There is a lot of uncertainty in our economy and you need to be prepared. The days of working for a company until you retire and then living off of your pension are gone. A lot of companies no longer have pensions and you may not make it to retirement at your current company.
According to the U.S. Bureau of Labor Statistics, the unemployment rate in the United States is 8.1% which equates to 12.5 million people. Of those 12.5 million, 5.1 million have been unemployed for 27 weeks or more. The total number of layoffs and discharges for nonfarm jobs were 1.7 million in March 2012. In February 2012, employers took 1,293 mass layoff actions involving 199,463 workers. Mass layoffs involve at least 50 employees from a single employer.
If you are banking on Social Security and Medicare when you retire, you better think again. Medicare may run out by 2024 and Social Security by 2033. If you think that you will be in better shape because you have a 401K or 403B, think again. The average return for the typical American employee’s 401k the last two decades is less than 3.5%.
You MUST have a Plan B. You must have multiple streams of income to survive these days. You can’t just rely on your job, but you must have passive income as well. You can’t just trade time for dollars.
Most people have heard of Rich Dad Poor Dad by Robert Kiyosaki. He talks about getting out the rat race and stop trading time for dollars. The book explains how different rich and poor people think about money. This is an excellent book, but I recommend that you also read The Cashflow Quadrant by Robert Kiyosaki. This book talks about the four types of people in business: business owners, investors, employees and the self-employed.
There are many alternatives for your Plan B, but I prefer Internet Marketing. There are many ways to generate income such as affiliate marketing, product creation or coaching. Product creation is an easy way to generate passive income. You create the product one time and you get paid over and over again when someone buys. You do the work one time.
If you are interested in learning more about how to get started in Internet Marketing, go to The Online Newbie to download your free report “5 Essential Steps for Every Internet Marketing Newbie”.