My Passive Income Journal

Wealth Tips

Here I share my wealth tips – things that have created “ah-ha” moments for me along the way

Wealth Tips - The Triangle of Wealth

The topics of passive income and financial independence are everywhere online. I’m very sure I’ve read most of them – at least it feels like that. Nevertheless, at the end of the day, the accumulation of wealth follows a very simple 3 cornered structure.  This triangle of sustainable wealth concept is simple to understand and easy to keep front of mind.


This triangle of wealth is the very best foundational tip I can share with you. It is the bedrock on which everything you’ll read here at My Passive Income Journal is based. It’s the foundation of our current and future success.


The triangle of wealth is as follows:

Equal effort and importance is to be placed on these three areas  

  1. Earning more
  2. Spending mindfully
  3. Investing wisely.

That’s it. Furthermore, it is probably safe to say that anything else is just noise. This triangle of wealth is the very best tip I can share with you. Over time, there will be a growing list of posts in the journal part of this website that are dedicated to extrapolating the details and nuances of each three areas. So stay tuned and enjoy.


To this end, we will now introduce each three parts of the triangle of wealth …..


Earn More Money

Many in the FIRE community will concentrate of extreme frugality and minimal spending to achieve financial independence. This is lopsided. It is far easier and more sustainable to increase earnings than to be continually restricting life to reduce spending.


Earning more is essential to keep up with inflationary pressures, to live a full life, to be generous and charitable, to create and seize opportunities for investing when they arise and to keep our minds active and our networks growing


Think about your unique knowledge and experience – from this comes the potential to increase earnings. Leverage what you know or who you are.


Wealth is never achieved easily if you are only an employee to someone else. The most efficient way to realise wealth is to run a business.  It can be a small business on the side or a full time concern. A business allows you to expand infinitely and has no ceiling on your potential earnings – you will rarely get this in a salaried job.  As a side note, a business has far better tax treatment than a salaried job.


The more you earn, the more you can invest wisely. Likewise, the more you earn the more you can spend on things that are truly meaningful to you and your family.

Earning more money is essential, but often overlooked.

Spend Mindfully

Spending gets such a bad rap. True, the conspicuous consumerism prevalent across the western world is not wise or desirable, but that does not mean that spending is bad.


Spending mindfully is the key. This means thinking about how we spend, why we spend and with whom we spend. Asking, does this purchase move the dial for us?


Spending will enhance our lives if done mindfully. Good quality products that will last a lifetime are worth spending money on. Likewise, good quality self-care is a worthwhile spend as is sustainable purchases like clean energy systems for our homes. Buying the best nutritious fresh food we can afford is worth the money we spend. Quality education, vehicles and clothing (fancy does not always equate to quality here) are also ways to mindfully spend.


Spending mindfully will mean that our purchases are meaningful, will last, will enhance our life and the lives of others too.


Mindful spending makes money a servant in the curating of our best life.


Early on in our journey, we may choose to be frugal whilst earnings are growing and income from investments are building, but this will not last forever. In fact it’s surprising how quickly mindful spending frees up any household budget. More left over in our monthly incomes means more money to invest wisely whilst still enjoying all the mindful purchases we make. The fact is, that when we spend mindfully, we spend less and enjoy life more.


Invest Wisely

Investing wisely seems to be such an emotive and arguable topic. Here at My Passive Income Journal, investing wisely is about investments that create regular, steady, growing streams of real cash income. After all, real spendable cash flow is what we all need to create freedom in our lives.


When investing, it is imperative to recognize that fees matter, transparency matters, integrity matters and current investing trends do not matter.


At the end of the day, the foundational reason we all invest is to receive money that we no longer have to work for. The older we get, the more urgent and meaningful this realization becomes.


Here, investing wisely means buying income producing assets that have integrity and a growing steam of income over time.  We buy regularly, mindfully and through thick and thin. True assets produce real tangible income that we can spend.


Income investing is what old money people have done for centuries – why? Because it works.

This style of investing is not sexy or even interesting, in fact, plain boring. But it works. Boring is good, because this means we can get on with enjoying our lives and not obsess about market gyrations or the latest investing theory.