The Types of Income that Will Create a Freedom Lifestyle

Growing up, I just thought I had to make a lot of money to make a good living.

It took many years to discover a little known income comparison that I learned from a guy named Robert Kiyosaki.

I'll share my favorite way to create passive income at the end.

Not all income is the same

1) Work for the man (or woman)

In this case, you're exchanging time for dollars.

I was going to college at the time and my main focus was to get a high paying job. So I jumped into engineering and eventually moved to Silicon Valley.

Good plan?

If you check out the news about 6-figure jobs nowadays , you'll see that tons of people are burned out...and that's not just millennials.

This can be a steady plan if you're planning to reach your 7-figure goal the typical way and retire close to the age of 60-70...

...which brings me to the next part...

2) Investing

In this case, you gotta invest money to make money. The main idea is investing in other money making businesses .

Fortunately, I got into investing in my early 20's. The bad thing is timing.

If you were to get started during the early days of the bull market, then you would most likely see a great upward trend for possibly a decade.

However, if you put most of your money in during the peak, you would have seen a huge loss if you were investing aggressively...even with dollar-cost averaging.

I'm sure that there are arguments against that, but if I was investing in real estate, I would have loved to jump in after a recession when everything hit rock bottom.

If you want to retire early through investing, then you could invest 30-50%+ of your income (BTW, I'm not providing professional financial advice here) .

Even if you're getting a return of 10-12% in aggressive mutual funds, most people could hit 7 figures in nearly half the time based on the compounding effect with that amount of savings across 1-2.5 decades. If you're spouse/partner can do the same, even better.

If this is all new to you, check out the compound interest calculator at U.S. government's website: investor.gov .

3) The Self-Employed Entrepreneur

In this case, you're working for yourself. Not as good as the next type of business .

So now, you are your own boss and you call your own shots.

That means that you control your time and your destiny...kinda.

When I was a financial consultant in my past career life, I was making appointments based on other peoples time, not my time.

If I was to move to another territory, I would have to start all over and build up my local clientele. Online businesses have transformed this idea...but there are so many independent business owners that are focused on their local area.

In this case, you're keeping your fingers crossed and hoping that you're able to do business for the long-term.

The scary thing is when I see people in this situation that don't have disability insurance, long-term care insurance, or life insurance, and their spouse and kids are totally relying on their income to survive.

4) The Systems Based Entrepreneur

In this case, you have the potential to make money even when you're not working.

You either have people or systems in place to make money for you.

This, to me, is the ultimate type of income.

First, you'll have the potential for exponential income growth.

Second, you're in control of your business, but you don't have to actively bust your butt day in and day out.

Third, stocks and companies can fall apart. If you're building your business, you have the ability to move forward or pivot when you need to. You're pretty much able to create your own economy.

Fourth, one of the biggest parts of this type of income generator is that you can create a freedom lifestyle with it...and most people can do it if they just decide to.

What if you were able to create time, location, and financial freedom with your own business?

What if you could do this without hiring employees, without picking up the phone, having inventory, or dealing with customer service?

That's my focus.

If you're ready to build a business using a passive income system, click here.