What does Passive Income Mean

What Does Passive Income Mean

You might have heard this expression many times and wondered what does it mean

The definition of Passive income is shown below

Passive income is earnings derived from a rental property, limited partnership or other enterprise in which a person is not actively involved.

For the purposes of this post, you are going to learn about passive income in the form of ‘Other Enterpirses’

Some of the examples, might, just surprise you a little, depending on what you current understanding of passive income is

Bitcoin

Bitcoin is probably, well at the time of writing this post anyway, the most popular and well known version of passive income

As you will be well aware there are several Bitcoin opportunities available, sadly not all of them good

However, I digress from the purpose of this post.

So lets look at some forms of other enterprises which are passive income and which have been established for donkeys yonks ( that’s a long time in other words!)

First

This, or Your blog. Yes Your blog, is a form of passive income. Did you know that?

How so?… Well first of all, like this blog, your blog will be a self hosted blog. Whether yours is with the same host as my #1recommendation or not only you will know : )

But because its a self hosted blog, then the chances are you will receive a commission from your host for referrals

Second

Your Auto Responder. Yes Your auto responder, depending on who your auto responder is with is and to give some examples of them, they are

AWeber

Get Response

TrafficWave

Mailchimp

Third

Google Adsense

Google Adsense, is googles very own ad programme, which pays you for displaying ads on your own blog.

As an example this blog displays a selection of both Banner and Text ads, in the header, sidebar and footer sections, some of which are content related.

How these work is like this, ads are displayed, the reader clicks on an ad and is taken to the product / or service they have an interest in. Once the ad is clicked on the blogger then receives a small commission

This action, on its own, may not make earning money from adsense sound very attractive. However, consider this…

Your blog is shown, right around the world, through various search engines and similar other traffic generation websites

This amounts to over 3.75 Billion people, worldwide with access to see your blog

3.75 Billion people clicking on your ads, amounts to a very healthy and tidy commission. So you see the potential?

So In summary and Conclusion that is what Passive Income means

2 thoughts on “What does Passive Income Mean”

  1. Hey Dave,
    Thanks for the informative article! Passive income definitely has changed as the internet as grown in viral social media markets. I would add several emerging Google adsense competitors to the list as well, since getting approved and staying approved by google is becoming harder by the year. They constantly update their algorithms. The alternatives to adsense would be: Media.net, Chitika, and Infolinks to name a few. I’m still a bit hesitant on bitcoin due to security issues, especially with their exchanges. This is a great conversation starter!

    1. Daniel
      Thanks for the reply and for sharing other adsense related sites. Bitcoin is a very volatile market, depending on which BTC you join. There is one BTC network I have recently joined, because it was recommended and meets my criteria for affiliating with.

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