Warren Buffett once said, “If you don’t find a way to make money while you sleep, you’ll work until you die”.
I took that to heart and not so long ago I created a passive income stream through blogging and affiliate marketing.
I’m not a millionaire or anything close to that but by making money with blogging I found 9 facts about passive income that nobody ever talks about.
In this post, I’ll share with you:
- 9 facts about passive income
- My experience with these facts
So let’s look at my…
9 Facts About Passive Income That Nobody Talks About
1. Creating passive income is hard work
“If it was easy everyone would have passive income.”
That’s what I would say to myself, especially in the beginning stages. When you want to create passive income you’ll need to do a lot of work upfront.
The foundation of your endeavor that’ll generate your money has to be put together perfectly.
With Blogging, for example, you need to build a website that is ranked high in search engines so that Google directs people interested in your blog passively.
To get a high rank you need to do things like creating high-quality content consistently for a long period of time. This takes a lot of hard work and is something most people fail at.
2. Passive income is never fully passive
This is something a lot of people don’t understand when they hear about passive income.
Yes, depending on what you have done beforehand you’ll have a fixed amount of income flowing into your bank account every month. This doesn’t mean it’ll be like that for the rest of your life.
Most of the time you create a system that does most of the work for you but the components in that system can be affected by outside events. This is why you have to monitor your system consistently and update it when needed.
3. Most people keep working even after they have created a passive income stream
You see all these people online talking about having passive income but they’re still working. Seems a little odd, doesn’t it?
Most people I talk to who make way more money than me passively often follow their passions instead of lying on a beach and doing nothing.
Laying on the beach and sipping cocktails is cool but often it doesn’t give you a sense of fulfillment.
They might start helping other people with setting up passive income, go on another business venture, or just keep working on their business.
4. There are countless ways to create passive income
There are so many ways to create passive income you just have to be creative. You’re probably doing something right now that you can turn into a passive income stream.
In the book Rich Dad, Poor Dad by Robert Kiyosaki, Robert, and his friend collected old comics they got for free and created a library where you can read them for a limited time for money.
You might be able to do something like that, create an automatic system, or just delegate your job to others. It’s all possible but it all starts with asking yourself how can I make money without sacrificing hours.
5. You don’t need to be a genius to create passive income
Passive income isn’t something only accessible to the “chosen ones”.
Everybody can do it no matter how old you are. If we look back at the example of rich dad, poor dad that is something you could do even if you’re 10 years old.
You just need to be creative enough to come up with something and bold enough to carry it out. It’s pretty simple but remember it’s also not easy!
6. You can create passive without needing a lot of money
“You need money to make money”
I wholeheartedly believe this is true but it doesn’t have to be a lot of money.
I don’t know every passive income method that exists but I think it’s safe to say if you have a $200 you have enough money to start creating passive income in some way.
I just needed $20 a month for hosting and a domain name and I spent the rest on getting proper training so I don’t waste time doing the wrong things. If I can do that you can probably do it too.
7. Having passive income and being rich isn’t the same thing
When someone says they’re earning a passive income they don’t have to be rich. There are people out there just making $500 a month passively next to their job.
It might not be what “gurus” advertise but it’s still passive income.
How much you want to make is entirely up to you and how much time and energy you want to invest in creating a system that does that.
That said, money can save you time and energy while building an income stream.
Some people spend hundreds of thousands of dollars on marketing because they know they can get three times as much out of that.
8. Having one source of passive income isn’t going to make you rich
Like I said it’s rare that people become rich by having just one source of income even if it’s a passive one. I see a lot of people online that next to their passive income also do e-commerce, create online courses, or create a subscription-based online platform.
If you think you’ll be able to retire early and relax with just one income stream you’ll undoubtedly get a rude awakening.
9. You don’t need an original business idea to create passive income
I remember in high school having a friend who was determined after he graduated high school to take a year off and sit in his room thinking about nothing else but a method to create passive income.
After doing that for 11 months he concluded that it wasn’t possible. If only he knew then what I know now.
You don’t need to have an original idea to make passive income. Just research people who have passive income streams and copy what they do. It’s that simple!
Final Words
Passive income is not what most people think it is. It often takes either frontloading (working for free before earning) or continuous maintenance.
If anyone convinces you that you can earn money passively simply by pressing a button and doing nothing I’d advise you to run the other way.
That’s all for now. Do you have any questions or do you want to show some love? Leave a comment underneath in the comment section and I’ll reply as soon as possible.
See you at my next post!
