How to Make Passive Income?

[quote]tGunslinger wrote:
The biggest obstacles to “passive” income are

1.) You need a lot of time and talent, or
2.) You need a pretty big pile of seed money to start.

You’ve heard the phrase “Spend money to make money”? Passive income is similar.

“In order to generate a lot of passive income, you need a lot of money.” And if you already had a lot of money…
[/quote]

This is a poor man’s mindset. You may seem some money, but you also may not and often you can get started with minimal amount of money that you would probably spend on other material shit instead. Having money can get results faster, but its not necessary.

Buy oil!!! Some anlysts are saying it will hit 200-300 a barrell by 2012, and at 40 bucks a barrell now, you could probably turn $10,000 grand into at least $50,000 in three years… or start picking up change off the street, one of the two.

Cheers!

[quote]jp_dubya wrote:
dividend stocks, reinvest dividends 100%, and hold onto all you can by avoiding taxes. Roth IRA. [/quote]

Was waiting to see how long before this was mentioned. Doesn’t get any more passive than this.

[quote]hardgnr wrote:
tGunslinger wrote:
The biggest obstacles to “passive” income are

1.) You need a lot of time and talent, or
2.) You need a pretty big pile of seed money to start.

You’ve heard the phrase “Spend money to make money”? Passive income is similar.

“In order to generate a lot of passive income, you need a lot of money.” And if you already had a lot of money…

This is a poor man’s mindset. You may seem some money, but you also may not and often you can get started with minimal amount of money that you would probably spend on other material shit instead. Having money can get results faster, but its not necessary.[/quote]

It’s not a poor man’s mindset, it’s just a reminder that you won’t get to the point where your income is truly “passive” without a shit-ton of work… unless you’ve got a good-sized chunk of change already. Otherwise, it will take a lot of time and effort to build your “passive” income to the point where you can live comfortably off the interest.

I’m not saying don’t go for it, I’m saying don’t believe in a money tree. You’ll pay for it in dollars or in sweat regardless of what you do.

GhorigTheBeefy’s post right above your’s repeats the same basic message in different packaging.

[quote]tGunslinger wrote:
hardgnr wrote:
tGunslinger wrote:
The biggest obstacles to “passive” income are

1.) You need a lot of time and talent, or
2.) You need a pretty big pile of seed money to start.

You’ve heard the phrase “Spend money to make money”? Passive income is similar.

“In order to generate a lot of passive income, you need a lot of money.” And if you already had a lot of money…

This is a poor man’s mindset. You may seem some money, but you also may not and often you can get started with minimal amount of money that you would probably spend on other material shit instead. Having money can get results faster, but its not necessary.

It’s not a poor man’s mindset, it’s just a reminder that you won’t get to the point where your income is truly “passive” without a shit-ton of work… unless you’ve got a good-sized chunk of change already. Otherwise, it will take a lot of time and effort to build your “passive” income to the point where you can live comfortably off the interest.

I’m not saying don’t go for it, I’m saying don’t believe in a money tree. You’ll pay for it in dollars or in sweat regardless of what you do.

GhorigTheBeefy’s post right above your’s repeats the same basic message in different packaging.[/quote]

Well my point was that the typical poor person just says "it takes money to make money’ and because they have none, they don’t bother taking it any further. What you said is more or less true. Yea it will take time, but what is the cost of that time? Its not higher then working in a job till your 65+, and even then chances are you’ll still be poor.

If your source of income is coming from a hobby or passion, you won’t necessarily pay for it in sweat.

[quote]wukey wrote:
mortgages.

its a more profitable bet than betting on some stupid soccer game. think of it this way, how often do you see a bankrupt gambler? and compair that to how often you see a bankrupt stoke broker.[/quote]

Wait…so a dollar earned on a bet is worth less than a dollar earned on something else? News to me…

[quote]The Bambino wrote:
wukey wrote:
mortgages.

its a more profitable bet than betting on some stupid soccer game. think of it this way, how often do you see a bankrupt gambler? and compair that to how often you see a bankrupt stoke broker.

