Passive income is money you earn that doesnt require you to do a lot of active work to continue making it. Passive income is money earned from an enterprise that has little or no ongoing effort involved In essence, you can do most of the work upfront and put some additional effort along the way to earn an income. Youve probably heard the expression, make money while you sleep. Thats the biggest draw that entices people to earn passive income. In theory, all of your income sources carry similar weight. But when it comes to achieving financial freedom, passive income leaves active income in the dust. Passive income provides residual income with minimal time and effort. It can improve your personal finances and give you the freedom of time. Not having to trade your time for money can reduce stress and anxiety, and can make you feel more confident about your financial future. Passive income streams are the result of hard work: building an audience, optimizing paid ads, and delivering a great experience and a superior product Adding passive income streams to your life can give you more freedom, flexibility, and moneyIf an individual’s passive income is big enough, it can free up their time to do other things besides work. And although it may be risky when establishing the mechanism for passive income, it also offers increasing levels of financial security. If it provides steady cash flow, passive income can provide significant security because its not connected to your time. If it’s not enough to quit your day job, it’s still nice to have an additional income source to supplement what you earn from working.
