Comments on: Active vs. Passive Income: With Limited Time, Which Should You Focus On?

By: Manoj

Manoj — Tue, 17 Mar 2020 14:59:02 +0000

Active income means you are doing something in order to receive that income. Some kind of work. … we have to exert some kind of energy and time towards earning that income. Passive income means you are earning regular income with little to no effort required to keep it coming.

By: Jay

Jay — Fri, 22 Nov 2019 22:41:49 +0000

A lot of us know that we need to spend more time in passive income activities, but we don’t. Part of it may be wanting to have the right amount of savings or being risk-averse. But one has to start. Thanks for the encouraging post.

By: Sam Steve

Sam Steve — Thu, 29 Aug 2019 13:06:04 +0000

Interesting read, thanks for sharing Nick.

For me, it is a constant battle to stay on course to build up the passive income-producing assets. Though, currently tied in an 85% reactive and 15 % active mode.

Fact is, it has not really been easy trying to juggle clients’ projects and building the projects that would provide me with the freedom I want in the long term.

That said, I also understand, I need the “active mode” in order to generate the income needed right now to pay bills and fund the side hustle.

So, I think, as someone said earlier, it is a matter of finding the balance, having a long term view and consistently working towards the goal of having a passive income.

By: Kama Creations

Kama Creations — Mon, 22 Jul 2019 12:32:21 +0000

Very informative post, I actually spend most of my time on active income. Thanks for sharing.

By: fehmeen

fehmeen — Thu, 30 May 2019 17:02:52 +0000

I would probably say that active income should be a daily priority but one should also set in motion the wheels to earn a passive income earlier on in life. Great analysis of the two income streams.

By: Ade Hartono

Ade Hartono — Mon, 26 Nov 2018 05:31:22 +0000

In reply to Leland. I think the right word is "residual income", however the word "passive income" is more attractive to be used by they who want to attract newbies.

By: Rachel Nichols

Rachel Nichols — Tue, 20 Oct 2015 16:52:49 +0000

I’m actually more interested in active income to supplement my disability check. Passive income won’t cut it, because after the first $20 I lose dollar for dollar what I get for a monthly income.
Apparently I should look into freelance blogging or copy-writing and add some coaching services as well. Knowing this encourages me because I don’t need a self-supported blog (at least to begin with.) I can use an ordinary Wordpress blogsite and buy a domain name for $1.50 a month.

By: Nick Loper

Nick Loper — Thu, 30 Apr 2015 20:45:45 +0000

In reply to Robert.

Robert — thanks for stopping by and the comment. Someone asked me recently what percentage of my income was “active” vs. “passive,” and I was surprised to find that the majority of it could be considered “passive” — though the truth is I spend most of my time trying to cultivate it and grow it so I guess that makes it not that passive at all!

By: Robert

Robert — Thu, 30 Apr 2015 15:50:49 +0000

I’ve had this conversation in my business discussions with myself so often.

I tell myself, users always come first, so anything with the status of action required when it involves another person/company takes priority, which is a majority of that reactive stuff…then acting on the proactive content, posts, product creation, creation of anything really.

Proactive stuff has so much more longer term value but also risk, it’s also more of a mental battle to execute on for me. Reactive often equates directly to income, but as you’ve nailed down, that isn’t scalable. It’s a dilemma alright.

Ideally I’d like it to be 80% proactive, 20% reactive as an end game, as I enjoy interacting a lot, I don’t want that to go away completely.

It’s been a slow, very slow scale moving toward more proactive in my business, and I’m probably around 70% reactive, 30% proactive in my sidehustle business…this was good fuel to get my head down soon and produce more proactive content…admittedly, it’s what suffers the most in my schedule/life. Thanks!

By: Nick Loper

Nick Loper — Sat, 24 Jan 2015 21:40:24 +0000

In reply to EL. It's true. Eventually I'd love to live entirely off business or investment income but like most people, have a ways to go before I get there :)