Today I want to talk about an easy strategy for building wealth. Namely, the importance of creating two income streams.

This is a major game changer and something which completely revolutionized my life. Developing two income streams is the easiest way to live a rich life, without requiring a massive salary.

In other words, it enables anybody to live like a millionaire.

I’ll explain how.

“Look For One-Foot Hurdles”

The above quote comes from Warren Buffett. It means you don’t have to complicate things.

Look for the easiest solution possible.

When most people talk about “passive income” or “multiple revenue streams” online, they’re buttering you up for a sales pitch. If you pay them $5,000 they’ll teach you the secret to making millions.

Because of this, I think many people have a healthy skepticism about passive income.

They imagine it as something tied to day trading or flipping houses. In reality, you can make money easier and with way less effort.

How?

Find something your good at and monetize it.

Maybe you’re a musician and can play weddings on the weekend. Or you like baking and can sell artisan breads at the farmer’s market.

There are a million ways to monetize one of your hobbies for extra cash.

Personally, I like writing. I pen five articles per week, and that’s a nice supplementary income.

Whatever you do, pick something you’re already skilled in and use that as a launching point for you’re side business. It’s a lot easier than trying to learn house flipping or dropshipping.

The Power Of Two Income Streams

Suppose you make $60,000 a year at your day job, and $18,000 off your side gig.

That $18,000 a year is extra income, you can use it however you see fit. Maybe you want to invest it, or pay off debt, or buy something fancy. Whatever the case is, it’s yours to spend. And that feeling is liberating.

How To Develop A Second Source Of Income

Saving money is cool and obviously a smart idea. I always try to cut back on my expenses whenever possible.

That said, you need to develop a “producer’s mindset” if you’re going to create multiple streams of income. Think about how you can make money and increase your net worth. It’s something that’s tough to do at first, but becomes second nature with a little practice.

If you’ve never done this before, I’d suggest sitting down and asking yourself “What am I good at?”

Make a list of 3 – 5 things, and then see which ones are easy to monetize.

I’d also recommend buying a few business books. These are pretty useful with the “nuts and bolts” aspect, plus they’re great for sparking ideas. Here are a few I recommend:

• The Millionaire Fastlane
• What Rich People Know & Desperately Want to Keep Secret
• The Miracle Morning

Those three are perfect for starting you off on your path to financial freedom.

Lastly, if you have no other ideas, here are two “gig” sites where you can earn some extra cash. I’ve used both to make side money before, and I think they’re worth checking out:

• Cambly – This is a teaching app where you communicate with students from all around the world. They pay a little over $10 an hour and are very reliable.
• Swagbucks – The granddaddy of all Internet side hustles. Swagbucks pays you for filling out surveys, and they’re a solid starting place for people to earn some beer money.

Alright, I wish you luck in your ventures and I think you’ll witness the power of two income streams very soon. Until next time!