Make Money While you Sleep

The most basic of money management principles is to make sure that you have more money coming in than you have going out. This is vital if you want to find financial success. Of course, this means that you need to have some sort of income. Understanding where your money comes from is important, and you should know the difference between active income and passive income.

There are usually two sources of Income

• Active Income
• Passive Income

Active Income

This is the most common way of Income as most of us know about it.
Active Income from those sources of Income which are paying you for the input of work & time that you’re giving eg: Job
So active income is also
Effort + Time = Money
So even if you’re sitting in office the mental pain and the duties you have to performs takes efforts.
Active Income exists Only until you work once you stop working it will stop paying.

Sources of Active Income

• Job
• Labour
• Retail Store
Etc.

Passive Income

Passive Income is income from those sources that requires less effort and time and only requires time and effort during setting up and after that pays you even if you’re not working.
Remember it involves effort and time don’t mistake it with (Zero efforts)
Example :- You write a blog on Steemit and once it took your time and effort but its paying off even while you’re sleeping and even if you’re not working cause someone is reading it and maybe after two days but by your still getting payed.

Sources of Passive Income

• Create an app
• Write an E-Book
• Drop shipping
• Own rental Property
• Youtube
• Interest & Dividend

These are few sources of Active & Passive Income According to Studies an Average Millionaire has 7 Sources of Income
How many out of the 7 you think should be divided between Active & Passive sources or Should it be all passive or all active sources
Let me know what you feel in the comments

Also I am going to Write a blog about 15+ sources of Passive Income so follow for next blog @callmemags
Thanks :)

Make Money While You Sleep