There are lots of people who will profess they love their jobs and are doing it “for love,” and the money, to them, is secondary.
Now we’re not calling these people liars, and we’re sure they do genuinely enjoy their jobs. But, we also feel pretty confident in the fact that they probably rather enjoying earning money, and being able to provide for themselves and even enjoying the occasional luxury or two.
In fact, we feel fairly confident that most of us, if we could, would like to earn more money; aspiring to reach the riches of individuals like Bill Gates or Oprah: who are clearly raking in the millions.
But, how on earth do you do it? Well firstly let’s look at the two different forms of income:
This comes as a direct result of our hard work and determination; we work and so we get paid. It is generally in the form of wages or salaries. Earning a high active income generally means investing a huge amount of time in education and in climbing the corporate ladder to become a CEO or surgeon.
However, that is by no means the only way to earn serious money.
Residual or passive income
This is when you continue to get paid after the work is done. It would include royalties from a book or movie or income from an investment in property or a business. In fact, residual income is basically the optimal source of income as you don’t have to do an awful lot to earn it beyond the initial time and monetary investment.
Take our clients, for example, …once they have made the initial investment they receive a monthly income, even whilst they are sunning themselves on holiday, or even just enjoying a good book in their local coffee shop.
However, there is one thing that is often forgotten about when considering passive income…
When it comes to residual income you can’t simply sit back, relax and enjoy.
Well, you can….but you have to ensure other people are responsible for maintaining this income; ensuring your books get sold, your business is profitable or, in our case, that your property is maintained. What we find that people often forget is that once your tenants are settled there is still a huge amount of maintenance required to ensure they stay and the property is kept up. A high tenant turnover can increase advertising costs, and means you lose out on rent; so keeping the tenant happy is paramount.
And in order to do this, you need to be able to answer the phone a 2 o’ clock on Christmas morning because they have no heating, or simply because they’re not sure how to change a lightbulb. Leveraging that investment means employing people to make sure your property is run successfully and seamlessly, something we, at the Lifestyle Property People, are happy to have perfected.
To learn a little more about how we can help you develop your residual income please feel free to have a peek at our website here. And if you would like to speak to a real-life person based in good ol’ Blightly do contact us on 0203 633 4280 or drop us an email on [email protected].