What is passive income?

Jeff Rose, a certified financial planner, explains the idea of passive income, which is basically how to make money without doing anything.

TAMPA, Fla. – It’s the dream we all wish was our reality. We’re sitting on our couch at home, searching Netflix for the next series to binge out on. Hours in, it sinks in and you realize you’ve been able to make money without doing a thing. 

Better yet, after you turn off the TV and head to bed, it’s still happening. You’re still making money. Is this a reality, or are you stuck in some alternate universe where all your dreams are coming true? 

It may sound too easy, but if you play your cards right, it could become your reality. What we are talking about is passive income. First, let’s start with the basics.

What is passive income? 

Passive income is the ability to earn money. It requires very little to no effort on your part to maintain. Some passive income ideas, like dividends from stocks or renting out a piece of real estate, will take some time to get going. But after you get the hang of it and build a successful process, then you could eventually make money while you’re sleeping.

Why is building passive income important?

The two basic ingredients to building wealth are keeping your debt in check and finding strategic ways to increase how much you make. Increasing your income is a vital ingredient of your wealth-building recipe, but there’s only so many hours in the day. 

One of the tactical ways of increasing that income is focusing on building passive income streams. By focusing on building your passive income plan, it can allow you to retire early, protect your family from income loss, provide additional source of income when you’re no longer able to work, or help others who may be in dire need.

What is the most important aspect of building passive income? The golden rule of passive income is, beyond all measures, protecting your time. Time is the most valuable commodity that we are given. Ensuring that we are protecting that time is crucial. 

On the onset of building a passive income stream, you are going to do more work upfront until you figure out a plan that works for you. …….

Source: https://www.fox13news.com/news/passive-income-how-to-make-money-without-doing-anything