One personal growth writer, Steve Pavlina, has recently written an article as to why we should never get a job. The title certainly attracted my and a lot of other people’s attention. He offered ten unique reasons why we should never accept a traditional salaried position, and instead be entrepreneurial and create your own job. Of course he’s not advocating being lazy and leeching off government programs and the wealth of others, but he is suggesting that each and every one of us find a way to create incomes for ourselves, rather than being an employee.
Pavlina argues that being a self employee or a business owner is always the way to go, but if you read Cash Flow Quadrant, by Robert Kiyosaki, you’ll know that this option is just not for everybody. There are some people who are much more security oriented and like working for a big company with a nice stable income. For example, I know an individual who graduated college about 6 years ago and have had the same full time job. He has been writing very specialized computer software, and enjoys what he does thoroughly. He is compensated very well, and does not have any entrepreneurial leanings, and that’s just fine for him.
Pavlina does make a very excellent point though, we should not just accept our salaries, pay for all of our living expenses, and just go through life without a plan. Pavlina stressed that we should focus on generating secondary incomes which do not require us to do work, this is also known as passive income. We can generate passive income through real-estate, mutual funds, and the like. If we keep putting a lot of money in these things over long periods of time, we will generate more and more passive income, until we generate so much passive income that our passive income exceeds our salaried income. This is when we become independently wealthy.
Being self-employed is simply not for everyone. You need to have certain characteristics in order to be a successful entrepreneur. You have to be able to accept risks, be willing to fail, venture into the unknown. You have to be able to work to improve your knowledge on a regular basis, by learning about business, attending seminars. You have to learn to make quick decisions and have a strong business instinct. If you have these characteristics, creating and owning a small business might be the right way to go, but you still can be successful being an employee.