Today I want to talk about self care. We all know about going for a walk or taking a bath as a form of self care but what about financial self care? Self care through wealth creation.
When I was a teenager, both my parents worked for themselves. And I remember my mum talking about how she WAS her business. That if she got sick, she still had to work because it was her doing the work and if she didn’t work she didn’t get paid. She used to drive all over regional Victoria doing facilitating and training. I think she earned decent money but it was at a cost. She was always busy and would get burnt out.
It’s the same for people working on a contract. If you don’t put in the hours you don’t get paid. I think I mentioned on the show once how amazing I thought it was when I first got a job on a salary with sick pay. I thought it was the most privileged position to be in, to be able to take time off work because I was unwell and still get paid, incredible.
So today I want to discuss how you can look after yourself and create the ultimate self-care by creating forms of passive income. Why do I want you to consider passive income? Well it means you can produce an income without having to directly work hour to hour to bring in income. This is incredible powerful and gives you more options. It means you can be work optional if you choose to be. It means if there is a health issue in your family, you can take time off. It means you can have a business and still earn income if you are unwell. And more than that it means you are putting a stake in the ground and giving yourself the gift of ultimate self care.
You are saying I can look after me. I care for myself and create ways to care for myself.
I see it as such a form of self-love. When I think of the work, I have put into buying our investment properties and developing a share portfolio I think I love myself enough to take action to look after me. It’s my way of saying I’ve got your back Meaghan. You can rely on me. When you are a little old lady, I’ve got you. I am looking out for you. I am looking out for your family. I love you, I care about you, you can rely on me.
When I look at creating wealth through that filter, I am totally motivated and it feels amazing.
What is passive income?
Passive income is a form of income that you receive without having to directly work a specific number of hours to get paid in returned.
If you love your job and get paid a good wage why would you bother creating passive income? Well here is why.
Your job is not an indestructible fortress. As we have just learnt through current world event. Jobs we thought were secure, simply are not. No one could have predicted masses of people being out of work because of COVID-19.
Now don’t get me wrong I am not trying to scare you into creating passive income, I’m trying to seduce you to see another way. Another way you can love and look after yourself; beyond face masks and bubble baths. Another way you can say I love myself and my family so much that I am going to take the ultimate care of me and my family.
Having a passive income is not about having an income because you hate your job and want to leave it. You may absolutely love what you do and I truly hope you do. Having a passive income means you have a way of looking after yourself without having to trade hours for dollars. It means if you lost your job in a world pandemic that you are okay. You have options. It means when you retire you have income to support yourself. You don’t have to rely on the government or a work pension. You have your own income. It means if you have a service-based business, that you have income producing assets in the business that generate income even if you are not directly working.
I don’t want you do be misled by the term passive, as make no mistake to create a passive income requires work. However, it usually only requires the most work to set it up and then you simply have to put in a smaller amount of work to manage and maintain your passive income.
So how can you set up passive income and or other forms of wealth to look after yourself?
There are various ways. Some will take longer to set up than others but it really comes down to how much work you put into it.
Investing in shares is a great way to create a passive income for yourself. This is accessible to most people as to invest in shares you can start with as little as $500.
This is a strategy for playing the long game. The earlier you start the better but as your passive income will increase with the more money you have invested for example say over your working life you accumulate a share portfolio worth $2 million dollars and on average it has a 8% return you would have a passive income of $160000 or even if it was only a 5% return you would have a passive income of $100000. Maybe you start later in life and your portfolio is worth $200000 at a 5% return that is still an extra $10000 per annum you can bring in without having to work any hours.
In June on the podcast I focussed on investing in shares in particular episodes 32 Talking investing with Sandra Stewart, 34 Millionaire Teacher with Andrew Hallam and 35 Four Books To Get You Investing in Shares. You can learn more about investing in shares by going back and listening to those episodes.
You can also create a passive income by investing in property. The following episodes this month will be all about property investing so I won’t go into detail here. You can find out all about investing in property by tuning into the next 4 episodes. Again, this form of passive income doesn’t get created overnight but it is another way you can bring in income with directly having to work.
What about if you have a business? Well this is the fun part this is where you are only limited by your imagination. Maybe you are a service-based business and you also have a book or an e- course you sell. Maybe you have paid tutorials or a membership. Think asset creation. You want to create assets in your business that produce an income for example one of my online friends Josephine from Josephine Eve stylist, is a stylist who works one on one with clients. As in, she has to directly work hours to make an income but she also has an e- course called How to Create Your Dream Wardrobe. This is an income producing asset that creates income in her business even while she sleeps. Now make no mistake to create that would have taken a lot of time and effort but now that she has created that asset, it can produce a passive income in her business.
Another example to consider are memberships. An online biz that I follow called Mum’s with Hustle, Tracey the founder, helps mums create income in their businesses by utilising Instagram marketing. She has a membership for this. She is creating assets inside her business all the time and does group coaching but this is only available inside her membership. Now she is not coaching everyday so her business creates revenue without her having to directly work specific hours to produce that income.
These are just two examples but there are many more ways, and like I said you are only limited by your imagination.
Ultimately for me creating passive income is about supporting and caring for mine and my family’s wellbeing. It supports my mental health and physical health. This is how I look at money. For me it’s no brainer. I want to live my life on purpose. I want to live my life on purpose not live my life in a way where I feel trapped and have to work to earn a living.
As a mum, I’m totally down with my nurturing roll as a mum. I don’t need to limit that to hugs and bedtime stories. I want my nurturing to encompass earning an F–tonne of money to support and provide for my family.
I feel very empowered by doing this as I feel a sense of self trust and love.
I feel empowered to create my life by design and live an extraordinary life.
If you want to live an extraordinary life and create the ultimate self-care and loving life for yourself and you would like some support to do that. I can help you with that. You don’t have to think about this for weeks. You can actually decide today that you are going to create a passive income for yourself and start working towards it today! What is one action you can take today. Write a plan, set a goal, book a coaching session. You don’t have to wait. Do something today. You can book a complimentary consultation with me today to get you started.
If you would like to work with me on your money mindset. Uncover your money blocks and create new abundant results in your life contact me here.
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