Analysing the four types of income described by Kiyosaki

Kiyosaki is an amazing author that has several books published in his name, the famous writer of ‘’rich dad, poor dad ‘’ always writes about how to live a life of financial liberty. Today I want to share the types of income described by Kiyosaki with you.

Kiyosaki’s analysis says there are four means of income making: employee income, the self-employed income, business owner income and the investor income.

The Employee income:

This method of generating income is the most common type of income strategy that we have, this system provides income on a weekly, monthly or yearly basis for workers from employees. This system has been categorized by Kiyosaki as the most risky form of income strategy, the reason for his decision is not far-fetched, he believes in the fact that the employees could get the income earner fired at any time and this means that the said income earner will have no other source of income until the point when he gets another system that wants to hire the skill he has to offer.

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The Self-Employed Income Strategy:

This income strategy provides an opportunity to work and make money for yourself, this method has so many advantages and unlike the employee income strategy, there is no one to fire you, but the issue with this system is that, you do not earn if you did not work and this calls for continuous works during weekends and even holidays. Self-employed people barely get time off their jobs because they have to keep working in order to keep earning.

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The Business Owner Income:

This income strategy is better than the self-employed system of income since all you have to do is to manage your business properly, this system makes you employ people to work for you. As a business owner, the business does not require your regular presence because even in your absence it has the ability to function properly.

The Investor Income:

The investor system is one that provides the opportunity to gather more wealth than the other income strategy, investors simply put in their funds into businesses and make profits for themselves. They build wealth faster by investing more and using the profit made from several investment platforms to invest more. As easy as this sounds, people who have acquired wealth over time, enjoy it the more.

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Conclusion.

Irrespective of whatsoever income strategy level we are at the moment, it is important to get to the final level of having our money work for us, since the investor income strategy is the easiest and fastest way to make more, I really feel while we go around making money through the other means of income, we should not forget to designate part of our funds to investment platforms that will generate profit for us.