King bell
VIP Contributor
Passive income is income that you receive on a regular basis, with little effort required to maintain it.
This post will explore the drawbacks of passive income, including how it can make you lazy and unmotivated, as well as how it is taxable (unlike your wages) and can create tax problems if not managed carefully.
Passive income can make you lazy and unmotivated
Active income is a lot more challenging than passive income.
The reason for this is that the majority of the successful passive income earners have a very large amount of active time to dedicate to their business. They are all in it every day, fixing, creating and selling. Active time is also needed if you want your passive business to grow quickly.
For example, if you sell online courses on Udemy you will need a large amount of active time to create content that people will actually buy. Even though 78% of your customers buy not one but more than one course from you on Udemy, it takes a significant amount of effort to get that many sales.
Passive income is great - just don't let it take over your life! Not only will you feel apathetic towards your hobbies or career goals because of the lack of personal investment needed for them, but there are also added finances to look out for. Like taxes.
This post will explore the drawbacks of passive income, including how it can make you lazy and unmotivated, as well as how it is taxable (unlike your wages) and can create tax problems if not managed carefully.
Passive income can make you lazy and unmotivated
Active income is a lot more challenging than passive income.
The reason for this is that the majority of the successful passive income earners have a very large amount of active time to dedicate to their business. They are all in it every day, fixing, creating and selling. Active time is also needed if you want your passive business to grow quickly.
For example, if you sell online courses on Udemy you will need a large amount of active time to create content that people will actually buy. Even though 78% of your customers buy not one but more than one course from you on Udemy, it takes a significant amount of effort to get that many sales.
Passive income is great - just don't let it take over your life! Not only will you feel apathetic towards your hobbies or career goals because of the lack of personal investment needed for them, but there are also added finances to look out for. Like taxes.
