Passive income is a hot topic in certain quarters. Likewise, we have mentioned and even discussed this approach to revenue over the years. This season will focus on passive income approaches and side hustle families of work that are in the “work now, earn later” vein. While some of the topics this season will have the potential for life-changing income, many will not, and some will be very small. The key concept to remember is that any additional income is the icing on the cake. Some additional funds are better than none.
Money Making Money
One of the areas we will dig into for several episodes is the idea of your money working for you. This approach is a classic example of a snowball result. You can start small and re-invest the passive income so that there is steady growth of the base that is generating revenue. As time goes by, this can become a substantial revenue stream. Patience is essential for these approaches and often some knowledge about how the instrument works (e.g., real estate, stocks, collectibles).
Negative Income, Passive Debt
While we will not talk about it specifically, one of the best ways to improve your financial situation is debt management. If your money is costing you. For example, loans and other debt, then you may find the fastest way to a better bottom line is attacking that debt. Low-interest debt can be leveraged for passive income that earns more than the debt costs. However, you want to make sure that the return on debt is worth it. Of course, high-interest loans and debt needs to be paid down ASAP.
Catching Up
We have covered this topic several times in the past. However, here are a few past articles and episodes that provide more background as we start into the new season. These articles should start your mind working on passive income approaches that may be the best fit for you.
