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http://radicalpersonalfinance.com/patron

You\'ve probably heard that your income is your biggest and most important tool in your wealth-building toolbox.\\xa0

It is. But it\'s hard to see and feel that when you simply sit down and look at your net worth statement.

Today, I want to share with you a technique that has been useful for me. It\'s primarily a framing technique: it allows you to actually see the value of your income as compared to your current financial condition.

It\'s been incredibly useful to me and I hope it\'s incredibly useful to you!

Notes:

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• Calculate the lifetime value of your income.
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• Then, think about what you can do to increase that number.
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• There are three primary levers to push:
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  1. The higher your starting income, the better.\\n
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     • Focus on starting from a position of strength (higher wages).
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     • Look for high-skill or high-education industries.
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     • Focus on a difficult industry. Hard work pays!
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  2. The higher the annual increase, the better.\\n
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     • Build and apply knowledge, skill, and ability.
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     • Be in an industry which will reward your increases.
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     • Look for big-jump increases by constantly job hunting.
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     • Establish yourself as a leader in your industry.
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     • Look for industries where competition is low and you can gain a competitive advantage.
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     • Look for exponential growth and leverage opportunities.
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  3. The more years of income, the better.\\n
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     • Start earlier. Can you simply get started now without waiting for formal credentials?
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     • If it\'s too late for you to start earlier, can you help someone young start earlier?
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     • Work longer. But consider if you\'ll be able to persist.
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     • Look for work that you can do for longer. (Be careful of laboring jobs or mandatory retirement programs.)
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     • Look for work that you\'ll want to do for longer. (Does it integrate with your lifestyle? Do you gain satisfaction and enjoyment from the work itself?)
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     • Look for work where your age and wisdom will be an advantage. (Plan ahead for ageism and be prepared to overcome it.)
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     • Look for work where your lifetime knowledge and experience will be an asset, not a liability.
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• Your homework:\\n
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  • Calculate the expected value of your life\'s income.
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  • Is it enough? Play with the variables and see what kind of alternatives you can create.
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\\xa0Links:

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• Patreon Page for Radical Personal Finance
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• Instructional video for how to make an income spreadsheet
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• Bonus episode for Irregulars with details about my Dallas trip
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