most of us try and choose professional careers on account of the pay off's from such a profession.
We choose to be Doctors and Engineers and MBA's, because the payoffs that get us employment from such a qualification is better than we would earn with a Basic Arts and Sciences degree.
We hope that our above incomes on account of being a Doctor or an Engineer or an MBA can help us live better lives or for that matter gives us a slightly better leeway in being hedonistic.
A rise in income also raises the sceptre of expenses.
We usually raise our expenses to our incomes.
We usually adjust our lifestyle that suit our incomes.
If we calculate the percentage on an income per month to that of the year as a whole, the percentage of income per month would be equal for the entire period of the year, if our profession qualifies a bonus at the end of the year, such a bonus would raise the percentage for that month, but would still be of little consequence for the entire year.
We would not look as a the bonus as a payoff, such that the bonus affects the percentage yield to a large extent.
In such a case, the bonus would be absorbed in our expenses or lifestyle.
However there are pay-offs that can alter one's life than lifestyle.
The pay-off that is scalable.
As an employee for a firm, the pay-offs are not scalable.
What I mean is an employee can only be employed at a single firm, his emoluments would be derived on his time spent working at the firm. Firms do not pay employee for absence but their presence and since the employee is limited to working for a single firm and thus deriving his income, the limits to scale this income model is limited.
However there are employments, where in the pay-offs are scalable.
As in the case of successful actors - their one film can be watched by multiple people, thus allowing them to earn supernatural payoffs.
A successful restaurant chain - McDonald's, Burger King, etc
Various business enterprise - from MNC to SME.
The key to the payoffs is that they can looked as a fund to free the mind from daily paraphernalia to some quality thinking.
The payoffs thus are not in terms of a constant emolument as we see in salary earned from the profession of an Engineer or Doctor or an MBA (as rise in income will usually be met by a rise in expenses), but payoffs that results in a windfall gain that raises the percentage of income over the whole by a significant extent.
Monday, March 16, 2009
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