When it comes to running a business, one of the most important discussions you can have with yourself is understanding the difference between your income needs and your income wants. If this resonates, let’s dive in and explore what these terms mean and how you can use them to empower your business journey.
The Real Difference Between Need and Want
Recently, I had a conversation with a client during a vision and personal goal session. They said, “I need an income of £30,000 a month.” It’s a bold statement, isn’t it? But here’s what stood out—the clarity behind the number. He wasn’t just throwing out a figure; he had plans. He envisioned an ideal family home, a safety net for his loved ones, and investments for the future.
But here’s the kicker: while he was beating himself up for not yet hitting £30k, he actually only needed £6k per month to live comfortably. The gap between his current earnings of £4k and his necessary £6k was far smaller than the daunting leap to £30k. It’s a reminder that, for many of us, we’re often closer to stability than we think.
Why the Stretch Goal Matters
While £6k kept my client’s household running smoothly, that £30k goal represented something bigger—a dream, an adventure, a challenge. And dreams are essential. Picture this: you’re walking down the yellow brick road. Each step brings its own challenges and victories, and while you might not be at “Oz” (the £30k), each milestone—£8k, £12k, £20k—represents progress.
The trick is to embrace the journey, rather than getting frustrated that you’re not there yet. Building towards your dream income is about steady, intentional steps.
The Magic of a “Safety Number”
For some, it’s enough to comfortably cover the basics. For others, it’s about creating a financial buffer or working toward freedom from business reliance. This isn’t about modesty; it’s about what aligns with your version of happiness.
My client’s £30k target wasn’t just for luxury—it was about building an investment pool. This would give him financial independence, making him less reliant on his business and opening doors to opportunities. What’s your equivalent of the £30k dream? And more importantly, what’s the “safety number” that ensures life ticks along smoothly for you and your family right now?
Enjoy the Adventure
Here’s the thing: while striving for that “wow” number, don’t forget to celebrate each win along the way. Every step forward—be it increasing your income by £500 or reaching a monthly milestone—deserves recognition. These are the building blocks of your future success.
Yes, tomorrow could be even better, but that doesn’t mean today isn’t good enough. Staying grateful while keeping your goals in sight is a powerful mindset shift that keeps you motivated without burning out.
Your Turn: Define Your Numbers
So, what about you? What’s the difference between what you need to live a comfortable life and what you dream of achieving? Understanding these numbers can give you clarity and direction in your business journey.
If you’re unsure where to start, why not book a vision session with us? We’ll help you drill into your numbers and create a realistic, actionable plan to bridge the gap.
