Passive Incomes That Have Been Proven Most Effective
By: Muriel Wood
Tags: Financial Planning, Money, Saving, Passive Income, Finance

“If you don’t find a way to make money while you sleep, you will work until you die” — Warren Buffet

Do you know what the number one problem is with having a job? —

It’s the fact that you’re only able to earn money for those 8 hours per day, 5 days a week in most cases.

But for the other 128 hours in a given week — you’re not able to make any money at all, and this is essentially the definition of active income where you’re exchanging your time for money.

Most people — if they’re looking to make more money, they think they have to work more hours, and while that is a way to make more money, it’s kind of a lousy solution to this problem.

Sure, you could go out there and get another part-time job on top of your full-time job, or you can work crazy overtime.

But the question at the end of the day here is, do you really want to be working 50, 60, or even 70 hours per week?

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I would say most people would answer that with a no.

Now, I personally became obsessed with this idea of earning passive income in my early 20s, and I’ve built up a couple of different passive income streams.

You’re in a bit of a unique situation here because you generally have a lot of time on your hands if you don’t have kids or a family yet — but you probably don’t have a lot of money, and when it comes to earning passive income, you either have to invest your time or invest your money.

These are different passive income streams that work well for people in their 20s.