Do the work once and reap the rewards for life. Lifelong willable passive/residual income. These are some of the things that attracted me to the Amway opportunity. That I could do the work, and have the option of sitting back, enjoying a fabulous lifestyle of riches and never have to work again. I could wake up at noon if I chose to, and/or I could stay out late hanging out with my "free" Amway buddies. Except that it's a lie. Even the Amway corporation never mentions anything about residual income on any of their printed material or disclosures. This is hyped by upline as a recruiting trick, IMO.
Residual income sounds great on the surface, however, when you analyze an Amway diamond's income and look at things carefully, you can see where this lifestyle is just not possible. Even if a diamond earned $500,000 a year from Amway and the tools income, after considering taxes, business expenses and other necessities such as medical insurance and retirement savings, you don't have enough left to live what is often portrayed as a "diamond" lifestyle. Also, keep in mind that a lot of a diamond's income is received in the form of an annual bonus so a diamond's monthly income might be relatively small. You could argue that not having to work a job is a great benefit, but it likely does not produce anything near what is hyped as the "diamond" lifestyle.
One could (and should) also wonder why there aren't any diamonds (that I know of) who have actually walked away from their businesses and continue to collect any significant income from Amway. With more than half of all IBOs not staying in business for a year and about 95% of the rest of the IBOs being gone several years later, it would be an insurmountable task to keep your income rolling in with that poor retention rate. As far as I know, an Amway IBO also needs to have a minimal amount of side volume in order to qualify for certain significant payments/bonuses. That is a lot of volume to move when IBOs are quitting the business daily, and these days, it seems as though there are fewer IBOs getting involved, at least in the US, which is Amway's flagship market as far as I know.It is for that reason, I believe these crown ambassadors and higher-level pins are still working. Once you stop, it is very likely that there is no tool income, and once your downline starts to suffer attrition, then your Amway income and bonuses will eventually dry up as well. I believe there is no true residual income in Amway. Sure, build a big business and walk away. You may continue to receive some income for a while, but eventually, it will disappear. It is like building a sandcastle on the beach. The bigger you build it, the longer it will last, but it is for certain that the tide will eventually wash the sand away, just as time and attrition will eat away your Amway business. If you are popular and charismatic enough to attract a large downline, once you leave, so will your downline.
As far as I am concerned, I believe the residual income claims from Amway is just a long running myth used to attract recruits. I don't know of anyone who built a large Amway business and then walked away, and is still collecting a significant income. Do you? Where are they if they exist?
If you go to any one of the several Amway website or other on-line places, and make a very thorough search of everything there, you will see this:
ReplyDeleteThere isn't a SINGLE MENTION OF "RESIDUAL INCOME" ANYWHERE. Not once. Not ever.
In fact, there isn't much hard information at all about how to make money in Amway. It's just a lot of photos of attractive people with big smiles on their faces, and a lot of feelgood crap about hopes and dreams and happiness.