As a self-employed person usually you don’t get paid unless you show up. The handy man doesn’t get paid until after he installed the kitchen cabinets, the UBER driver doesn’t get paid until she transported her customers from A to B and the traditional consultant or coach doesn’t get paid unless she shows up and performs.
That is all fine and dandy unless you cannot show up! Maybe you are ill, maybe your children have the flu and your husband is out on a business trip or maybe you just don’t feel like “putting on a show” that day. Not that this has ever happened to me 😉 !
The freedom that comes with picking your own times and dates to work as a self-employed one woman show (versus a classical employee) has the downside of “you have to show up no matter what” – or performance pressure. I feel that pressure too “No, I cannot cancel last minute, let everyone down and then I will never get booked again! That’s what Ibuprofen and Imodium where invented for!” Gah!
In my mind, that is not true freedom! Freedom means having a true choice between equal options. Freedom means I can chose to stay in bed if I want to! Now, technically anyone has that freedom, but there comes a time when you are borderline loafer bum-ish. So I am not saying stay in bed all day everyday! I am saying you should have a choice because there will be days when you just can’t get up and perform for whatever reason.
So what is the solution you ask? You know the answer: passive income! Widely overused and rubberised word these days (I hope “rubberised” means what I think it means! ha). What is passive income anyway? It is not a lazy person’s way of getting money! It is the smart persons way of making money using a more or less sophisticated system that need lots of work to be set up! The illusion that it is for the lazy person derives from the fact that you do get paid without “doing anything at that moment”. Really it should be called “continuous delayed income“, income that is the result of something you did or set up earlier in your life. The classical example is retirement. Grandpa gets paid for doing cross word puzzles because he worked 40 years and has contributed to his retirement plan.
And here we have the link to the early retirement movement. A sentiment that people don’t want to wait until the end of their life to get paid for doing anything they want, even if what they want to do is nothing. This is only possible by setting up a system of continuous delayed income streams, wether that is real estate, stocks, patents or royalties. That allows for true freedom, despite the fact that those systems need occasional oversight and maintenance.
Have I convinced you, my self-employed ladies and gents to consider, “passive income” even though you might think you already have degrees of freedom compared to a traditional employee?
Real freedom means you don’t have to!
Because when you don’t have to, you want to!
Sincerely, Miss Money Mind