Since money has been around, earning it has never been easy. That’s because most of us are earning it for work we would rather not be doing. As opposed to just being paid for what we enjoy doing, or being paid for something we are much better at.
Unfortunately, if everyone tried to get paid for what they enjoyed doing, things wouldn’t turn out too well. Which is why we just end up working for a living. But, the opportunity to be paid for what we actually want to be doing is more possible today than it has ever been. Because working will never be that enjoyable, so we have to look at the whole concept of earning a bit differently.
There are two ways to earn money for the work that you spent time doing.
- You perform the work and get paid.
Or…
- You perform the work and get paid, and get paid, and get paid, and get paid, and get paid, and get paid, and get paid…
That is the difference between traditional income and passive income.
“Passive income is a type of unearned income that is acquired automatically with minimal labor to earn or maintain.” Imagine, making money automatically. Well, not only you absolutely can but you definitely should!
The concept has been around for a long time but for some reason most people don’t see it as an income opportunity. I believe that’s because the income is not immediate and because it’s not guaranteed. Also, people don’t always know that they can actually do that. I know I certainly didn’t.
There are two ways that you can create passive income sources.
- Investing money in something that already has or is gaining value.
(Rental property / stocks / gold / etc.)
- Investing time and effort in creating value.
(Any creative or educational content. Online courses / books / ebooks / blogs / vlogs / music / art / podcasts / youtube channels / instagram / online gaming / memberships / subscriptions / etc.)
Since option 1 requires extra money that most people don’t always have and because it would take much longer to acquire, I wanted to put our focus on option 2. Because, no matter how busy we are, time and effort can be made available with a little prioritization.
Earning passive income is not just about earning dividends or renting out properties. You can also create content that you only have to put effort in once, and it will generate income for as long as people see value in it.
These days, you can create and upload content in a matter of minutes and, if you keep up with it, you will gain followers who share your interests. Just take a look at some instagram accounts. If you become dedicated, earning money will be inevitable. And it has the potential to grow exponentially in the same way that anything goes viral.
Automating your income is not only more secure and more profitable, in the long run, but it enables you to develop new skills and earn new streams of income while each one is doing the work for you. If you create a youtube channel about home improvements, while that channel is growing, you can teach yourself to cook and create a new channel about cooking.
Passive income is less costly too, not just in terms of money but in terms of effort. You’re already paying for electricity and internet service anyway. Not having to commute could mean decades of saving gas money, car maintenance costs, and stress. All that time being in the car (and in traffic) can be put toward a new skill and a new passive income stream.
Multiple income streams can give you financial security that no single job can match. Instead of receiving a limited income from a single employer and retiring with an uncertain 401k plan, you can receive ongoing income from multiple sources and never “retire”. Because, you either continue to create value or get paid from your content that’s already out there.
Instead of relying on a single employer for income, creating online content allows you to access the entire planet. With all the cell phones in the world, your reach is as great as it can be right now. And having a global reach is the most profitable.
Once your content is created, it becomes a possible, repeating, income source, forever! And it frees you up for other interests that you can capitalize on. Your content will stay available for everyone as long as it’s accessible. It’s not just ongoing income while you’re alive but it can be an ongoing inheritance after you’re gone.
Passive income has become more feasible because technology empowers an individual to do things without having to rely on professional (and expensive) services. If you’re not taking advantage of it, you’re losing out on an opportunity that would allow you to do what you really enjoy doing and make way more money than you could ever make by working a traditional job.
You might be thinking that the world is already saturated with creative content. It’s also saturated with hungry audiences that grow each year, as children become adults and as people who want to make a change seek ways to do it. Nearly everything can gain an audience, especially when the content creator is consistent.
There will never be a shortage of a need for valuable content. People want content they can relate to or content that helps them improve their life. If you have value to give, they want to know about it. And they will consume good value. If you have an interest that can be enjoyed or learned from, turn it into regular content and you’re all set.
Having multiple sources of passive income also removes the limit of a single field of study and a single career path, having to rely on a narrow field of employers who are in charge of your financial destiny. Why not live life on your terms? At least you have a bigger say in where it’s going. There is no greater success than choosing your own future.
Are you going to let your employer choose it for you or are you going to start creating some content? It may as well be available for people to see, so it can grow and give you an opportunity that wouldn’t be there if you just went to work as usual.
You can either give your employer all your effort or you can give it to yourself and work toward automating your income. In both cases you work hard. But, when you work for someone else, you’re only getting paid for your skills. When you work for yourself, you’re getting paid for your worth.
