Passive Income

Hi to the people in this community. It is my first time to publish an article here and I hope I will be welcomed. 😘

Do you know what a passive income is? Do you want to have a passive income?

To know what passive income is, let me first differentiate a passive income from an active income.

An active income is something that you have to work for in order to earn an income out of it. Like for example, when you work in a certain company or you work for other people and they pay you for the work that you have done, that is an active income. In short, your salary is an active income.

When you sell a house and get a commission from the sales, that is an active income.

This means that you have to exert an effort, you have to give your time and energy in order to earn that income.

Writing at read.cash and earning from it is also an example of an active income. You are exerting an effort to create an article, you gave time to write that article.

While passive income is something that you earn regularly without exerting too much effort. But first you have to make an investment and then wait for the returns.

The best example of a passive income is receiving rental payment from a house or condo unit that you invested in. Every month you collect the rental earnings without you doing much effort to earn that income.

Some would say that being a landlord and receiving rent is still an active income but for me I consider it as a passive income as I don’t go house to house collecting rent from my lessees.

Do you know that you can have both active income and passive income?

Yes you can, while you are receiving a salary from the company you work with, invest some of your earnings to a passive income.

You may put a little savings in the bank which in turn receives an interest. That interest is your passive income but then it will be so little as bank interest now a days are so small that you cannot appreciate the income that you get from it, unless of course, if your savings are enormous.

You might want to invest in some stocks at the stock market.  I don’t know how to play this, actually. But I make an investment thru Gcash, just a small amount, and checked it from time to time. It did increase every time I check on it, even a little, I am happy, I didn’t work and exert too much effort in earning that little increase.

You might want to also invest in things that might provide service to others but without you working for it. An example of this is providing wifi to others like the PisoNet I invested to. As long as you have a strong internet connection, buy the unit for others to drop a peso or more, you now have an instant passive income. Especially during this time wherein virtual classes are being used, having an instant internet connection is of great help. I am just happy that I am able to invest in this before the pandemic started.

For those of you who are already earning passive income, would you care to share here at the comments section down below. It will be of great help to others too.

Thank you for reading such a long article. Hope you get to learn something out of it and not just waste the time reading.

Stay safe everyone.

Note : lead photo is taken from Unsplash.