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Cashflow quadrants
Cashflow quadrants










cashflow quadrants

They recognize that success cannot be achieved alone, and therefore seek to hire individuals with specialized skills and greater talent than themselves. Instead, they own a system or a product that generates revenue even when they are not actively working. Unlike those in the S Quadrant, business owners do not simply own a job. They pay fewer taxes and invest in assets that generate consistent cash flow for them, even when they are not actively working. The right side of the quadrant includes B and I. When self-employed individuals require additional financial resources, they seek to increase the number of billable hours they work. Consequently, they only earn an income when they are working, which means that they own a job, not a business. People in the S quadrant are professionals such as doctors, lawyers, dentists, accountants, and consultants who are based in service-oriented businesses. In fact, they prefer entrepreneurship because it provides a sense of control over their future. Although they still value security, they are more willing to take risks and are content with working for themselves. Individuals in the self-employed quadrant are not suited for being employees and often possess a mentality that they are the best at what they do.

cashflow quadrants

If employees need more money, they seek a job that pays better. Education, for them, is about acquiring the necessary skills to secure a stable, high-paying job with excellent benefits. They tend to avoid risk and therefore may not see the value in learning about money and its workings. Each has a distinct mindset.Īt the end of the day, employees prioritize security. This group pays the most in taxes and trades their time for money. On the left side of the quadrant, you'll find employees and self-employed individuals. It also points out the distinctions between those who exchange time for money, like employees and self-employed people, and those who build assets that produce income, like business owners and investors. The quadrant shows the various mindsets and ways of working and making money that are present in each group. The Robert Kiyosaki’s CASHFLOW Quadrant is divided into four types of people based on their income, two in each category.












Cashflow quadrants