Depending on different stages of your life, becoming a millionaire can be a very different story.
For example, the path to be a millionaire for a 18 year old would be entirely different for a 40 year old.
When you are a 18 year old, you don’t have any liabilities or any “life burdens”. But for a 40 year old, you have children and parents to take care of.
For 18 year old, you don’t have much capital to start a business, but for a 40 year old, you’ll probably have some savings to invest or start a business.
Whether or not how old you are, some of the paths are fixed – For instance, you would need to build passive income. And there are not too many types of passive income you can create.
Before we go into the details what to do at different age, let us first talk about what kind of income are there?
If you look at Wikipedia, US define income into 3 types…
1) Active income
2) Portfolio income
3) Passive income
Portfolio and passive income are quite similar in terms of both kinds of income are passive and doesn’t require you much time to work on it.
But there’s a difference in what you can work on when you talk about these 2 kinds of income.
For portfolio income, the paths to become a millionaire is largely dependable on how much you save and how much are you making.
If you have a great education and work in a high position, then your active income would be large and if you know don’t spend much and put into investment, you can become a millionaire very fast (Largely because of the returns through the stock market but you would need to understand some knowledge behind investing).
However, that doesn’t mean that people who doesn’t have a very good education can’t be a millionaire too.
You would then need to work on other kinds of passive income like
1) Building a business
2) Write a book
3) Residual income – through certain sales job like insurance, real estate (rental), network marketing etc..
4) Online Marketing
We will go through each of them.
Building a business may sound scary to you but if you learn the ropes of a business, it’ll be fulfilling and profitable. You may need some capital of at least $10,000 (depending what kind of business you go into).
You can sell anything from food, all the way to B2B like setting up a outsourcing services for other companies. The ideas are unlimited.
The key here behind building a business is ultimately getting sales – you would need tons of sales to growth your business.
Writing a book – This may be daunting for some of you because writing a book is a long process and how do you get it publish? Do you know that it’ll take a long time for you to make money from royalties from your book? It ultimately depends on the sales of your books in the local bookstores.
You would also need a publisher who is willing to publish your book or you can publish the book yourself.
Residual income – Residual income from insurance is a good source of how you can actually become a millionaire. This is a sales job and you may need to do a lot of cold calls, presentation as well as selling before you can make a lot of money in the insurance line.
Online Marketing – Due to the fact that in today’s fast pace technology, internet has become a “real world” where people can connect with each other, you are able to tap onto this entire marketplace at the lowest cost ever. There are many ways where you can make money online and the thing is many people have become millionaire within a short period of 2-3 years online.
In fact, this is the best way where you can start a business. The cost is low and there are many ways for you to brand and market your website.
Now after you have read these 4 ways to build your passive income, what do you think they have in common?
If you read closely and think for a moment,
it’s all about making SALES passively…
And it is the kind of passive income you want to learn and want to build. We are going to hold a survey soon and if you can participate in the survey at the right of this sidebar. This is to help us to find out which kind of passive income would you like to find out about.
Your assignment for you to become a millionaire is think about what kind of passive income you want to build.
Next, do you have the millionaire mindset? Click here to read more about millionaire mindset.