Active vs Smart Passive Income – Which is the Best?
What does your plan to financial freedom look like? If you are like most people; you probably plan to work hard at your current job, climb the career ladder with time, get a salary increase in the process then make as much savings as you can for your retirement.
That pretty much sums it up for most people!
Unfortunately, that is not going to guarantee you financial freedom. Want to know why? Because if this is your plan; what you will basically be relying on is Active Income. But you need to understand that you can only earn so much when putting all your bets in active income. The reason being first and foremost, you will be working alone so ultimately you can only earn as much money as you can work for.
Secondly, the problem with active income is that if you get fired or something happens that makes you no longer able to work; there goes your income. Do you get the point? It is a very tricky position to put yourself in. Therefore if you want to see your finances improve overtime and one day have your money work for you instead of you having to work for your money as is often the case; it is time you start pursuing Smart Passive Income.
Build a Business
The best approach to gaining Smart Passive Income is building a business. At the very start, you might need to run your business solo but it is very important that your main goal should be to quickly expand the business into a large organization. You can then hire experts to be conducting all the operations of the business. This means you won’t have to be actively involved.
Now what you should be currently working hard for is building your business. Once your business is finally up and efficiently running, you can expect to earn a lot more money passively through the business than what you could ever anticipate from active employment.
Another reason you may want to consider passive income over active income is the fact that the former is subject to lower taxes than the latter. The government is always looking for ways it can encourage more people to establish companies and create jobs as a result. One of the ways it achieves this is through providing tax incentives on Smart Passive Income earners.
Want Free Time?
I doubt there is any person in the world who would not like to have some free time to be with their family and engage in the things they find dear. With Smart Passive Income, you don’t have to work to earn your income freeing up your time so you can involve yourself in the things you love.
So active or passive, which form of income will you focus on? The call is yours!
Visit my page to see the systems I use for creating smart passive income!
My name is Oliver Smith, I am an entrepreneur and devote my time to my businesses, family and training. I am continually researching new investment opportunities as well as building a passive income through my businesses. I like to connect with like-minded people who are working on achieving a level of financial freedom in their life that most are not.