$5,000 per hour.
It sounds crazy. Almost too good to be true, really. But when you think about it, there are actually a lot of people earning this much.
Here’s the secret: it’s not like they are actually billing clients at $5,000 per hour. Instead, they are using their time in a way that yields huge payoffs at some point in the future. Eventually, the cash starts piling up, and their “relative income” goes through the roof.
Here are the three things you can do to increase your income…if not to $5,000, then certainly to higher than where it is right now:
1. Build (And Own) Something Of Value
This is clearly the best and most common way to make a lot of money. Almost every super-rich person (from Bill Gates at Microsoft to Sam Walton with Wal-Mart) has made their money by building a large, profitable business.
Of course, you don’t need to build an empire to increase your income. For every billionaire, there are thousands of millionaires who do the same thing on a smaller scale. One businessman I met makes millions of dollars every year by shipping equipment supplies to miners in the Sierra Mountains. He purchases the supplies at a discounted bulk rate and provides a service that allows him to sell them at a much higher price. He has a trusted relationship with his buyers and has outsourced most of the actual work, so his time commitment is low. But he keeps the majority of the profits because he is the owner.
2. Earn Some Big Commissions
Being a middleman isn’t as profitable as owning your own lucrative business, but the good news is that you take a lot less risk. After all, you’re just taking a commission from a sale. You don’t have to put any of your own money into something that might go under in the future.
This is how investment bankers make all of their money. They find large corporations that want to acquire smaller companies. Then, they negotiate a transaction and take a nice chunk of the final sale price. When you’re selling a billion dollar company, even a small percentage can add up to tens of millions of dollars.
Now, I know that you can’t just start conducting billion dollar transactions overnight. Instead, a more immediate way to boost your hourly rate is to become a passive middleman.
Here’s an example: one guy I know recently bought an outsourcing company based in the Phillippines, where he pays people between $8-$11 per hour to do data entry and basic accounting tasks. He then charges companies in the states $30+ per hour to do the same work for him. All he has to do is negotiate the initial contracts, and then he just keeps collecting checks every month.
3. Become An Authority
In 1985, Robert Kiyosaki was living out of his car. Through a bad series of investments, he had ended up completely broke and was a step away from being out on the street.
Today, Kiyosaki is a best-selling author who has turned his “Rich Dad, Poor Dad,” books into an iconic brand, complete with seminars and a lucrative line of information products.
A pretty impressive turnaround in 25 years, so how did he do it?
In the late 1980s, Kiyosaki realized that things needed to change. He started investing more wisely and soon had amassed a sizable real estate portfolio. In 2000, he wrote the bestselling Rich Dad, Poor Dad, which focused on his upbringing in Hawaii and the many mistakes he had made over his career. His rags-to-riches story had lots of appeal and quickly established Kiyosaki as an authority on personal finance and investing.
Most of the information in the book is common sense, but it has more weight coming from Kiyosaki. This is the power of being an authority.
Have you managed to increase your income using these techniques? Please share in the comments.