The 1.5 Rule of Financial Security

The 1.5 Rule of Financial Security
  • Opening Intro -

    Money makes the world go round. It is said to be the root of all evil; but either way, we cannot live without it.


What is true financial security?

Having a lot of money or none at all is not the focus when it comes to financial security. Although this is subject to opinion, financial security, in a lay man’s term, should be the ability to sustain one’s lifestyle even in the absence of one’s primary source of income.

What is the 1.5 Rule?

The 1.5 rule is something that is often unheard of by many. It is mostly applicable to those who are employed and whose survival depends entirely on their salary. The 1.5 rule demands that for every coin you earn from your employer, ensure that you make 1.5 times the same from other alternative sources of income. A good example is this: if you get 100 dollars from your employer, you should create 150 dollars by yourself. This sounds a little difficult, which is the truth, but it is manageable.

Purpose of the 1.5 Rule

In all aspects of life, our minds are our greatest limitation. The basis of the 1.5 rule in attaining financial security lies in a very simple concept. Anticipating hard times is what forms the basis of this. No job is permanent, and implementing the One and a Half Rule guarantees that in the event you lose your job, you have something to fall back on. From your secondary sources of income, you make an equivalent of your salary and an extra amount to kick start your next venture.

Alternative sources of income

Getting an alternative source of income can be a real hustle. Many a times it proves to be very frustrating. All you need to do is to be creative. Explore all the skills and talents that you have and turn them into more money for yourself. For example, you can bake and sell some cookies or maybe do some online job or make furniture and sell. The second source of income does not necessarily have to be an investment, but if it can be an investment, well, so be it.

Making the 1.5 Rule work for you

Other aspects of financial management are important to the 1.5 rule. Making an extra coin is not enough. Proper record keeping and a saving culture come in handy when it comes to attaining financial security. Accountability and planning should be the focus of any venture surrounding money. As to who coined the One and a Half Rule, it is difficult to tell. However, there are remarkable testimonies of financial liberation from this very simple concept. Believe in yourself and try it today to get the freedom that you need.


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