What Do You Do With Your Passive Income?
Creating passive streams of income takes a tremendous amount of initial input. You must set the stage for when the audience actually arrives. You must be passionate about what you are doing, or else you will fail. It is as simple as that.
But now that you are busting your butt, putting in the necessary time and have begun to see some results, what are you doing with your passive income? Are you blowing it on beer and pizza (the old me would have loved to do this)? Are you putting it into an emergency fund or some other form of savings?
You could start to pay down your mortgage. You could try your hand at peer-to-peer lending. You could do any number of things, but why not do something that will actually increase your passive income. Instead of thinking of passive income as an isolated payment, why not leverage your results to achieve even higher results.
For instance, lets say that you make $50 a month on eHow (extremely easy to do once you learn how). Normally, you would simply spend that money pretty easily. What if you hired a ghost writer to write another 20 articles for you with that income? It is possible to find writers, who are knowledgeable in SEO, to write short articles for $0.08 a word. If you produce 25 articles, and your hired writer produces 20 articles, you would be producing 45 articles a month (or 540 per year).
Assuming that each article generates $0.50 per month, you would make an additional $2,650 [$3,250 less $600 paid to your writer].
You could continue to reinvest your money each month until your bank of eHow articles consisted of thousands of articles.
…………Or you could continue to spend the $50 you make each month.