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Job Security vs. Income Security

April 3rd, 2017

What do you think about job security?

If you have a job right now, you passionately want to believe in it… that it will last. At least for you.

If you are unemployed right now, you are likely soured on the whole concept, realizing it’s a farce.

Back in 2008 (maybe earlier) I had an epiphany: having a JOB (or as some people have called it, Just Over Broke) is not bad.  But relying on that one job to be around forever, and to meet your financial needs (not wants), can be really risky.

When I lost my job, on Friday the 13th in 2006, I had invested too much of my personal and professional life into that one job. I invested myself into that role, company, team, and outcome. And when the job was taken away from me, I was left with nothing.

I counted on job security, when I should have been working on a personal income security strategy.

What is that?

It is a strategy that helps me (and my family) have the income I need (and want), with a plan for the future.

What does that look like?

If you take a purely professional, non-entrepreneurial position, it looks like a great, solid career that doesn’t happen by accident. You have gotten the right education and continuing education (training, certificates, etc.). You know, and are known by, company and industry executives and movers and shakers (including those that work for the competitor). You carefully craft a branding strategy and work to share your brand appropriately. You have taken on extra responsibility at your company, and are known as someone who gets the job done, someone who others want on their team, etc.  You are pleasant and very competent, and other people wonder how your team, project, or company could ever survive without you. From the outside, it looks like you have been lucky, a lot, in your career.

If you take a non-traditional position, you are a great worker, and you have side gigs. You might have rentals, or sell cupcakes on weekends. You might manufacture something in your garage, or consult. Your job is a one aspect of your income, but you are excited about, and empowered by, other revenue streams that you have created. If you lose your job, you have other things to fall back on, and you wonder “should I look for another job, or should I just hit this other stuff really hard?”

Those two ideas address the money-making side of things.  The other side is what do you do with your money (how do you spend it), and your debt.

  • When you get a bonus, how do you spend (or, invest) it?
  • How is your retirement account?
  • How much credit card debt do you owe?
  • When will your house be paid off?
  • When will you pay off your student loan?
  • When will you be debt-free?

Income security has to do with how you earn money, how you spend money, and as important, how you think about money (ie, is it “evil”?).

I’ve been talking about income security for a long time. I invite you to seriously think about what you can and should do to increase your personal income security. I am… because I want financial peace of mind, for now and for many years to come.

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