What is Residual Income?
Residual income... so what is it? Let me show you some of the definations from different sources:
1) Repeated regular income, earned by a sales person, generated from the payment of a product or service that must be renewed on a regular basis, in order to continue receiving its benefits - also called residual income. e.g. Rental from property; Royalties from publishing a book; intellectual property; internet advertisement on your websites; Dividend and interest income from owning securities, such as stocks and bonds, are usually referred to as portfolio income, which can be considered a form of passive income; Pensions. (Wikipedia, http://en.wikipedia.org/wiki/Residual_income)
2) www.goodmove.com think of residual income as - a) "Income that continues to flow, even after the initial effort to create the cash flow has stopped."; b) "a payment (as to an actor or writer) for each rerun after an initial showing (as of a TV show)"; c) residual income is akin to a royalty: "a payment to an author or composer for each copy of a work sold or to an inventor for each item sold under a patent)."; and also "Money in the bank that pays you interest is another form of residual income..."
3) According to www.melaman.com "Residual Income - income paid many times for something you do once. "
Looking at the above definations, if I put it in my own words, residual income is another form of income which keeps on coming even if you don't want it to. Well, no one wants to stop money coming, do you?. Ah! I don't think so. But the question is how is it possible to get income coming all the time. I call it the clever way: "Work for someone, you make him rich and richer, but when you work for yourself, you make yourself the richest". To get on residual income ladder is not a easy job, I don't mean to scare you, but once you know how to shorten the ladder then it's fun and easy.
There are hundreds of methods available or may be more, but when it comes to choose the right one we all get confused. Try doing a seach in confused.com for "residual income", see for yourself. My advise will be do your research before you choose to join with one. Eventhough, I am joined with one company, I have not stopped my research. I will write more on this topic in the part two of this section, where I will be sharing more information on the particular residual income methods I am following presently and the company I am working with. So. keep checking and add this blog in your follow list. Your views and comments will be highly appreciated...
2 comments:
Thanks, now I know what it means.
Thanks for this info. By this I now know that I am earning a residual income. I have an apartment for rent so the income I earn is residual. Am I right?
Post a Comment