I have been following Steve Pavlina, the personal development blog since 2009, and he started on a recent series called the "Passive Income Series" (click on the link to go to his article on it - I'm pretty sure it'd blow your mind or at least ruffle you up a little =p)
I've been riled up enough on the term "passive income" for a long time now, possibly since 2002 when I started studying for my occupational therapy diploma. Looking further back, it's likely to have started when I was very young and I observed how my own family and parents often argued (still do) about money and its management, and how it broke my heart how money made them scream at each other - these were some of the reasons why Louise and I decided to start our own brick and mortar business in providing physiotherapy and hand therapy solutions in Singapore.
To start this post proper, let's first define passive income:
We started earning passive income from 2009 onwards by through arbitration of professional services - we have the clients, and we sub-contract (aka "arbitrage") out the services to people whom we trust and take a management fee in between, but handling the administrative and logistical functions. We continue to take this approach through and within our business month after month, year after year.
Though it's something that I enjoy, and I envisioned it to be my ideal income, still, most of our money is actively earned, which is hourly professional fee based. In a way, I think after listening to Morty Lefkoe, I have a few limitations that is/had limited me:
I'm still learning, but we all know that sometimes saying that may be just a codeword skimming the surface that says "I'll think about it later". I've accepted my limitations, and have taken certain steps to open the doors to looking for amazing physiotherapy staff to help us =)
Truth to be told, I dreamt of passive income since 2002, but it took me 7 years to see some light into gaining passive income. There's more than one way to earn passive income today, some are very straightforward, and some are quite complicated, but bottom line is there are many options and opportunities out there.
I've many friends asking me how to get passive income, they're very keen to explore and get passive income – to be honest, it's relatively straightforward, in my honest opinion. The difficult part is really being able to see things from a different perspective other than the usual perspective that we carry in regards to making money.
1) Business automation: $200 - $1000/month (varies month to month)
2) Investment that have yet to see rewards
3) [Update as of 27/7/2012] Other nvestments that I'll be looking at will be ETF/EGTA related passive investments that brings both capital gains (one company) and cashflow (another company) that can be done online, anytime - and this is something I'd definitely be more happy and able to do, given my time constraints.
I think one of the most challenging aspect about developing passive income portfolios is really unshedding the lots of false conditioning and illogical fears that has been placed and conditioned into you since young or over time.
The goal of this series is to inspire you to shed limiting beliefs to passive income, similar to how I'm shedding limiting beliefs to passive income, and to maneover in the financial aspects of your life. The objective goal is to see you actually increasing $X amount a month in passive income directly due to this passive income series.
There is a mindset that will help you earn passive income. Many people have pre-installed nonsensical beliefs about life and money, especially so in regards to earning money, and this needs to be addressed before you can actually earn any amount of passive income (taking out roadblocks).
Then I will share about how to build, grow or acquire passive income-creating assets, which can be quite general to apply to a broad spectrum of passive income. I'll also cover detailed how to info for passive income that I'm most familiar with, which will be in business start-up and automation, as well as investment that I've experimented with and happy with.
I won't teach you about real estate or stocks or bonds investing, nothing specific though I might use specific examples like the above, but I will teach you in a general way first followed by the methods I've used. Perhaps I may also consider doing some interviews with some of my friends who've created significant levels of passive income streams as well.
Then, I'll walk you through a series of creating a stream of passive income from scratch, hand holding you. I'll invite you as well, to join me, in this process. So I'll actually created a whole new income stream for myself, from sourcing for one or creating one and launching the campaign or product, and I'll write about it each step of the way. At the same time, I'll encourage and support you in creating a new passive income stream for yourself (you may start with an active income stream). If you would like to do something similar to how I've done it, you can mirror what I've done.
I'll try my best to make most of this easy for you to follow, and pace it out a little so that you can follow it in real time without needing to work on this project full time just to launch or keep up with it.
If you're thinking of reading this for fun or education, it's okay with me, but I'm writing for people who are serious and want to get started on this path now. Not tomorrow, not next month. Yes, we're going to be taking it slowly to build a solid base but we will take action collectively. It wont be just another 10-things-to-do etc.
If you follow these steps with me, starting with getting into the passive income mindset, then this year you will create at least one new stream of positive passive income flow for yourself. This series is specifically for that. If that's something that you're looking for, then we're the same.
Of course I'll put in personal growth and personal development lessons here because making money and passive income is strongly correlated and linked to personal development in so many ways, especially with setting and achieving goals, self discipline and overcoming limiting beliefs (like I mentioned above).
They will be achievable goals – it wont include figuring out how to create money from air =P. Many people learned how to earn passive income from many many years ago – surely with the advent of the internet and resources available today, we can do it faster and better =)
At this point in time I don't expect you to commit to anything. I'm just hoping that you'll be curious and riled enough to read and follow along in the couple of weeks. If you're keen and later you decide that this is a part of life you'd like to upgrade, then hop on the journey with us.