Having an additional source of revenue is a smart thing to do. However, there are some passive income features that can be good not only for your funds but also for your career, health, and lifestyle. In this article, we’re going to break down 5 little-known passive income features you should check out when you start thinking of your money management plan.
What is passive income?
Passive income is an extra income you get without the need to be actively involved. It’s not another job or a gig, but a revenue stream derived from investments, royalties, rental properties, or stakes.
There are many ways to establish a constant flow of funds without regular work.
Reasons for getting passive income
People look into having passive income for multiple reasons. Here are 6 most popular ones:
- feeling safe about tomorrow
- less reliance on a paycheck
- early retirement plans
- debt relief strategy
- more freedom to pursue other goals
- ability to live and work from wherever you want
Sounds good, right? The desire to be independent and live on your own terms is totally understandable. Yet there are other passive income features that come with the territory and should be considered as well.
Little-known passive income features
Picture: “A person on vacation or working remotely (non-luxury style)”
We have already found out what makes people look for an additional flow of funds. Now it’s time to investigate what other features passive income has up its sleeve.
Feature #1. Passive income is great for your CV
A killer CV is not just a list of job duties. It’s a reflection of who you are as a person.
Nowadays, it’s almost mandatory for a CV to include not only key work deliverables but hard & soft skills, pet projects, and hobbies. Mentioning a successful passive income case can help you stand out. Recruiters will appreciate your money management abilities, especially if you’re applying for a role in finance or project management.
Feature #2. Passive income proves your expertise
Your passive income strategy doesn’t have to differ from your passions and career goals. You can hit two birds with one stone: capitalize on your knowledge and catch a rep on your job.
Here’s how you can use your skills to get extra income:
- write an e-book
- start your own course
- sell photography online
It’s a win-win situation for you as an investor and you as a professional!
Feature #3. Passive income helps you find your calling
If you haven’t found your calling yet, passive income can support you financially while you’re trying out new things.
For instance, you may take a career break or quit the job that burns you out. A regular income from your investments enables you to take your time and carefully research the labor market. What is more, you can learn something new during this break and even change your place of residence.
This is one of the best passive income features: with it, you’re finally free to do what you want!
Feature #4. Passive income allows you to spend time with family
Have you ever felt guilty for not showing up when your family member needed that? Of course, everyone gets the concept of working 9 to 5 but it doesn’t ease the feeling that we miss out on life’s most important moments.
Another perk of passive income and the freedom it gives: you’re able to spend more time with your loved ones.
Feature #5. Passive income improves your mental health
Let’s face it: coping with financial stress is hard. Especially in the world hit by a global pandemic.
The stigma around debt often comes with anxiety and isolation. In fact, according to Money and Mental Health Policy Institute, almost four in ten people said their financial troubles affected their mental health. In this case, passive income helps you avoid these struggles and feel confident about yourself.
The bottom line
The passive income features above are often overlooked but they really sweeten up the deal. Don’t forget to consider them when exploring possible investment plans.