The holiday season always reminds me why I make my money online. When I used to run a print shop, we would shut down the day before Christmas and wouldn’t open again until Jan 2nd of next year. Many businesses shut down for a few days or even a week during the holiday season. While it’s nice to take a little break, it’s also a bad use of resources – you have all those assets sitting there doing nothing.
The Net is a completely different story. My sites make money no matter what time of the year it is. That was driven home to me during Christmas dinner at my parents house. I went to check some stats and found I was up by a few thousand dollars. On a day when nearly all traditional businesses are closed, I made money. And I made it while enjoying Christmas dinner with the family. It’s pretty hard to find a deal as good as this.
Passive Income Vs Active Income
Active income is money made for your time input. The best example of active income is a job – you do your work, you get paid and when you’re not working, you don’t get paid. Passive Income is money made whether you’re there or not. Best example of passive income would be income from investments. Given a choice, most people would prefer to make passive income over active income. Why spend your time making money when you can spend it on much more important things?
While some get rich quick gurus have promoted it as such, blogging isn’t 100% passive income. From an Internet marketing stand point, it’s one the less passive income sources available because it requires a substantial and on going time commitment. Blogging isn’t like affiliate marketing where you set up the landing page, add Google AdWords and watch the money roll in (it’s really not that simple but that’s for a future post).
Blogging does allows the advantage of making money 24/7 and that helps to create a passive income stream. However, most blogs require a hands on approach so you should really enjoy the topic you’re blogging about. If you don’t, then the chances of your blog making you money 24/7 is slim to none and slim left town.