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Over the long run this can lead to burn out and fatigue. As a result, success usually means working harder and working longer. Self-employed people do have a lot more control than an employee, but that also means they have more responsibility. Many self-employed people earn very large incomes, but like the employee, when they stop working so does their income. The S quadrant includes dentists, insurance agents, restaurant owners, realtors, handymen, and many other trade workers. The self-employed still work, but they own their job. Many employees get tired of their lack of control and choose to work for themselves. An employee’s financial destiny, security, and freedom is dependent upon the whim and the success of their employer.
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This long-term lack of control over income is the primary problem of the E quadrant. But when an employee stops working (or when the business stops), their income stops, too. The employee gives his or her time, energy, and skills to an employer in exchange for a pay check and benefits.Įmployees can make a little or lot of money. The job itself is owned by a business, which could be a single person or a large corporation. This is where most people earn their income. Let me explain a little more about each of the four quadrants: E – EmployeeĪn employee has a job.
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It also includes Coach’s rental analysis spreadsheet.
CASHFLOW QUADRANT PDF HOW TO
A course by Coach Carson that teaches you how to run the numbers so that you can confidently analyze and buy profitable rental properties.