The dream is to sit on the beach while the money rolls into your bank accounts.
You no longer have a job or even need a job. The days of crappy bosses is over. You know that no matter what, money will land in your bank account every month and you’ll never have to worry again.
Except… that’s just the dream. What’s the reality?
First, most passive income is going to take a little work to maintain. Unless you’re getting dividends from a multi-million dollar stock portfolio or you’re a trust fund baby, you’ll need to do some stuff to make sure that money keeps rolling in each month.
Second, spending all of your time partying and no time accomplishing anything gets real old, real fast. Twenty somethings I’ve known who made seven figures and thought they would party the rest of their lives found out that never ending partying with never ending hangovers gets old, fast. Then again, if that really is your dream, then more power to you.
But here’s the secret to passive income that most people miss entirely:
In order to get passive income – that is, income that comes to you without further work – you first need to work.
If you go to a job where you get paid $20 an hour, after a week you get a check for $800.
But when you’re building a passive income, you might work weeks or months before you start seeing returns.
There is no passive income free ride.
Instead, passive income comes after you do the work.
I see so many newbies who think passive income means get rich quick, and nothing could be further from the truth.
You’ve got to do some serious work first.
When you change your mindset from, “get rich quick” to “do the work now, get paid for a long time later,” it becomes much easier to set a goal and then put in the time each day to getting closer and closer to that goal.
That’s why the first step to passive income is action.
Let me offer you what might be the ultimate example of this: Noah Kagan.
Before expenses, Noah earns $357,000 in passive income… per MONTH.
Wrap your head around that.
In this video… https://www.youtube.com/watch?v=HHR-NeSuynw&feature=youtu.be
…Noah reveals his passive income channels as an entrepreneur and YouTuber. Watch closely and you’ll see that a lot of his income streams aren’t passive at all. Rather, they’re the accumulative result of years of hard work and dedication, which now allows him to step back when he likes and still earn this income.
He would never be earning this amount of money ‘passively’ if he hadn’t first worked his tail off.
Key Takeaway: Passive income requires work upfront.