Learn The Difference Between Active Income And Passive Income

The Difference Between Active Income and Passive Income

Make Money Online

The Difference Between Active Income and Passive Income make money online

While the internet has brought us all closer together, one other added benefit has been its ability to allow people to make money from almost anywhere.
While apps and social media have made millionaires, and indeed billionaires of many people, the fact is that the internet offers a way for plenty of people to gain online income as well.

While learning of ways to do so, those aspiring to make money online are likely to run into two different terms: Active Income  Passive Income.
For those looking to make a living online, or even just a bit extra money every month, knowing the difference between the two can save considerable time.

What is Active Income?

When someone makes money actively, that means that their attention is focused on the money-making process.
Most people make money actively through a job; everyone from a dishwasher to a neurosurgeon is actively making money.The workplace for active income
Online, there are different routes to making money actively, depending on what you want to do.
While some of these require special skills, few of them require any more than demonstrated knowledge; that said, practicing medicine or law online still requires a relevant degree!
Here are three ways, each requiring different levels of commitment and skill, to make money actively online.


For the type of person who is looking to mindlessly make a bit of extra money while watching TV or folding laundry, surveys can be a great way to actively make extra money. A number of survey sites exist that pay people for their opinions; payments tend to be rather low, typically only a couple of quarters or so for an opinion. That said, for those willing to give more involved answers, payments can reach as high as $25.

There is a catch, however. Survey sites might work great for those looking to earn a bit of extra money for fun, but they are not a true route to a job that is likely to pay the bills.


Instead, those looking to make what many might classify as “real” money may look for a way to offer their services online.
While the internet depends heavily on HTML editors and other tech professionals, those who can create videos, edit images, or even write, will find a number of great ways to make money online.
Typically these jobs are paid per contract, so it may not be the most stable way to make money, but it will certainly provide more money than filling out surveys while munching on popcorn.


For those wanting to make money actively, there are definitely telecommuting options.
These companies range from customer support roles to specialized professionals like lawyers, accountants, and even some doctors.
Teleworkers are still actively making money, but due to their affiliation with larger companies, enjoy significant job security when compared to others seeking to make money actively while online.
For those without an employer willing to let them give teleworking a try, a number of resources exist to track down teleworking-friendly companies, depending on the role at hand.
As the internet becomes a more dominant part of society, expect more and more companies to provide the option.

What is Passive Income?

On the other hand, those looking to make income passively are lured by images of making money while they sleep.
This is absolutely true; someone making income passively could wake up in the morning and receive a number of notifications that they have made money during the previous several hours.
However, there is a catch.
Making money in this manner requires a lot of up-front work, often with little immediate reward.
But, like a seedling, keep watering it and it will grow and grow.A seedling for passive growth
That said, there is something nice about getting an email sales notification along with an alarm clock ringing.
Here are some common ways to make income passively.


One of the most common ways to make income passively is through blogging.
Blogs cover any matter of subjects, ranging from political views to recipes to toy enthusiasts.
If there does not seem to be a blog on a particular subject, then it is just waiting to be created! Interestingly, blogs that offer a window into the writer’s life tend to be quite popular as well; so-called “mommy bloggers” writing about being mothers have built significant followings and earn considerable ad revenue.

Affiliate Sales

Ad revenue is not the only way that bloggers make money passively; Affiliate Marketing offers another route.
Affiliate Marketing works through being provided with a link from a company you are affiliated with, to a product from that company, and placing it on your website.
When an interested customer uses that link to purchase the good, you as the website owner or influencer receives a commission from the said company.
These range widely; Amazon pays around 4% (sometimes more), while some more specialized offerings go for as high as 20%.
Best of all, affiliate sales can work to make money passively on blogs, websites, or even social media.

Selling a Product

Finally, those willing to put in the effort to sell their own product can make considerable sums passively. This is where it becomes very clear that income earned passively does not mean income earned easily! Most often, to qualify as passive the income must come from something that is created once and then easily duplicated; those selling music and books online immediately come to mind.
Given the popularity of programs like Kindle’s Self-Publishing platform and it is no surprise that selling a product is a great route to extra passive money.
A number of Kindle authors have reported earnings of well over $10,000 a month; however, this requires significant effort in order to do it properly.


Clearly, there are a number of great ways to make money online.
Remember that online income is classified as either active income or passive income.
Money earned actively means applying skills or effort to each individual sale, while money earned passively often requires a considerable up-front investment in time, effort, and potentially money, but can result in sales opportunities presenting themselves while away from the business.

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