Everyone dreams of being able to achieve financial freedom, therefore we need to be prepared the longer it will be able to realize financial freedom, that's why it is hoped that preparation starts at a young age, by diligently saving and not being consumptive, so that it is very possible for you to prepare funds to create passive income. .
In simple terms, passive income is one of the income earned without having to work actively, or only need to work a little. For example, you have crypto Ether or Cardano that is staking on a well-known exchange like Binance or Kraken. Besides you will get crypto every month, you will also get capital gains.
Here are 4 reasons why we need to have passive income, let's discuss together.
1. Limited Productive Period
The changing of days, months and years will make everyone older, while the productive period of work is limited which is limited by retirement. Income decreases while the level of living needs remains the same every month, this is one of the important roles of passive income.
2. Achieve financial goals faster
Passive income can encourage you to reach your financial goals faster and also make your finances more stable. So that makes you work not for money but as a fun activity.
3. Old Age Guarantee
When you are over 60 years old, your strength starts to wane, you really need passive income to support your life. So in your old age you can let your money (your investment) work for you.
4. Don't Get Trapped on One Income
For someone who only relies on one income, for example only from salary, it will be too difficult to escape from that source of income if something happens, for example the company goes bankrupt or you are not suitable to work at the company but you cannot leave the job or resign.
In simple terms, passive income is one of the income earned without having to work actively, or only need to work a little. For example, you have crypto Ether or Cardano that is staking on a well-known exchange like Binance or Kraken. Besides you will get crypto every month, you will also get capital gains.
Here are 4 reasons why we need to have passive income, let's discuss together.
1. Limited Productive Period
The changing of days, months and years will make everyone older, while the productive period of work is limited which is limited by retirement. Income decreases while the level of living needs remains the same every month, this is one of the important roles of passive income.
2. Achieve financial goals faster
Passive income can encourage you to reach your financial goals faster and also make your finances more stable. So that makes you work not for money but as a fun activity.
3. Old Age Guarantee
When you are over 60 years old, your strength starts to wane, you really need passive income to support your life. So in your old age you can let your money (your investment) work for you.
4. Don't Get Trapped on One Income
For someone who only relies on one income, for example only from salary, it will be too difficult to escape from that source of income if something happens, for example the company goes bankrupt or you are not suitable to work at the company but you cannot leave the job or resign.