Wait…so a dollar earned on a bet is worth less than a dollar earned on something else? News to me…

[/quote]

i take it your a gambeler? and your responce did make me smile, but you missed my poorly described point. all i’m saying is that when gambeling the odds are against you, even if you really know your stuff (short of cheating). but if you know your stuff on the markets the odds are much better.
it wasn’t a particularly good point, i admit, infact it was a bit shit, but there ya go

You guys are overlooking the obvious: money in the bank. Earning interest. That is passive income. Pretty crappy at todays’ interest rates though.

Shares that pay dividends. You only got $1,000? buy that many shares that pay dividends. It can happen even at low levels. Again, a bit whacky at the moment. But there will be a time in a few years where there are great shares to buy that are devalued and will pay you back good passive income and growth.

Note that just because it is passive doesn’t mean it does not take effort to get it going in the first place, and it needs to be maintained

“Passive” income is a must for acquiring wealth but the name is misleading in that it implies simplicity.

You have to study your ass off if you hope to turn a profit in any sort of real estate or stock investment. If you are the type to buy up stocks on a “hot tip” you’ll soon be separated from your money.

Pay your dues in the “classroom”. Sweat equity, whatever you want to call it. Read books. Use the internet (www.investopedia.com is a good place to start). Attend seminars. If you want to separate yourself from the majority of the working population you have to acquire knowledge that the population doesn’t have.

yeah listen to pimpbot

what the stupid classroom should be teaching everyone is that investment in things that are productive and increase the efficiency and productivity of the economy are great and the population should all be doing that. it is not a “I make money you don’t” world it is only like that if everything is a scam. instead of scams and bullshite investments if people were putting their time effort and money into things that were useful then everyone gets richer.

go back 300 years - everyone worked harder, everyone was poorer. even the richest people then were poorer than today - even the richest in the world could not have TV, a car, a flight on a plane etc… we live lives they could not dream of. we did not get from there to here through bullshite scams and trick investments but through technology and increasing productivity and efficiency.

my point is your learning should be aimed at identifying the bullshite scams and nonsense and finding the valuable things to invest in. or, play the scams, but don’t start thinking they are real (as the banks have been doing for the past 8 years)

[quote]wukey wrote:
The Bambino wrote:
wukey wrote:
mortgages.

its a more profitable bet than betting on some stupid soccer game. think of it this way, how often do you see a bankrupt gambler? and compair that to how often you see a bankrupt stoke broker.

Wait…so a dollar earned on a bet is worth less than a dollar earned on something else? News to me…

i take it your a gambeler? and your responce did make me smile, but you missed my poorly described point. all i’m saying is that when gambeling the odds are against you, even if you really know your stuff (short of cheating). but if you know your stuff on the markets the odds are much better.
it wasn’t a particularly good point, i admit, infact it was a bit shit, but there ya go[/quote]

Haha ok. I was just being facetious. You are entirely correct, I know of many broke or pathetic gamblers. I certainly couldn’t recommend it to some as a real way to make income. There does happen to be successful gamblers, but they are few and far between. Playing the market is indeed a much wiser choice for most people, agreed.

[quote]The Bambino wrote:
wukey wrote:
The Bambino wrote:
wukey wrote:
mortgages.

its a more profitable bet than betting on some stupid soccer game. think of it this way, how often do you see a bankrupt gambler? and compair that to how often you see a bankrupt stoke broker.

Wait…so a dollar earned on a bet is worth less than a dollar earned on something else? News to me…

i take it your a gambeler? and your responce did make me smile, but you missed my poorly described point. all i’m saying is that when gambeling the odds are against you, even if you really know your stuff (short of cheating). but if you know your stuff on the markets the odds are much better.
it wasn’t a particularly good point, i admit, infact it was a bit shit, but there ya go

Haha ok. I was just being facetious. You are entirely correct, I know of many broke or pathetic gamblers. I certainly couldn’t recommend it to some as a real way to make income. There does happen to be successful gamblers, but they are few and far between. Playing the market is indeed a much wiser choice for most people, agreed.

