---------------------------------------- Which is the right kind of income? ----------------------------------------- Both types of income require work, and both types are essential for most of us. The difference is that once the work is done for the passive income, one need not do the work again to receive the income. That’s why attaining a passive income should be a goal, and your active income should be the means by which you attain that goal. Think of it as the fuel to power your trip to a passive lifestyle. Anyone can attain a passive income, the question is how soon do you want it? Typically the big payoffs come from the hardest work and the biggest risk of failure. Think of the starving artist or musician before he hits it big. He sacrifices much early on, but can often retire early. If you don’t want to, or can’t, accept the risk then you can take the retirement nest-egg path. Retirement account like SSS and GSIS are all about building an investment portfolio that will one day provide enough passive income to replace your paycheck completely. That’s retirement, and it takes a lifetime of active income to achieve it. The sooner you can cultivate a successful passive income stream, the better off you will be. To this end, you should be using as much of your active income as you can to create these passive income streams. If you’re in debt or want to accelerate your path toward passive income, consider taking a second job and using that income to pay down your debt, or build up your income streams quicker.
Posted on: Mon, 05 Aug 2013 17:50:13 +0000
Trending Topics
Recently Viewed Topics
© 2015