Many people trade their time for money. They are looking to find a secure and stable income, even if it doesn’t excite them. But they are thought that this is the way they should go. And to be honest, if you’re genuinely happy by doing it, no one can tell you that it’s wrong. You’re not hurting anyone by doing it anyway. But what if there’s a way to make your life even easier?
The average millionaire, as you’ve probably heard, has at least seven sources of income. This is the reason why they can maintain the life that they’re living. No one is dependent on a single income source. Instead, they grow many different sources of passive income over time. And this is something you can do as well.
What is Passive Income?
Passive income is something many people dream about. Especially young people. Everyone wants to have something that makes them money while they do nothing. You can lay on the beach and drink cocktails while the cash flows into your bank account. How does that sound to you? It probably feels too good to be true.
The reality is that anyone can make a passive income. Especially today, in the golden age of the internet. There are more and more opportunities every day. And it’s not something only the richest and the luckiest can have. It’s available to everyone. Everyone can make money working for them. It’s only a matter of financial education. And that’s something you don’t need to go to college to learn. You probably won’t even learn this in college.
There are many resources you can look for on the internet. Start with Robert Kiyosaki and Warren Buffet. Buy some of their books and research the topic. But don’t stop there. Go to YouTube and find their videos. Find as many resources as you can so you can understand everything much better. Once you learn how to use the money to make more money, you’ll never trade your time for money again.
Is It Really Passive?
Now, the question is, is it really passive? You still need to do a few things along the way. Or at least pay someone to be your manager if you run something bigger, even if you’re only renting out an apartment. But it won’t take much of your time and it will bring more money into your pocket. Some people like to call it automated income, which is a more appropriate name. You still need to do a few things here and there, but everything is automated. You can have all the time and freedom that you need. So even if it’s not entirely passive, it still sounds good. People are making millions this way and they have time to do everything they want to in their lives. Indeed, it takes time, effort, and money to do it. But it’s more secure and stable than any job, pension, or fund you can find.
Why Does It Matter?
Passive income streams are important because they will give you freedom. It takes time to grow them, of course. But it’s worth it. Think about it. Would you feel happy if you bought a new car with money that isn’t yours? Or would you feel happier if you bought a new car with the money from your passive income? You’ll avoid debt, and you’ll still have money coming to your bank account, even when you’re not working. That’s the most important thing when it comes to having many streams of income. You’ll be working way less and earning more money. You’ll have the freedom to wake up without an alarm clock and choose if you’re going to work today. No one can tell you what to do anymore. You’ll have time freedom, money freedom, and location freedom.
Some people enjoy working 9 to 5 and they don’t need a lot of money to feel happy. They don’t want to run a business and they want to make the entire process easier. They would find a good-paying job and invest money into other streams of income. Most of them become millionaires this way if they know how to do it right. And even if they don’t, they will always have more money than most people. If you work in McDonald’s and you’re genuinely happy, no one can tell you that it’s wrong. But even then, you should consider investing in another stream of income. You never know what can happen along the way.
How to Do It?
First of all, education. You need to understand what you’re doing. You don’t want to get stuck in one of those get-rich-quick schemes. Financial literacy is a must. Even if it’s just reading a few books from Robert Kiyosaki, Warren Buffet, and Dave Ramsey. Invest some time and money into your knowledge before you start. This will prevent you from making mistakes and making your life harder.
The next thing you should do is research. You need to understand how everything functions in the area where you’re living. Maybe you want to invest in real estate and apply a few things you read in these books. But then you find out that most of these pieces of advice are useless in your state or your country. This is why research is important. You should find the easiest way that works for you and that you can apply where you live. And you should start as soon as possible. Even if it means investing only $50 a month. Start small, then slowly increase as you grow your knowledge and your skills.
Offline Passive Income Streams
Passive income can be both online and offline. And there are many ways to make it work for you, even without the internet. All you need is a little creativity and research. You’ll find people in your area that are making money in many different ways. It doesn’t matter where you live, there are always rich people around you. You may not know that they’re rich because they don’t wear any fancy clothes. But they exist. And you can find many new investing ideas from these people.
When it comes to making passive income offline, people usually choose real estate. It’s a little bit expensive to start, but it’s probably the safest way to make money. And you don’t even have to work that much. If you already own a few properties that you can rent, you’re good to go. Especially if they’re located in areas where the prices are higher. You can make a decent living only by renting out these properties. Even if you only have one apartment that you’re renting. You can still make a somewhat decent amount of money on the side.
Side Hustles and Savings
Some people are having side hustles besides their 9 to 5. These side hustles can make them from a few hundred to a few thousand dollars. It’s indeed a great way to make extra money. Especially because most of these side hustles don’t take more than a few hours a week. But still, it’s not a passive income. It takes even more of your time than it should. Although, it’s a great way to make some extra money that you can invest later. So don’t stress about it too much.
You can work two to three jobs now and make money to invest later. It will be much easier for you to make a passive income later on if you already have the money. But most people are not willing to do this. Indeed, it can be too hard sometimes. And you don’t have to. Start small, even if it means saving a few dollars here and there. Open a savings account and save 20% of your 9 to 5 income. If you’re making enough money to live a decent life right now, you don’t need to have it today. Think long-term, even if it means buying your dream car in 10 years. Don’t do it to prove something to someone. Do it for yourself and for the people you love the most. You deserve a better life. So don’t ruin that opportunity only to show off to someone you don’t even like.
How to Grow More Streams of Income Online?
Making a passive income online is probably the best way to earn more money. More and more people are using, and more of them are starting to use social media every day. There are opportunities everywhere. Many gurus are advertising their online courses today. And they all promise you millions of dollars while you work 4 hours a week. Indeed, that’s possible. But don’t expect to do that in the first 3 to 5 years. So be careful about who you give your money to.
It’s a good idea to see what you’re good at and what you want to do. If you don’t like working with people directly, don’t start an agency. If you want to work more indirectly, consider doing e-commerce or affiliate marketing. And if you don’t want to grow an online business, that’s ok too. You can invest in stocks, cryptocurrencies, forex, and you can do everything online. Opportunities are everywhere. Think about what you’re interested in and where you want to invest your money. Then research and learn how to do it correctly. Start small and slowly increase your investments as you grow your knowledge.