topics/diversification-quotes Diversification quotes - Brainy quotes]</ref> | ||
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| + | "I've always been a big believer in diversification for anybody. It's never good to put all of your efforts and all of your time and all of your financial resources into just one project. Diversification is key for any individual and any business." - Paul Heyman<ref>[https://www.brainyquote.com/topics/diversification-quotes Diversification quotes - Brainy quotes]</ref> | ||
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| + | "The starting point for energy security today as it has always been is diversification of supplies and sources. - Daniel Yergin, American author, speaker, energy expert, and economic historian<ref>[https://www.brainyquote.com/topics/diversification-quotes Diversification quotes - Brainy quotes]</ref> | ||
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| + | "Don't put all your [[egg]]s in one basket" - Popular saying. The phrase is said to be first used in the novel “[[Don Quixote]]”, where it was written “It is the part of a wise man to keep himself today for tomorrow, and not venture all his eggs in one basket.”<ref>[https://www.languagecouncils.sg/goodenglish/resources/idioms/dont-put-all-your-eggs-in-one-basket DON’T PUT ALL YOUR EGGS IN ONE BASKET]</ref> | ||
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| + | == External links == | ||
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| + | *[https://www.bankrate.com/personal-finance/side-hustle-survey/ Survey: 39% have a side hustle, and 44% believe they’ll always need one], Bankrate.com | ||
| + | *[https://www.fastcompany.com/90874827/how-to-manage-work-life-balance-with-multiple-income-streams How to manage work-life balance with multiple income streams], Fast Company, 2023 | ||
| + | *[https://www.cnbc.com/2023/07/13/couple-with-multiple-income-you-only-get-as-far-as-your-efforts.html Millennial couple’s 6 income streams bring in $420,000 a year: ‘You only get as far as your efforts’] | ||
== References == | == References == | ||
Latest revision as of 21:58, August 9, 2025
"Don't put all your eggs in one basket" - Popular saying.
Multiple streams of income is an economic concept that is applied to either business or personal use whereby the person or business entity seeks multiple sources for income that have some level of separateness so that in the event that one stream "dries up", the other sources will continue and prevent a catastrophic situation from occurring.
Benefits of having multiple streams of income
See also: Diversification
- The Importance of Having Multiple Streams of Income, Lafayette Federal Credit Union
- Five Benefits Of Having Multiple Sources Of Income As An Entrepreneur, Forbes, 2020
- Why Should You Have Multiple Income Streams, Advisorpedia.com
Multiple streams of income and personal income
According to Entrepreneur Magazine, most millionaires have 3+ streams of income.[1]
How individuals can create multiple streams of income
- How to Create Multiple Streams of Income, City National Bank
- 17 Passive Income Ideas to Increase Your Cash Flow in 2023, Entrepeneur, 2023
- 5 Streams of Income That Will Grow Your Wealth, Entrepreneur Magazine, 2022
- 25 passive income ideas to help you make money in 2025, Bankrate.com
- 12 Best Passive Income Ideas: Earn More in 2024, NerdWallet.com
Video:
- Multiple streams of income - video playlist, Video playlist
- Multiple Streams of Income: Do They Work? (Specialization vs. multiple sources of income, timing of having multiple sources of income)
- 7 Passive Income Ideas by Mark Tilbury (Tilbury has earned his wealth through a combination of successful investments, business ventures, and other income sources.)
- The Real Secret to Wealth: Multiple Sources of Income by Bob Proctor
Common mistakes in creating multiple streams of income
Multiple streams of income for a business
See also: Revenue diversification and businesses
Diversification is a risk-reduction strategy for a business involving adding products, services, locations, customers and markets to your business's portfolio.[2]
Articles on revenue diversification and businesses:
- To Diversify or Not To Diversify, Harvard Business Review
Diversification for investing
See also: Diversification and investing
According to Investopedia, "Diversification is a risk management strategy that creates a mix of various investments within a portfolio. A diversified portfolio contains a mix of distinct asset types and investment vehicles in an attempt to limit exposure to any single asset or risk."[3]
Articles on diversification for investing:
- Diversification, Investopedia
- The Importance of Diversification, Investopedia
Books
- How To Create Multiple Sources Of Income: A Comprehensive Guide To Building And Managing Multiple Sources Of Income by Partha Ranjan Dey. Independently published (May 21, 2023)
- The Guide to Passive Income: How Affluent Investors Build Generational Wealth by Andrew Lanoie, (April 1, 2021). ISBN-10: 0578882213
Quotes
"Diversification has been, and balance, like Wellington, has been so drummed into me, it's part of my personality." - John C. Bogle, American investor, business magnate, and philanthropist[4]
"I've always been a big believer in diversification for anybody. It's never good to put all of your efforts and all of your time and all of your financial resources into just one project. Diversification is key for any individual and any business." - Paul Heyman[5]
"The starting point for energy security today as it has always been is diversification of supplies and sources. - Daniel Yergin, American author, speaker, energy expert, and economic historian[6]
"Don't put all your eggs in one basket" - Popular saying. The phrase is said to be first used in the novel “Don Quixote”, where it was written “It is the part of a wise man to keep himself today for tomorrow, and not venture all his eggs in one basket.”[7]
External links
References
- ↑ 5 Streams of Income That Will Grow Your Wealth, Entrepreneur Magazine, 2022
- ↑ Spotlight – Market Diversification
- ↑ Diversification, Investopedia
- ↑ Diversification quotes - Brainy quotes
- ↑ Diversification quotes - Brainy quotes
- ↑ Diversification quotes - Brainy quotes
- ↑ DON’T PUT ALL YOUR EGGS IN ONE BASKET