Shelly and I get quite a few questions about our lifestyle. Specifically, how do we balance generating income with adventure? As I discussed in this article, we need money to survive. As much as I like to rant against rampant materialism, reality dictates we make at least some money. Even though poverty is an interesting adventure, teaches excellent survival skills, and makes us appreciate anything and everything around us, it sucks. Worse, a lack of money can dramatically limit our ability to capitalize on some opportunities for adventure.
Of course, spending too much time working causes the same fundamental problems. While we gain material comfort and a degree of security, we lose our most valuable possession- time. We usually follow a familiar script- acquire some form of training (college, for example), land a decent job, steadily climb the ladder, spend increasingly more money to match our rising income, eventually feel trapped in a career that no longer fulfills us, suffer until retirement.
So how do we find that balance?
1. Decide what you really need. This includes the all the “necessities” you need to survive and still be content. Aside from the obvious food and shelter, this list can include things like Internet (a necessity for us for business purposes), insurance, rent, coffee, an occasional night out on the town, our mma gym membership… whatever.
2. Make a budget. Account for everything we need, then account for money to be directed toward savings. Savings is critical for the adventurous person because it will help us navigate the inevitable lean times. My own personal savings goal is to accumulate one year’s worth of expenses as determined by the needs from above. Six months will be sufficient; three months could be considered a bare minimum. I also like to have about $1,000 that is easily accessible to use as an emergency fund (a Dave Ramsey concept) which would be used in emergencies so the savings doesn’t have to be disturbed.
3. Develop multiple income streams to match the budget. The goal is to spend as little time as possible working to reach the necessary income level. This is the opposite of what most people do, but is MUCH more effective. We develop several streams in case one suddenly dries up, which prevents a catastrophe. This was a painful lesson to learn. I failed to nurture several of my income streams during times of plenty which resulted in a bit of a crisis.
Our current income streams include traditional part-time jobs- Shelly works with preschoolers and I work as a receiver at a lumber company. They also include income from writing via the Squirrel Wipe book, running clinics which I occasionally conduct, Shelly’s online freelance data processing gigs via eLance, advertising on BRU, and affiliate programs via Amazon (for example, if you buy anything by following this link, we get a small kick-back with no charge to the people buying stuff.)
Some of the income streams can be done from anywhere (writing, freelance data processing.) Some require little or no time or effort (affiliates and advertising.) Some provide contact with other people (preschool.) Some provide a great workout (lumber yard.) They key to all of them- they provide some income that provides some degree of enjoyment. Best of all- we don’t need any single one.
Accounting for Serendipity
The advantage of this lifestyle is the ability to allow for serendipity. The traditional “career -> retirement” lifestyle isn’t especially flexible. If an interesting opportunity for adventure comes along, it can be nearly impossible to make the leap.
By contrast, this flexible lifestyle is designed to allow for the possibility of adventure. That adventure could be an opportunity to travel to unknown lands. It could come in the form of an interesting job opportunity. There are no limits to the possibilities.
The location-independent and “automatic” income steams coupled with robust savings and a minimal lifestyle can give us the freedom to leave traditional location-dependent jobs for a very long time while still enjoying the things we really enjoy.
In other words, it’s a method to live a life worth living.
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Robillard Adventures 
Good stuff, Jason. I am definitely with you on the budget. There is great freedom to be found in giving every dollar a name and accounting for emergencies BEFORE they happen. It’s appalling how bad the average couple is at living within their means.
Living with less junk has proven to be quite a challenge for our family, and I am just as much a contributor to it as my wife or our little guy. So much cool junk out there to weigh a brother down, sap his time, and divide his attentions. Focus and making is essential when looking to trim the fat.
The first paragraph of step #3 reads a lot like my buddy’s Amway pitch to me a few years back (no longer a friend for the aforementioned reasons). Just a funny side note.
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In my experience, getting that passive income stream requires significant work. Amway likes to promise near- instant riches, which we all know is a load of crap.
The books I’ve written are a good example- they’re excellent income streams. However, building an audience has taken years of online dialogue with the community, continually pushing the boundaries, and ~1,000 blog posts. The actual writing, editing, and publishing of the books has taken at least hundreds of hours… probably closing in on 1k.
In short, there are no effective shortcuts despite the promise of multilevel marketing schemes.
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You speak of Network Marketing as if it owes it’s members fast riches. I know of none that promises or implies such. Only some of it’s newby members say such silliness. The work – effort path you describe for your multiple income streams is the same blue print it takes to make an income stream in Network Marketing. I’ve had several different income streams most of my adult life and some of them have been from multiple network marketing gigs I grew on the side. I have no aspirations of creating mountains of cash. I have friends that have and that’s just now my path. I love adventure, fitness and family too much like you do to waste my time creating such. Not all MLM gigs offer over priced junk. Some save people money on stuff they already buy over and over again and offer positive cash flows beyond those savings for referrals. I’ve done gigs like what your doing that lined only my pockets but I never liked the hamster wheel like behavior they demanded of me. The residual income of NWM or MLM goes on for years, even decades after a network develops… and anyone in that network can develop what ever amount they so choose for themselves. The key as you state is to maintain the Minimalist Mindset and don’t allow yourself to become a slave to another job and live life along the way all out.
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Does retirement ever occur? Or savings for kids college?
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Savings for kids’ college would be part of the “decide what you really need” budget assessment.
By “retirement”, do you mean the point in your life where you stop working at a job you hate so you can do whatever adventure you wish to do? 😉
I’d add “retirement” savings to the same as college fund list just because of the tax advantages and potential for the savings to supply passive income via investment. Otherwise working towards retirement misses the point of living a life you don’t want to escape.
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