Depending on whatever you are earning, and how you are earning you fall into two classifications on income – Active income, and passive income.

If you earn money by performing services you fall under the active income category.

Now, What is passive income?
On the off chance that I reveal to you that without batting, you have scored a century. Would you trust it? No, Passive pay is actually this way. It creates pay for quite a long time with simply early endeavours.

Your pay is passive income, it will draw in cash while you are resting. It causes you to feel free and autonomous

All things considered, time is the greatest asset, In fact, time is far more valuable than money. That is why passive income is so important as it gives you freedom of time. this doesn’t mean you have total freedom from all of life’s obligations; it simply means that you have the flexibility that comes along with not having to struggle to make ends meet at the end of the month. As long as you can ensure that your passive income outpaces your monthly expenses, you’re free to spend your time as you choose.

You can engage additional passive-income streams of revenue. The choice is yours. You have the freedom to choose because you have the freedom of time. That’s the power of passive income. What is your opinion on these categories of income .. leave the comment in the comment section below!

Happy Investing!