Imagine having multiple passive income streams that inject money into your bank account with little to no work on your part. Sounds great, doesn’t it? While you can set up easy passive income streams and earn exponentially more, there are a few commonly held myths about earning passive income, and we are here to debunk them!
Myth: The harder you work, the more you earn.
The Reality: A passive income allows you to create something once and earn from it for years to come.
Clearly, this is one of the positive myths about earning passive income! If you’ve spent your adult life working for others, it is naturally self-evident that time spent working = money. Thus If you put in more time, then you will make more money! This may be how an employee thinks, but not an entrepreneur.
To build passive income streams, you have to embrace the fact that this isn’t how it always works. You can create something once that people will buy over and over again.
Myth: It takes money to make money.
The Reality: You can set up passive income streams with very little overhead.
If you’ve ever considered starting a business, you’ve probably encountered the problem of start-up costs. It takes investment to start a new company. But there are many passive income models that require very little overhead. For example, online marketing and advertising are very inexpensive compared to offline, and if you sell digital products, there’s no need for warehousing and shipping.
In this article, we actually provide a list of companies with great affiliate marketing programs that have zero overhead! (Well, except the time you spend!).
Myth: You can set it and forget it.
The Reality: Passive income streams usually require some maintenance.
The basic idea behind passive income is that you set it up once and then the money flies into your bank account. While this is mostly accurate, there is still some maintenance work along the way. For example, you may need to create content on a regular basis and update your strategy to match changes in the market or your customers’ tastes. You’ll also need to interact with your audience and build relationships.
Myth: You can start earning today.
The Reality: This business model is a long game that takes time before you’re earning a full-time income.
This is one of the most important myths about earning passive income that must be set straight! You can’t set up a passive income in one weekend and start earning on Monday.
One downside to this business model is it takes time to build. You might start with a few hundred dollars of passive income a month, and then gradually build more income streams, earning more month by month until eventually you can quit your day job!
The Reality: Just plug and play and start earning!
Fact: It takes work upfront, but this work will pay you back later.
Be wary of anyone who tells you it’s just plug and play. Setting up passive income streams will take time to get it off the ground! Just know that most of the time is spent upfront and it can (and oftentimes will) pay you back once the system is up and running!
Setting up a passive income and finding success takes some time and hard work. It’s a long game, but the eventual return on investment is well worth it. You can eventually quit your full-time job, or build income streams you can use for savings, retirement, investments, or as a buffer against economic uncertainty!
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