Young Wealth Marketing

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Many people do not fully understand these terms and how they work. Residual income is the concept of working 1 time, and receiving income from that work, over and over again. One example would be someone purchasing a house. They made that commitment to do something 1 time... and pay the price 1 time, but month after month with a tenant in place, they can receive income over and over again for as long as they own that house.

Linear income is the basic principle of you get paid for the exact work that you do. For example, if you clock in at 8 AM and clock out at noon and get paid hourly.... you will receive payment for exacly the 4 hours you work and nothing more.

These principles are VERY important in the real world. The BUSINESS minded individuals realize that it is VERY difficult getting rich, only getting paid for the time you work. Lets look at a person living in the city working a normal job that is based on a salary of $50K a year. Let's say just to survive they need to make an income of $35K per year. That leaves us $15K for play money. Say you put a downpayment on a car, house, or take a vacation.... that $15K in savings can turn to 3 or 4 pretty quick. The key to getting rich and retiring early is SAVING your money. If you make a surplus of a couple grande a year, best case scenario you will retire in 30-35 years. You'll be lucky if your raises keep up with inflation and the ever rising gas prices.

Business minded individuals have the mentality that they would rather take a risk that could result in a large payout. Free enterprise simply means this, you can work 100 hrs, for $100. You can also work that same 100 hrs, and perhaps make $100,000. Lets look at the career of a real estate agent. Most agents are independent contractors of the firm they represent. Not only are they marketing the firm, but they are marketing themselves as real estate experts. They work under the understanding that they may not make any money for 2 months, but tomorrow somebody could come into their door and want to locate a $2 Million mansion. A small percentage of $2M will more than pay their bills for a few months. If you work in a profession where the risks are higher, but you work SMART and EFFECTIVELY, you can retire in just a few years.

Don't get me wrong, I've seen my parents retire on Linear income, but it took them 30 yrs of work and saving EVERY penny they made. I've also seen people work for 5 years, and retire in their mid 30's multi-millionaires. It's all about what you have in you.