It turns out we’ve all been doing it wrong. Commuting, selling our labor for money, even getting an education – all overrated. There’s a better, easier, faster way to make money. It’s so easy, in fact, that many people can’t figure out how to do it because they don’t trust how easy it is. It requires so little work, that they can’t wrap their heads around how much money they can make doing next to nothing. It’s passive income and it’s everywhere right now.
The concept of passive income is not new (nor is it new to warn against it), but it’s a trend that’s become ubiquitous in social media and content platforms, easily garnering millions of views. Passive income is defined as unearned income—as opposed to income gained through labor—that is acquired with minimal to no effort, often through the use of automated processes. It popularized the idea that millionaires have seven streams of passive income that help maintain their wealth. But how passive is the processes to generate this kind of income, actually? And is it even a genuine source of income?
For the wealthy, it is. For everyone else, passive income is akin to a scam.
Investing is the most widespread method used to generate actual passive income. It can also generate significant profits. But it’s generally advised that, given the high risk of losing capital, money that can be invested should be money that someone can afford to lose in the first place: their…
