Can you do it? Here’s my list:
- My salary.
- My wife’s salary.
- Dividends from stocks and other investments.
- This blog.
- Gifts from family.
Not all are created equal. For example, my list is extremely top-heavy on salaries, with much smaller incomes from the other sources. But I can still name five.
Five is not a magic number or a secret threshold for the right amount of diversity. But the key is that it’s more than one, and it gives me a baseline from which to work.
Is there an ultimate goal here? For me, it’s to have a list of five well-balanced supplies of cash flow of similar strength (you could define that in dollar amounts, for example). Balance is really the same thing as diversity: risks that may affect one stream probably won’t affect another.
How’s that for “job security?”
I’m not there yet, but I’m working on it.