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I remember when I first heard the words passive income from reading Robert Kiyosaki, Rich Dad Poor Dad and it blew my mind! I never heard of this phase or was even taught the meaning of passive income. The only income that was taught from home and school was active income. Raised in a hip-hop culture, I heard of royalty checks from music artist but did not understand the terminology. But to hear a continuous stream of income deposited into your accounts no matter if you are working or not it seemed unbelievable, but it was true. We become so obsessed as a society with one way of making money we forget or don’t even acknowledge or have the knowledge to recognize other ways to obtain an income.
Passive income is the steps to becoming financially free, think about it. Imagine if you don’t have to worry about paying your bills or having money to buy groceries for your family. An extra $200, $300, $500 or more in your bank account would reduce your level of stress when dealing with finances.
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So, what is passive income?
Let’s stop and clarified what is the difference between active income and passive income?
Active income is money that stops coming to you when you stop working. It’s trading hours for dollars. If you get paid a salary and you decide to quit your job or get laid off, you will stop getting paid. You only get paid when you keep showing up.
Passive income is the opposite. With passive income, you would keep getting paid whether or not you are working. Usually, you will do a lot of work up front to get things in motion, but in time, you will reach the point where the passive income stream will get activated and in this stream, you will get paid working or not. Money keeps flowing in regardless of what you do.
Why should you want to earn passive income?
- If you’re tired of being a member of the 40/40 club, work for 40 years for 40 hours a week this might be the right plan for you. You should defiantly consider creating a flow of passive income.
- If you are the type of person who hates being told what to do, when to do it, or even how to do, at work and would rather become your own BOSS? Hey, than BOSS UP! Create a passive income business while working your full-time job. Once you exceed your job income then fire your boss.
- If you feel stress from the endless task at work and working more hours with less pay. Passive income is calling your name!
- If you always dream of traveling the world but do not have the time or money to make it happen. You come to the right post!
While having multiple streams of passive income is ideal, you have to choose the right one for you. For example, As you can see we have a blog, but not just any blog, one that is optimized with some ads and partner up with an affiliate program to add affiliate links. Starting a Blog is a great way to creating passive income. We also have several other businesses that we create multiple streams of income.
With blogging, it definitely hard work but fun at the same time! If you want to earn more money from a blog, you need to choose the right niche, one that you are passionate about, enjoy talking about and would write about for free, even if you did not get a dime for sharing it. You developed a community, add the best affiliates for your blog niche and you are on your way.
If you are interested in earning additional monthly income, start saving for your retirement, vacation, college fund for your children’s future, etc. We created some passive income ideas, which include:
There are several ways to received passive income
Affiliate marketing is what we currently use on our blog. We have been using this stream of income for a couple of months and have been seeing results. The more value we give the more we get in return. We use affiliate links through blogging but you can also use affiliate links through social media. Affiliate can be passive if you decide to go the traditional route, blogging. If you want to start a blog continue here.
Affiliate income is what we currently use on our blog. We have been using this stream of income for a couple of months and have been seeing results. The more value we give the more we get in return. We use affiliate links through blogging but you can also use affiliate links through social media. Affiliate can be passive if you decide to go the traditional route, blogging. If you want to start a blog continue here.
The problem with Network Marketing is it has such a bad stigma some people are afraid to join, but it works. If you understand the concept and get a good mentor, you can create a passive income that can build a legacy for you and generations to come. From our previous experience in Network Marketing, we were able to build a passive income from services people use on a daily basis. Not only that, we built long lasting relationships with like-minded individuals. We currently are not building a Network Marketing team but strongly encourage you to do some research on companies you might be interested in.
Real Estate Investing (Buy & Hold)
After reading Rich Dad Poor Dad we actually dabbled in real estate. Real Estate was our first investment in creating a stream of passive income. We attend tons of Real Estate REIA’s and built relationships with others investors in different states. People always watch reality TV shows on HGTV like Property brothers, Flip or Flop, Joanna and Chip Gaines, Fixer Upper and think it’s easy but don’t let the 60 minutes of smiling faces fool you. It’s hard work. To build passive income you would have to buy the property and rent it to tenets. Outsourcing and hiring a property manager to handle maintenance task. Before you get started in Real Estate Rentals there are some key terms every rookie should know.
If you can create an online eBook that gives an enormous amount of value and you can sell through Amazon Kindle Program this will be a great way to start building a passive income online. You can learn on your own or have someone guide you to start making money quick. Click here to learn more
This could be the same as online eBooks but you can also earn money from writing songs or development products. As mention earlier, I grew up listening to Hip-Hop and heard the word royalties but did not get the terminology. Every time a song is played on the radio, or on a sitcom you get paid sound good right! This definitely considers mail money.
Get paid to take surveys at home. You can sign up with one or more survey websites. It easy and simple. All you do is answer a few questions and get PAID. You can also join focus groups. Companies hire for focus group before releasing any products to the public. Surveys won’t make you a millionaire but will help you pay a couple of bills. Click here to get a list of home surveys.
If you have a financial expertise you should invest in stocks, bonds, annuities, etc. are good ways to earn passive income. If you are not financially savvy, you should hire a financial advisor who will make sure you pick the right investment.
The idea is if you have the expertise or knowledge on a particular niche or profession you can create an online course that will provide lessons and teach others through your courses. Example: Melissa has an enormous amount of knowledge on baking. Because of her expertise, she can create an online course to teach others how to bake. This will help her teach to a massive audience across the world and build coins passively. A great online website to teach is called teachable.
Create an audiobook
This is no different from online publishing. The more value you give your audience the more #sleepcoins you will get back. The goal is to create an enormous amount of value to your listeners. You can use Audible’s ACX platform to use to sell your audiobooks to the best platforms like Audible and iTunes
Sell Stock Photos
As you may or may not know but taking photos online can cause legal issues. But snapping your own photos can actually make you passive income online. You can sell your photos on websites such as iStockPhotos and Shutter Stock to earn money while you sleep. You will need to find a niche, whether it’s portraits or business photography find it and stick to it.
Can I really earn passive income?
Yes, but it requires effort just like any other business. Now, if you looking for a get-rich-scheme you are on the wrong site. Passive income is attainable but you must have patience.
In order to create income passively, you will have to sacrifice time, energy, and a lot of sleep in the beginning. If you do it right you may be able to create income for generations to come, building a legacy.
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What do you think about passive income ideas? Are you excited to create passively or do you feel this is just not your cup of tea? Please leave a comment below.
Build your legacy today!
Melissa & Rodney
Co-Founders, Diamond Legacy Group
P.S. If you want to learn more about passive income we recommend you download your free copy and listen to Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That The Poor and Middle Class Do Not!
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