The 4 Players of Money and Business

There is about $7.5 trillion circulating in the American economy alone. So what is the problem? Why can’t you make all the money you want in life? Well, maybe its because you don’t understand the players and the financial tools they use for making money. Either you simply don’t know how to become a particular player or you don’t know how to use the proper financial tools for accumulating wealth. The four players of money and business are employees or “Workers”, self-employed or “Hustlers”, business owners or “Ballers” and, investors or “Capitalists.” The financial tools each of them use to make money are job employment for the worker, self-employment for the hustler, business system for the Baller and capital for the Capitalist. stars77

Employees or “Workers”:

The majority of America’s labor force are “workers” who sell their labor for wages or salaries. Those in this category, roughly 140 million use what is called a job to make money or earned income. A job is simply an agreement between you and an employer to perform a specific task on certain days for a fixed salary or wage and sometimes additional benefits like discounted health care, paid vacation and sick time. thekayelist

Most workers think they have job security, but just ask the 80,000 people who were laid-off in 2007 due to the sub-prime mortgage melt-down. Those people just received a free lesson in job security 101: THERE IS NONE. If a company’s business model or means of making a profit no longer works, then they will change it and that change often involves reducing labor cost or lay-offs. On average, employees or workers generally make about $35,000 (before taxes) a year and have a net worth less than $25,000.The question is why are so many people using this financial tool to make money? If asked many workers will likely respond: financial stability, discounted health benefits, paid vacation, and sick time.

Besides the benefits listed above, the only stability or security is your paycheck not your job itself. And if you have no job then you have no paycheck. Now lets discuss this paycheck. When you work for an employer, you agreed to perform specific tasks for a FIXED wage or salary. This means that your employer has a large amount of leverage over you.

I remember when I worked in Corporate America I was involved with an accounting team who saved the company hundreds of thousands of dollars in cost. What did we get? A free lunch, and a pat on the back from our boss and the vice president of the company. I thought to myself, we should receive at least a small percentage of the savings. My co-workers thought I was insane for wanting to ask, but you see, I was young, ambitious and fresh out of college. Besides, my employer had no legal obligation to compensate me for the savings simply because I had agreed to do all that extra work for my fixed salary.

Employers expect you to perform at 100%. Well, I was performing all my normal analytical and data entry tasks, however I put in longer than normal hours and took work home to generate those savings, so therefore I concluded I exceeded my 100% work capacity and should be compensated accordingly. Instead, I got a positive review on my job performance evaluation for that area. Wow! Now I can take that $35,000 (before taxes) salary, merit increase and performance bonus and buy my dream house right? Keep dreaming. atlasmatras

A simple wealth formula is to increase income and decrease expenses. However, who wants to decrease their standard of living from $35,000 (before taxes)? That means living in the projects or some drug-infested crime area where my life may be at risk. The only other option is to increase income. But wait, remember you agreed to a fixed salary or wage to get that job and unless you decide to get a degree (if they pay for it of course), you are stuck under your supervisor and the only raise you will receive is that 3% yearly merit increase. Let’s just hope you are that lucky and your company has the funds to include merit increases in the annual budget for that year. Sound hopeless? Maybe you should consider becoming a different kind of player in the game of Capitalism, perhaps a self-employed “hustler?” clothing wholesale

Self-Employed or “Hustlers”:

The self-employed “hustlers” are the 10.5 million unincorporated business professionals who sell products or services to make money. These are your doctors, convenient-store owners, lawyers, Mary-Kay salespersons, accountants, and farmers. “Hustlers” generally earn about $50,000 (before taxes) and have a net worth of $25,000 to $500,000. However, the IRS reported that about half of them under-report their real income to minimize paying taxes, therefore that $50,000 earnings estimate is understated. The IRS revealed in February 2007 that self employed “hustlers” underreported about $150 billion worth of income. Casanovabrooks

Self-employed “hustlers” don’t have to worry about job security because they create it for themselves. If one business is not profitable they simply start another business. The main advantages of being a hustler is increased income capacity, you become the boss, pay less in taxes and acquire valuable business development skills. The hustlers sell products or services so their income is based on how many products they sell or services they provide to customers. หนังใหม่ 2023


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