[/quote]

lets face it, on this thread we’re all rummaging around in the proverbial trash cans of the fabulously wealthy, trying to find out how they got so rich without doing anything. when infact no one has ever made themselves rich without putting in time and effort, just like no one ever just sprayed on some pheramones and walked out of the club with the sexiest girl.
you reap what you sow… shit isn’t it

[quote]wukey wrote:
The Bambino wrote:
wukey wrote:
The Bambino wrote:
wukey wrote:
mortgages.

its a more profitable bet than betting on some stupid soccer game. think of it this way, how often do you see a bankrupt gambler? and compair that to how often you see a bankrupt stoke broker.

Wait…so a dollar earned on a bet is worth less than a dollar earned on something else? News to me…

i take it your a gambeler? and your responce did make me smile, but you missed my poorly described point. all i’m saying is that when gambeling the odds are against you, even if you really know your stuff (short of cheating). but if you know your stuff on the markets the odds are much better.
it wasn’t a particularly good point, i admit, infact it was a bit shit, but there ya go

Haha ok. I was just being facetious. You are entirely correct, I know of many broke or pathetic gamblers. I certainly couldn’t recommend it to some as a real way to make income. There does happen to be successful gamblers, but they are few and far between. Playing the market is indeed a much wiser choice for most people, agreed.

lets face it, on this thread we’re all rummaging around in the proverbial trash cans of the fabulously wealthy, trying to find out how they got so rich without doing anything. when infact no one has ever made themselves rich without putting in time and effort, just like no one ever just sprayed on some pheramones and walked out of the club with the sexiest girl.
you reap what you sow… shit isn’t it[/quote]

Sigh…yes, indeed.

What makes me chuckle is the people who rail so hard against notions like passive income when they are attacking a straw man.

When I talk about passive income, or the people who I mentioned that have written on the subject mention it, they are not saying that there will be no initial commitment, either fiscally or temporally. They are saying it is retarded to bind your earning power to your time.

You might invest 300 hours to start a project up, but when it gets going if it can generate even a modest income for an indefinite period of time with little to no investment of time or money in the future, I would say it is well worth it.

Quit whining about late night infomericals and actually read the books I mentioned. Or for fuck’s sake at least read the link I posted. It should take you 10 minutes tops.

Anyway, I was looking for ideas and advice, not complaints.

[quote]LIFTICVSMAXIMVS wrote:
Funny, I am currently working on my own book on a similar subject.

Pay Me: How to Collect an Income by Selling Gimmicks over the Internet.[/quote]

I was expecting How To Become Rich by Herding Goats Won at Gameshows.

[quote]pookie wrote:
LIFTICVSMAXIMVS wrote:
Funny, I am currently working on my own book on a similar subject.

Pay Me: How to Collect an Income by Selling Gimmicks over the Internet.

I was expecting How To Become Rich by Herding Goats Won at Gameshows.[/quote]

But one would need to actually play the game more than once.

[quote]Magarhe wrote:
Shares that pay dividends. You only got $1,000? buy that many shares that pay dividends. It can happen even at low levels. Again, a bit whacky at the moment. But there will be a time in a few years where there are great shares to buy that are devalued and will pay you back good passive income and growth.

[/quote]

Not so wacky. GE, Pfizer (PFE), and Altria (MO) all all are significantly devalued and have a dividend yield over 7%. Reinvest the quarterly dividends. At 7%, your money will double in 10.3 years. Can’t get more passive than that.

If you’ve never heard of the Rule of 72, I suggest you learn it. It tells you how long it takes to double your money given a fixed rate of annual interest.

google ad sense…start a blog

Read “The 4hr Workweek”

that was a pretty interesting book; and it gives you some good help for the first steps on how to make/create a way to get some passive income.

That’s how I made my first million.

[quote]LIFTICVSMAXIMVS wrote:
pookie wrote:
LIFTICVSMAXIMVS wrote:
Funny, I am currently working on my own book on a similar subject.

Pay Me: How to Collect an Income by Selling Gimmicks over the Internet.

I was expecting How To Become Rich by Herding Goats Won at Gameshows.

But one would need to actually play the game more than once.[/quote]

Right, right. Because the outcome of one game affects the following one, just like when you flip coins.

Maybe you should just write Living with Innumeracy and see how that sells…