Etini
Valued Contributor
Passive income is the kind of income that comes into a person's life without the person having to actively make an effort to generate such income. The work to be done for this income to come in has already been done satisfactorily in the past, so the income stream once activated keeps flowing for the entire lifespan of the project without the entrepreneur being a part of it. Example is real estate, royalties from creative contents.
Long term projects are those projects that typically take from 7 to 10 years to complete. If a person has a passive income source, it is easier for the person to carry on long term projects. The person can use his active income to just survive with while deploying the passive income for the project.
One of the things that makes easy completion of long term projects with passive income is the fact that when once a person has a passive income stream, it keeps flowing without regards to what happens to the investor.
Assuming something happens and a person cannot actively be engaged in a paid employment, the investor can still complete his long term project with the income generated from the passive income stream.
Long term projects are those projects that typically take from 7 to 10 years to complete. If a person has a passive income source, it is easier for the person to carry on long term projects. The person can use his active income to just survive with while deploying the passive income for the project.
One of the things that makes easy completion of long term projects with passive income is the fact that when once a person has a passive income stream, it keeps flowing without regards to what happens to the investor.
Assuming something happens and a person cannot actively be engaged in a paid employment, the investor can still complete his long term project with the income generated from the passive income stream.
