Invest in the Goose That Lays the Golden Egg-Stephen Covey

This lesson is based on one of Aesop's fables. A farmer and his wife had a goose that laid a golden egg every day. They assumed that the goose had a great nugget of gold in it, so they decided to kill it. They discovered however that the goose was no different from other goose. Instead of becoming rich, the couple deprived themselves of the gain of which they were assured day by day.

So what does a goose laying golden eggs have to do with you?

Well this is a good analogy we can use for investing today and building up a goose (a savings or investment) that will then pay us our golden eggs (an ongoing income)tomorrow.

Start with the goose first

Stephen Covey argued that we must invest energy in increasing our productivity.

To become financially free and productive we must first build our asset base and savings. Giving the excuse of "my salary or income is too small" is eating all your golden egg today. And if you are in paid employment your financial goose is not totally under your control. The goose owner might decide anytime to take away or even kill the goose.

Make hay while the sun shines

You can start from anywhere and from nothing. Make up your mind today to set aside at least 10% of your income as savings towards your golden egg

Then Lay the golden eggs

So once your savings starts to build up you can then start investing for your golden eggs.

Start to invest in a variety of assets that will give you both cash flow and growth.

Things such as quality shares, bonds and fixed-interest investments as well as investment in property and business, either traditionally or online.

Over time this asset base will build up and eventually pay you an ongoing residual or passive income in the form of dividends, interest, asset appreciation, equity or residual income from our business.

Don't be like the farmer invest today.

Write by: Realboss.