My Passive Income Formula to Escape the Rat Race

Our Lot in the Philippines

I started reading a book recently called The 4-Hour Workweek by Tim Ferriss.  Actually my wife bought it for me as a gift.

I have been hearing about it for awhile and I wanted to know what it was about.  I found the ideas contained inside not only practical but fascinating as well.

It talks about a concept known as the “New Rich” meaning that you do not need to be a millionaire in order to enjoy a millionaire lifestyle.  In fact, the process can be accomplished much faster than the old formula of work, save and retire.

This really resonated with me because it is similar to a plan I was already following that I found elsewhere.  There are many ways to accomplish this goal – no situation is exactly alike.

I would like to share my passive income formula with you and how I’m applying it to my own lifestyle.

1.  Determine Your Dream Lifestyle

Figure out exactly how you want to live and where.  From what type of residence you will dwell in right down to what you will need in order to live a fulfilling life.

Everything starts with an idea followed by a plan.  Proper money management that includes a sound budget will prepare you for the next steps.

2.  Figure the Cost of Your Dream Lifestyle

In the book, Tim Ferriss states that exotic, tropical living is much cheaper.  That is why my wife and I just bought a lot in the Philippines just minutes from the ocean in order to build a house.

One of Our Coconut Trees

We are choosing to pay cash for everything as debt elimination will reduce the costs involved in maintaining our dream lifestyle.  Honestly, once the house is built our monthly costs will be under $1000.

3.  Create a Source of Passive Income

Once you have your expenses figured out you will then know how much passive income you need to create on a monthly basis.  And if you manage your money well as mentioned in step 1, you will have enough set aside to build a business with.

In my opinion, the internet represents the best opportunity for the average person to create an ongoing monthly income.  The barrier to entry is extremely low when compared to a traditional brick and mortar business.

To accomplish my goal in step 3 I have chosen to work with Empower Network.  Not only do they offer huge monthly commissions, they also offer the training you need in order to get started the right way.

I am part of a great community and that is something that is really invaluable.  It is really great when you can get your questions answered by experienced marketers.

Well there you have it.  You might have different goals or a different path in life.  I just thought I would briefly share mine.

It sure gives your life purpose when you have a clear set of goals that will allow you to live life on your own terms.