Are You in the 90% or the 10%?

Today I was reminded about a 4-Quadrant chart (popularized by Robert Kyosaki) that is likely the reason many of us have chosen alternatives to the traditional model for creating an Abundant Life…

The Chart depicts the 4 types of people in the Business world: 

• E – Employees
• Compensation is received in a linear fashion, based on Hours or Days worked
• Typically looking for job security
• S – Self-Employed
• Compensation is received for work personally performed based on agreed upon rates by the Hour or by the Job
• Generally feel they can do the work better and faster than others and prefer to work alone
• B – Business Owner
• Compensation is based on business profitability; other people’s time is leveraged for work performed
• Looking for systems and people that can run the company for them
• I – Investor
• Compensation is based on performance of their chosen investment; participation is typically a monitoring function
• Looking for the best places for their money to work for them

Additional Detail:

• Of the 4 Quadrants, the Business Owner group is by far the wealthiest.
• Those in the Quadrants on the left (Employees and Self Employed) work for those in the Quadrants on the right (Business Owners and Investors)
• The Quadrants on the left make up 90% of the business world
• The Quadrants on the right control 90% of the total money in the world

Typically, the real eye-opener for many in business is that they may be more of a Self-Employed entrepreneur than a Business Owner.  Have you stepped away from a role as an employee to another role that continues to compensate you by trading hours for dollars?

Tags: Career Foundation, Financial Management, Time Management