• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Wealth Pilgrim

No Money Worries. No Matter What.

Neal Frankle featured in
  • Home
  • Life Insurance
  • Investing
    • Build Strong Investment Building Blocks To Avoid Going Broke In Retirement
    • Systematic Mutual Fund and ETF Investing
    • Stock Market Investing Guide
    • Choosing the Right Investment Brokerage Guide
    • How Bonds Work Guide
    • How Banks Really Work Guide
    • Annuities – What You Need To Know Before You Invest
    • A Beginners Guide To Buying Individual Stocks
    • Create A Pool Of Great Mutual Funds and ETFs To Pick From To Secure Your Retirement
    • ETF and Index Fund Investment Guide
  • Earn More
  • Banking
  • Retirement Planning
    • Retirement Guide
  • Ask Neal a Question
  • Reviews
    • Upgrade Personal Loans Review
    • Lending Club Review
    • Prosper Review
    • Ally Invest TradeKing Review
    • CIT Bank Review
    • LegalZoom Review
    • Lexington Law Review
    • Airbnb Host Review
    • Should You Drive For Uber?
  • Tax
  • Courses
    • Raise Your Credit Score So You Can Buy a House – Free Video Course

How To Create Passive Income

by Neal Frankle, CFP ®, The article represents the author's opinion. This post may contain affiliate links. Please read our disclosure for more info.

We’ve talked about passive income before. Now let’s get to work and start getting that big money wheel to turn your way. There are 3 things you need to do in order to start building your passive income empire:

A . Educate Yourself

Even if somebody offers you a “deal of a lifetime” don’t throw your money into anything until you understand it (and your alternatives) completely. Sure, you might pass up a great passive investment by slowing down. So what?

If experience is any indication, the odds are stacked squarely against any investor who doesn’t understand what he or she is getting into. Fortunately it’s not difficult to learn and discover good passive investment ideas. There are plenty of free resources on the net starting right here at Pilgrim-Land.   😀

However you do it, make sure you understand the terrain before you venture out into the investment jungle.

B. Mindset

If you want to put your money to work you have to get out of the “certainty mindset”. There is always uncertainty and risk in equity investments. This is true over the long and short term. There is a lot you can do to reduce your investing risk of course. But you can never eliminate it.

If you can’t stomach some uncertainty, you will find it very difficult to stick with your investment plan. That will lead to big losses and disappointments. Who needs that?

C. Start Small

Most of the wealthy people you know started with nothing. They built their portfolios from the ground up and so can you. If you focus on real estate, buy small properties to start with. This way you learn how real estate works without taking huge risks.

If you want to start with equity stocks and funds it will be easier for you because you can launch an investment program with as little as $50. My best advice if you go this route (which I personally love) is to automate your investments by setting up an auto-deposit every month. This way you don’t even have to think about it. The bank will debit your checking or savings every month and send it to your investment account for you.

Bottom Line

You can either work for your money or let your money work for you. When your money works for you that is called passive income. In order to create serious passive income, you have to educate yourself, get comfortable with risk, start small and automate your investing.

This takes work. It takes patience. But it really pays off.

Are you building up a passive income mega-empire? How?

Tweet
Pin
Share

Reader Interactions

User Generated Content (UGC) Disclosure: Please note that the opinions of the commenters are not necessarily the opinions of this site.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Are You Human? * Time limit is exhausted. Please reload CAPTCHA.

Primary Sidebar

Who is Neal Frankle

Neal Frankle

I'm a CERTIFIED FINANCIAL PLANNER™ Professional with more than 25 years of experience. I feel very blessed and hope to share my personal financial experience and professional wisdom with readers of WealthPilgrim.
Read More »

Stay Connected

Facebook Twitter YouTube RSS

More Categories

Career Development
College Funding
Credit Cards
Credit Score Fixes
Money and Marriage
Debt Relief
Estate Protection
Property Investment Loans
Small Business Strategies
Spend Less Money

Disclaimer

Wealth Pilgrim is not responsible for and does not endorse any advertising, products or resource available from advertisements on this website. Wealth Pilgrim receives compensation from Google for advertising space on this website, but does not control the advertising selection or content. Please do the appropriate research before participating in any third party offers. The information contained in WealthPilgrim.com is for general information or entertainment purposes only and does not constitute professional financial advice. Please contact an independent financial professional for advice regarding your specific situation. Wealth Pilgrim does not provide investment advisory services and is not a registered investment adviser. Neal may provide advisory services through Wealth Resources Group, a registered investment adviser. Wealth Pilgrim and Wealth Resources Group are affiliated companies. In accordance with FTC guidelines, we state that we have a financial relationship with some of the companies mentioned in this website. This may include receiving payments,access to free products and services for product and service reviews and giveaways. Any references to third party products, rates, or websites are subject to change without notice. We do our best to maintain current information, but due to the rapidly changing environment, some information may have changed since it was published. Please do the appropriate research before participating in any third party offers.


About · Contact · Disclaimer & Privacy policy

Copyright © Wealth Pilgrim 2022 All Rights Reserved