Sooner or later it is a really nice thing to have. Yes indeed.
When do you need passive income?
When you no longer can or want to work for linear income.
You probably grew up thinking in terms of linear income. You finished your education and found a job. You worked for two weeks and got a paycheck. If you were out sick your paycheck was smaller. If you worked on a holiday or overtime your paycheck was larger. If you were laid off you got no paycheck.
That is linear income. Work; you get paid. Don’t work; you don’t get paid.
You work for a lifetime and contribute to Social Security and hopefully a retirement plan. When you are ready to retire you receive monthly payment(s) from one or both. That is passive income. You get paid even though you are no longer working.
Savings and investments are also potential sources of passive income.
Unless you are born into a wealthy family you need to perform some kind of linear income to pay into sources of passive income.
But there are also some sources of passive income that start out requiring work – lots of work.
That is what I will be exploring next week.
Don’t want to wait? If you would like to visit with me about what I consider the best sources of supplemental linear and passive income click here.