Passive income Difference between passive and recurring income

[Deleted member 13140]

This two can be real confusing, some people don't even consider recurring income as a type of income.

Sometimes residual income replaces, recurring income, so people don't usually use recurring income.

Recurring income has the same definition as residual I think.

Residual income also known as recurring income is said to be the income that continues to be earned from a work that was done In the past.

So how does residual income come?
It comes when someone creates or acquire an asset (more like buying shares from a company or something) and this asset will continue to pay profit regardless if you're not actively doing the work anymore.

So what's the difference between passive income and recurring income:

Passive income is basically money that comes in from via limited partnership or something that the individual did not involve in actively participation to acquire. Its more like money you get through investment in stocks and all but not limited to that, its basically money that rises from $1000 and above.
But most important point is that it's usually not recurring.

Whereas recurring income is money that continues to be earned even after the work is done, it doesn't really matter how much as long as it comes in continually.

 

[btaliat]

Definitely, I made mistake while trying to post I the other thread about passive income that you wrote. I really like how you took your time to research on this. It means I have learnt something new today. So can we call money that we earn from forum as residual since the money will cinitnue coming as users use the forum.

 

[Chibson]

This is a very good eye-opener because I actually think that recurring income is the same thing as passive income. They are almost the same thing, but I think there is a slight difference. There are many people that makes money from recurring income because they worked very hard and smart.

 

[Good luck]

Passive income is not like a recurring income that you get money on monthly weekly basis base on business done for an organization or a company.Passive income is based on task done within a particular period of time and you can always decide the time you want to work unlike residual income that you work under pressure with a boss.

 

[Phabbyfundz]

You have been very good at how you have taken time to give us an analysis on the topic mention above. But I would love to ask a question about the fact that can't passive income also be a reoccurring income. And I ready don't see any major difference between the two.

 

[Setho]

Recurring income can also be known as residual passive income and it is also a type of passive income. Just that this one means that you are going to continue making money from one particular work that you did long ago while passive income is a general term for money gotten by not doing so much.

 

[Sikapa]

Wow, you have opened the eyes of many people here including me because I thought when we say passive income it is the same as a recurring income but after reading this your post, I have got to know that they are something different but just confusing.

So if I may ask now, can a person earn passive income which is also a recurring? Because most at times I listen to many people from different social media that they explain on how one can earn a passive income which is also recurring. Do we have something like that or maybe there is nothing like earning a passive income which is also recurring? By the way I have learn something from you today and it will be forever in my mind so once again I say thank your for your educative thread.