Another benefit of residual income is that, if the income stream is large enough, one does not need the main focus of his life to be on making enough money to survive. Having a comfortable and continuous level of residual income opens up more opportunities to travel, look into other business opportunities, and even take the time to indulge in his hobbies.
Many people in the investment world also define residual income as revenue stemming from a passive source. This revenue is created without a direct input of effort or time. The investment itself creates addition revenues without having to be managed. Some examples include royalties, dividends, interest, and rent. Take a dividend stock for example. Once the money is invested once, it will keep producing a dividend every year without having to input additional time or resources. This concept is the Holy Grail for most investors.

Haha, that is too funny. I wanted to make an app back in the day called “MyShares” (You can probably tell how I cam up with the name at the time). The idea was that I would loan out books and DVD’s and then would never get them back. Then I thought, how cool would it be if I could rent those items out and that would motivate people to bring them back. Obviously, books and DVD’s are cheap, so this isn’t the money maker. The idea that would probably make the most money would be things like tools, ATVs, etc.

If you’ve got a book you’re itching to write, you can still go with the traditional publishing route. (We published our first book using a traditional publisher.) Whether your book is fiction or non-fiction, a publisher can help get your book into print and onto shelves in both online and traditional book stores. This is still a good route, although it may take more work and be more expensive than some other options.


Obviously, these are much higher than you’re going to get with most other investments. What’s more is that you can choose a plan that matches your investment strategy, whether your goal is Supplemental Income, Balanced Investing, or Long-term Growth. You can also look at different real estate projects and choose for yourself which ones to invest in.
Passive income is attractive because it frees up your time so you can focus on the things you actually enjoy. If a doctor wants to earn the same amount of money and enjoy the same lifestyle year after year, they must continue to work the same number of hours at the same pay rate—or more, to keep up with inflation. Although such a career can provide a very comfortable lifestyle, it requires far too much sacrifice unless you truly enjoy the daily grind of your chosen profession. Additionally, once you decide to retire, or find yourself unable to work any longer, your income will cease to exist unless you have some form of passive income.
You must sacrifice the pleasures of today for the freedom you will earn tomorrow. In my 20s, I shared a studio with my best friend from high school and drove beater cars worth less than 10% of my annual gross income. I'd stay until after 7:30 p.m. at work in order to eat the free cafeteria food. International vacations were replaced with staycations since work already sent me overseas two to four times a year. Clothes were bought at thrift shops, of course.
So, there you have it. That is really it at a high-level. So, how do you move forward? Are you interested in our Foundation Freedom Phases? Click here. At the core, all it requires to obtain and master residual income is time, mastery and specialization and then to communicate that across a business model suited for your skills and vision. By combining profits from a business of any kind to our money momentum strategy and real estate you can leverage three streams of residual income with the same cash-flow and profits, all at the same time. That is how you build net-worth faster, with safe leverage and tax-protected liquid cash.

This is an ideal strategy if you live in an area where real estate prices are too high to realistically invest in, or you don’t want the hassle and expense of traveling all over the country visiting potential properties. Plus, if you are new to single-family real estate investing, letting a place like Roofstock guide you through the process is a great way to get your feet wet.
This is an ideal strategy if you live in an area where real estate prices are too high to realistically invest in, or you don’t want the hassle and expense of traveling all over the country visiting potential properties. Plus, if you are new to single-family real estate investing, letting a place like Roofstock guide you through the process is a great way to get your feet wet.
Learn how to start your podcast! The Podcast Cheat Sheet is the ultimate checklist for setting up a podcast, including advice on recording, editing, and marketing your show. The Cheat Sheet gives you practical, actionable advice, including which equipment you need to get started, which audio editors are my favorite for beginners, and how to structure your episodes. The Cheat Sheet also gives you advice for where to go to get more information on each step of the process. It’ll help you stay on track and get your show out into the world!

Fundrise, LLC (“Fundrise”) operates a website at fundrise.com (the “Site”). By using this website, you accept our Terms of Use and Privacy Policy. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections may not reflect actual future performance. All securities involve risk and may result in partial or total loss. While the data we use from third parties is believed to be reliable, we cannot ensure the accuracy or completeness of data provided by investors or other third parties. Neither Fundrise nor any of its affiliates provide tax advice and do not represent in any manner that the outcomes described herein will result in any particular tax consequence. Prospective investors should confer with their personal tax advisors regarding the tax consequences based on their particular circumstances. Neither Fundrise nor any of its affiliates assume responsibility for the tax consequences for any investor of any investment. Full Disclosure


In an article in The Regional Economist, Research Officer and Economist George-Levi Gayle and former Technical Research Associate Andrés Hincapié examined which is more effective for promoting economic mobility: policies that help the poor escape poverty or that limit the advantages of the privileged. They noted that the intergenerational persistence of income and wealth may help shed light on the answer.

Ebooks, which can be published through sites like Amazon Kindle Direct Publishing, are an increasingly popular option. Because these books are self-published, the process is quicker, allowing you to build residual income faster than the traditional publishing route. Whether it’s a romance novel or a how-to book on fly fishing, you can create a book and have it available for purchase in a matter of weeks.
Looking for ways to build financial wealth long-term without adding more work to your daily life? Residual income allows you to increase your fortune passively — meaning you’re earning cash while you eat, sleep, and brush your teeth. With the substantial increase of online platforms and opportunities, residual income is easier to achieve than ever before.
But when so many turn down leasing one and one-half acre for one Wind Turbine for each 80 acres, that lease certainly does not materially affect the rest of the Farm or Ranch grazing pasture and the lease pays much more than the farm crow or grazing pasture lease, just because some lawyer said the lease was too long: 30 years plus 30 year option = 60 years, and the wind turbine company has selling production/electricity contracts for the next 150 years – which is needed to obtain financing!
A different definition of residual income is that this is income derived from passive investments, rather than from a person's active income-generating activities. Examples are interest income, royalty income, rent, and increases in the value of investments held. Individuals typically work throughout their careers in order to build up a sufficient amount of this income to support them during their retirement.

​Udemy is an online platform that lets its user take video courses on a wide array of subjects. Instead of being a consumer on Udemy you can instead be a producer, create your own video course, and allow users to purchase it. This is a fantastic option if you are highly knowledgeable in a specific subject matter. This can also be a great way to turn traditional tutoring into a passive income stream!
Real estate is the obvious choice if you are going to make money on your money. I personally am not at the point where I can do any of this in a meaningful way BUT my parents are and they now own a couple homes outright and are collecting income from them to power their retirement income. It makes a lot more sense for anyone that has a chunk of cash sitting in the bank and are planning on slowly drawing from it because you technically still have all that money in a property (or multiple properties) and can sell them if you really need the lump sum of cash but you’ll earn great interest payments until you do that.
×