|Looking And Feeling Good In Spite Of Lupus |
by Irene Lim, President, Lupus Association (Singapore) HGM 2013 / 21st ICG
Year 2000 was a watershed year for me. I was diagnosed with SLE that year. Ironically, I started the year resolving to work harder and to earn more money. Unfortunately, increased workload translated into increased stress. I began to suffer severe migraines almost daily...more
|3 Types of Income (Part 3)|
By Merry Riana
(Continued from last month's article.)
To read the Part 2 of this article CLICK HERE!
The first thing I said to myself when I first heard about the existence of such a type of income is, “Wow! Is it really possible not to work and still have money coming into my pocket? Doesn’t it sound too good to be true? If it’s really true, why are there still so many people working so hard for money?”
I guess some of you may have these thoughts too.
But then, I thought, there is no harm for me to explore more about this concept of passive income, right? I mean, if it’s not there, then so be it, I would go on with my life as per normal. But what if it’s really there? Then that may be the key to achieve my dreams of being successful while I’m still young. Because if I have money that keeps coming into my pocket regardless of whether or not I am working, then I will have the time to enjoy my successes and share it with my parents. So, with an open mindset, I decided to find out more about this third type of income called the passive income.
I learned from books and seminars by many business gurus, that passive income can be derived from something I call Income-Generator. For the record, I’m not talking about counterfeit money here. Let me explain more.
Income-Generator is something that will produce money for you regardless of whether or not you are working. Examples of Income-Generators are:
- Profits from auto-run businesses
- Rentals from real estate / properties
- Royalties from inventions, such as books and songs
- Vending machines
- Rentals of cars
These are things that once there, will continuously generate money for you day and night. Look around you, there are many of these Income-Generators. You may or may not notice all of them.
Of course, Income-Generators do not fall down from the sky just like that. You have to build these Income-Generators first before you can start to collect all the money that they will generate for you. So, you still need to do some form of work too. There’s no such thing as a free lunch in this world.
But, think about it. Would you rather be working hard for earned income or passive income?
In the first scenario, the earned income, no matter how hard you work to get that earned income, you would not be able to stop working. Because when you stop working, you know that you will also stop earning the income. You’re forever trapped in the rat race. Wake-up, go to work, get paid, go home, sleep, wake-up again, and the routine goes on and on, continuously.
In the second scenario, the passive income, you’ll still need to work hard, but there is an end point to it. Your end point is to build enough Income-Generators until the passive income generated is enough to fund the lifestyle you desire. And that’s it; you can then retire without any financial worries. Every month, all expenses will be paid by your Income-Generators: your businesses, real estates, and royalties.
I reached where I am today because I am very focused on my approach towards which type of income I am working for. I only work for passive income. I do not want to work for earned income at all. And only when I have extra money which allows me to take a higher risk, of course a calculated one, then might I invest that extra money to have investment income also.
Look around you. There are so many examples you cannot miss. Microsoft is Bill Gates’ Income-Generator. Wal-Mart is Sam Walton’s Income-Generator. McDonalds’ is Ray Kroc’s Income-Generator. These are all Income-Generators that generate income for their owners. Those Income-Generators are operated by a system and a group of people that are being paid to manage the system well. And as long as the Income-Generators are there, the owners will enjoy a continuous supply of money that will never stop. Thus, they will be free to do whatever they want to do. No financial constraint whatsoever.
That is what I call Financial Freedom.
Merry Riana is a Millionaire Entrepreneur, Best-Selling Author & Motivational Speaker. To know more about Merry & get her book 'Dare to Dream Big', free-of-charge, visit www.MerryRiana.com