My 7 Favorite Passive Income Streams

My 7 Favorite Passive Income StreamsOne for every day of the week!

By definition and theory, Passive Income is income resulting from cash flow received on a regular basis, requiring minimal to no effort by the recipient to maintain it. Passive Income differs from Earned Income & Portfolio Income in many ways. Passive Income is generally defined as a stream of income earned with little effort, and it’s often referred to as progressive passive income stream, meaning there is little effort needed from the individual receiving the passive income in order to grow the stream of income. Some examples of passive income include rental property income and any business activities in which the earner/investor does not materially need to participate during the fiscal year.

Passive Income differs from Active Income which is defined as any Earned Income, including all the taxable income and wages the earner obtains from working. Linear Active Income refers to one constantly needed to stay active to maintain the stream of income, and once an individual chooses to stop working the income will also stop. Examples of active income include Wages, Self-Employment Income, Martial Participation in S-Corp and/or Partnerships, etc. Portfolio Income is derived from investments which include capital gains, interest, dividends, and royalties.

OK, let me get serious now. After 20+ years of grinding my face off, here are my current 7 favorite passive income streams, in no particular order…

1. Crowdfunded Commercial Real Estate Investments – Investing in Commercial Real Estate can be an excellent form of a passive income stream. However, because it sometimes can be costly to purchase a property outright, using a crowdfunding platform to invest in commercial real estate debt can be a more affordable and lucrative option. If you want an easy, low-cost way to invest in low platform real estate, consider using a company like Fundrise. You’re only required to have $500 to get started, and they have 3 main eREITs to choose from. This is a great way to get familiar with the overall process from start to finish. Once you become comfortable enough, you can begin investing in larger properties. You may also want to consider checking out Realty Shares, which is one of the largest crowdfunding businesses available today. While most deals require at least $5,000, they occasionally offer properties with a $1,000 minimum. One of the nice things I like about Realty Shares is that you get to hand-pick the property you invest in and get to see the process from start to finish.

2. Investing in Cryptocurrency Masternodes – Something I discovered back in 2011, Bitcoin, a ‘cryptocurrency’, per se. After purchasing my first BTC on Mt. Gox for just under $8, I became overly fascinated by the blockchain technology. Investing ahead of the world, some using Proof of Stake algorithms implemented, these Peer-to-Peer networks require the use of cryptocurrency masternodes. As we look at the cryptocurrency world today, arguably many would agree that over the past 5-7 years, we’ve seen such a vast change in adoption and regulation, it’s inevitable that from now that either cryptocurrency will be a ‘flash in the pan’ and vanish from existence, or will be a new form asset that changed the world forever. If you are one of the former, go ahead and stop reading this point, it isn’t for you. :)However, if you believe that years from now, that businesses, governments, states, communities, and individuals could exist within the new digital currency revolution?

Masternodes are a form of a super-delegate on a blockchain with voting rights. One who collateralizes a larger interest of shares with the intent for the long-term best interest of that blockchain and cryptocurrency.

The fascinating thing with Masternodes is two activities that provide a differentiation strategy when investing. First, because the cryptocurrency has masternodes, the supply of the currency is ‘locked’ by other masternode holders, and the more masternode holders that join the blockchain the more that are locked. This drives the demand higher as the supply comes off the market. Secondly, running a masternode provides core functions to the network so you’re paid a high-interest rate (yield) on investing your overall investment, in some instances, we can scrape approximately 75% – 160% return on our investment, depending how many masternodes we are providing services for and how long you/we hodl for.

3. Peer-to-Peer Investment Lending – Peer-to-peer investment lending is when you loan other people money who don’t qualify for traditional financing. With investment returns often in the 6-10% range, investing money with a business like Lending Club can get you much higher income results than a typical savings or money market account.

Added Fun Fact: Read more

How To Manage Oneself – 9 Key Points On How I Manage My Daily Grind

manage oneselfBack in 2008, Peter Drucker wrote a book on self-management. I’d like to build off that a bit differently, using 9 key points that I found to seem to work quite well for me. I hope you find them insightful for your daily grind as well.

  1. Be More – It’s quite simple actually. Each and every day, I work on being more than I was the day before. Be it a better son, a better friend, or a better coworker. If we strive to better ourselves with every new sunrise, I wholeheartedly believe that we are then positioned to help others around us.
  2. Be Detailed – When we structure our daily tasks, it’s important that we be very specific to ourselves. This allows for us to hold ourselves accountable. And should we miss out mark, we then know what we need to work on harder the next day. Keep plugging away until you can cross it your list.
  3. Be Resourceful – Utilizing our resources has amazing rewards. Throughout our journey, we surround ourselves with some of the best teachers in life. None of us are ‘self-made’. Each of us is a product of our environment. Every five years, Read more

The story behind why I was locked out of my Personal Facebook account… #NoHashtagNeeded

The Real Truth About Timing in Relationships

Alloy and Yousea - PhoenixThis was sent to me from a dear friend of mine who we will call “Crissy”,

Timing is something that none of us can seem to get quite right with relationships. We meet the person of our dreams the month before they leave to go study abroad. We form an incredibly close friendship with an attractive person who is already taken. One relationship ends because our partner isn’t ready to get serious and another ends because they’re getting serious too soon.“It would be perfect,” We moan to our friends, “If only this were five years from now/eight years sooner/some indistinct time in the future where all our problems would take care of themselves.” Timing seems to be the invariable third party in all of our relationships. And yet we never stop to consider why we let timing play such a drastic role in our lives.

Timing is a bitch, yes. But it’s only a bitch if we let it be. Here’s a simple truth that I think we all need to face up to: the people we meet at the wrong time are actually just the wrong people.

You never meet the right people at the wrong time because the right people are timeless. The right people make you want to throw away the plans you originally had for one and follow them into the hazy, unknown future without a glance backward. The right people don’t make you hmm and haw about whether or not you want to be with them; you just know. You know that any adventure you had originally planned out for your future isn’t going to be half as incredible as the adventures you could have by their side. That no matter what you thought you wanted before, this is better. Everything is better since they came along.

When you are with the right person, time Read more