Passive income, you’ve probably heard about it, but what is it? And why should you care?
Well, passive income is actually a very simple concept, in essence, it’s money earned without active involvement. In other words, passive income is money earned while you sleep. There are dozens of methods to earn passive income, covering those is a topic for another day. My goal here is to introduce you to the topic of passive income and why it’s so important.
In order to understand the power of passive income, one needs to first understand the concept of financial independence. Quickly, financial independence is the state in which one makes enough income to be able to survive relatively comfortably without having to rely on external sources, normally a job. Financial freedom, or independence, represents the capacity to quit your job and retire on the spot. Passive income is an essential tool to achieve that ultimate goal of financial independence.
Passive income is a result of an initial investment, whether it be a monetary investment, or effort, that continues to pay well after it’s completion. Often, substantial passive income is earned by inputting a massive amount of initial effort, generally in one’s business venture by implementing systems that generate income whilst needing little or no input from the owner. It may sound ideal and all, but the often overlooked portion of passive income is the incredibly massive effort, I can not stress this enough, it takes a lot of initial effort to set these systems in motion. It also takes ingenuity, creativity and perseverance.
The point is, by working twice as hard today, you can work two times less tomorrow. Dear reader, set those systems in motion, and stick around to learn more about different methods to earn passive income.
If you’re interested in starting your journey to financial independence and success, I highly recommend picking up Rich Dad Poor Dad, here’s an affiliate link to purchase it on Amazon, you would be supporting me too!
Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not!
If you’d want to learn more about achieving goals and fighting a lack of motivation, I highly recommend Grant Cardone’s The 10X rule, please feel free to purchase it using this Amazon affiliate link in order to support me as well!
The 10X Rule: The Only Difference Between Success and Failure