Passive Income Streams
Passive Income Streams conjures up a real beautiful picture, doesn’t it. Seating beside the ocean, sipping a light refreshment, opening up your laptop and watching your bank account grow. Yeah!
But I’ve got a different picture of things. Money pouring into my window while I snooze away. Even while I am sleeping the money just keeps pouring in. I’m at the least involved state I could be in and the money, yes, just keeps pouring in, cascading down the wall and onto the floor. All I have to do is pick it up in the morning!
Wikipedia describes PIS (unfortunate acronym, right?) different from unearned income, and I like that a lot.
My concept of passive income is nothing like unearned. There’s a ton of work to be done and it’s all up front, in my understanding of passive.
Now there are those that would sell you something like this:
TONIGHT! Learn how a entrepreneur went from $38,000 a year to making $107,000 a month all on autopilot! All you need is this special formula that’s been perfected over the last 8 years and you can do the same in no time at all.
Watch this webinar and see how not only the author of the formula but even an 18 year old paraplegic blind girl and her 92 year old great grandmother are crushing it doing the same thing.
You can build assets that pay you every minute of every day for years to come just by learning and applying this formula.
You’ll see: how to find the right niche; how to set up a one page whiz bang money vacuum; the only problems you’ll have is knowing how you can possibly spend that much money and the many other people you can help!
I’m sorry for the jaded tone, but I’ve seen them all.
You get on that webinar, you given a button to click for a ridiculously low cost with a thirty or sixty day guarantee, and then you get inside their sales funnel and are offered an upgrade for the cost of your product plus $100; and then yet another “mastermind” experience for a mere $1000 extra; but you have to act today because they’re only letting in a low number of fortunate, sure to be millionaire kind of people (and you might not be the type we want anyway).
It’ got it all:
- slick, enticing offer
- social proof of somebody less fortunate than you (physically, mentally, experience) succeeding
- ridiculous low offer with a guarantee money-back thirty day trail
- sales funnel that offers just a little more
- scarcity — just a few
- urgency — you have a few minutes or a few hours to get in on this offer at this price
Yep, that’s an example of an all too common passive income setup…I’m not talking about the offer to you, I’m talking about the system that has your attention and draws you in…that’s someone else’s passive income machine.
You feel like crap when you fall into one of those things. The floor shrinks under you and you get sucked into the vortex of greed. Just saying, I’ve taken a trip or two or three. Yea, I’m a slow learner, but I’ve learned.
What Is A Passive Income Stream?
- It’s the means of generating income without a coequal amount of labor. That’s for those who grew up in the day when you turned in $10 worth of labor to draw a $10 paycheck at the end of the day. It’s not trading my time for dollars.
- It’s little to no upkeep after labor has been done. That’s for the pioneers who have come into the internet age, but didn’t grow up with it.
- It’s capturing the strategy of connections between labor, effort, and pay even if you do not own any of them. That’s a native of the internet age. One that thinks more in arranging than creating, shaping than initiating, but prides oneself in gaining from the contributions of the environment.
There are strategic differences between how people approach passive income streams, but there is a consistent intent in all three. That is:
- an uncharacteristically heavy initial investment (time, money, commitment) without equal reward
- an interlude of time with little to no engagement
- a consistent reward with an uncharacteristically low continual investment with an unequally positive reward
Here are three quick examples of Passive Income Streams
- Write a book..publish the book..get sales from the book.
- Create a static website..add affiliate links to the website..publish and promote the website..receive commissions.
- Buy a Certificate of Deposit or Stock..wait for it to mature..get low term payout.
You see how each of the three examples all bear out the consistent intent above.
What you don’t see is the distinctive approaches that can be taken to each of these passive income streams.
See the next post for that.