Saturday, December 5, 2020

Living In Luxury?

 If you believe your upline diamonds, people join Amway and  in a few years, retire at an early age, live in luxury and live happily ever after.  But oddly, you never actually meet these folks and if they are simply an urban legend.  Sort of like big foot or UFOs.  Everyone’s heard about big foot and UFOs but there has never been bonafide evidence of their existence, much like diamonds who built their business and “walked away” from Amway to enjoy residual income for life. 

The diamonds typically speak about the luxurious lifestyle that they enjoy without any financial worries.  Just to make an analogy, a regular average diamond probably makes around (according to Amway) $150k annually.  With tools income to augment that they might make $200 to $250k annually.   A Q12 diamond (rare) earns around $600k.  A nice income?  For sure.  

To add scale, $600k is around the minimum wage of an NFL player. I actually think they make around $500k.  But the point is that about 2/3 of NFL players go broke shortly after they stop playing.  And that 2/3 includes those who make much more than the NFL minimum.  Excess living and luxury often contributes to the demise of many NFL players.  So what’s the point?  

The point is that the Amway business is a fragile one where a group can quit and drop you out of qualification in a heartbeat.  In other words a diamond can fall out of qualification just as an NFL player can get injured or cut from the team.  In other words their income can shrink or stop at any time.   But we are to believe they live in excess luxury at all times?  

I believe it’s all a show and diamonds likely have to live on a budget and save for retirement like anyone else.  Maybe tenured diamonds might be secure but certainly not new ones whose groups can fall apart. Diamonds might give the impression that they live in luxury but I suspect that reality would paint a very different picture.  Do the math on a life of luxury and I can assure you that the cost exceeds the Amway reported diamond incomes.  

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