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The Reason We Work

In my travels I think the most interesting places I have been involve nomadic people. The Kalahari Bushmen, the Mongolian herdsmen, the sea people of Burma and the Aboriginals in outback Australia. They live simply. They build their huts, farm their livestock, fish or hunt for everything they need. Contrast their life with that of the smallest village. In the village everyone cooperates. One person grows the wheat that another grinds the flour, another bakes the bread. A coin is exchanged for the bread and that coin is used to buy a bottle of milk. The convenience of living in the village provides so much comfort that the freedom of the hunter gatherer gives way to the convenience of the village.

Something must be produced to exchange for the bread, milk and mobile phones that others have gone to the trouble to produce. If we want to live in the modern world we need to have something to trade. A person generally has 4 options,

  • Be an employee
  • Have a profession or a trade
  • Own a business
  • Make a return through investments

All have their pros and cons but generally someone would aspire to make the most money with the least risk.

Be an employee

At school we are given the barest of explanation about what we should do. We are trained to be good at taking instruction, sitting and listening and performing tasks obediently. This allows us to be good workers. As long as the economy is healthy being a worker is a great option. In Australia salaries are high, we are given paid holidays, we have laws protecting our jobs. The only downside to being an employee is the loss of freedom. You must be obedient and follow instructions or risk unemployment.

Ideally someone will seek a job that is high paying or they will have skills that are in demand. Jobseekers will attend universities and TAFEs for years in order to appear as the best candidate for the job. Earning degrees and certificates that are designed to show their intelligence, discipline and obedience more than for the information contained within.

Trades and Professions

Even better than being an employee is to be able to provide goods or services that do not require an employer. Tradesmen and professionals are not at the mercy of a boss or a company’s financial position. Having a trade or a profession is probably the wisest path that any Squire should aim for. The years spent learning are well worth the security provided. Becoming a plumber, mechanic, dentist, doctor, lawyer, electrician, builder or an accountant is a great way to earn an income. A house can be bought, families raised and life enjoyed without worrying about losing your job. You become integrated into the community.

One possible downside of these professions is the limit to your maximum income. A plumber will never be the richest man in the country. The work can also be tediousness and dirty. A Lawyer will be dealing with unsavory people. Accountants will be sitting at their desk thinking of numbers. A mechanic will finish the day covered in grease. But, compared to a non skilled employee, professionals and tradesmen have a great situation. They do not fear losing their job. They make a high salary. They are respected in the community. They have lots of leisure time and get to enjoy life.

Starting a business

But there are other ways to make money beyond being an employee, having a trade or having a profession. You could start a business. Giving advice on business is the main reason I chose to write this website. Starting a business is a great idea if it is done correctly. A lot of money can be made. They can give the owner a lot of free time. Successful business owners can have freedom and respect. However most businesses fail. They fail because of simple errors, mostly because of a poor assessment of the difficulties involved. It seems like we only hear about the successful businesses, we don’t hear about the far greater numbers that fail. In my opinion they primarily fail because the wrong type of business is chosen. Aspiring business people choose to attempt a business in a very tough industry. The more important, lucrative and respectable a business or industry the higher will be the competition. Having said that, it is very easy to start a successful business as long as the right industry is chosen. There are millions that are very profitable. It just requires some perspicacity.

Investment

Finally it is the aspiration of most people to earn money ultimately from their investments. This return could come from real estate, stock markets or interest. It could even come from such things as cryptocurrencies or collectables such as fine art or cars. Done correctly it allows the most freedom and free time. It does however come with a great deal of risk. Investments can go down just as easily as they go up. It also requires a great deal of money to make enough money from investments to stop working in other ways.

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