Most employed persons have one source of income, their salary. If they lose this source of income, they are reliant on savings, going into debt and/or claiming state benefits to tide themselves over until they can find another job.
In terms of income security this is the highest risk category.
Employed persons who can take on a second job or develop additional income streams by developing part-time businesses, can reduce this risk.
Business owners, who may have many customers, have an opportunity to increase income security as if they lose one customer, they may be able to reduce costs to compensate and thus maintain their income.
In all cases, we may be approaching a time where dependency on one source of income may become too high-risk and individuals and families may have to explore options to create multiple income streams.
If you have ideas but lack the experience to set up new business income streams for your family, please call, we can help you consider your options.
The analogy of having all your income producing eggs in one basket is appropriate. Drop this basket and you may lose all your eggs.
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