Tips on Making a Residual Income

People love making residual income. You must be wondering that what a residual income is really about. I must tell you that residual incomes are the income which is received regularly with a little effort to maintain it. You must have heard about royalties, pensions, and interests on shares. What are these all? They are residual income which we make regularly. Just tell me what job you do for the shares? What job you do for the pensions? What job you do for the royalties? You will certainly have only one answer and that is, "no we do not have to do any work", we just collect the money. You must have done the good work some time before and that is what you are paid for. You might have written a great book and hence you go on getting the royalty ever since the publication is carried.

Rental from property is also an example of residual income. You just collect the rental every month and your job is just to check whether the house is well maintained or not. If there is some repairing to be done then you are required to manage it. But just tell me that what other job you do? Yes, your answer will be surely no. in fact you are paid because you are a landlord and you should get the rental. I just want to emphasize that these all are a kind of residual income.

Emerging cottage industry:

With the release of web 2.0, the concept of residual income became a nucleus of an informal grass root and emerging cottage industry of independent individuals, who use a combination of their life story, personality, interest and practical knowledge, to produce an engaging content. I must tell that these fellows are never paid by any body. They get their payment through the advertisements which are shown on their website. There are no registrations, subscription or any other kind of fees. However it is not really known that how far they can earn for this business. The long tail effect can partly explain why they have survived.

I must tell you that as far as cottage industry is concerned there is not really any thing which you can really say affects you, however you still earns money. Then, why can not we say that it is also a kind of residual income.

I must tell you that residual income is not really guarantied for a long time. You might be getting pension at the time but you can not really say that when the government changes its policy and ban the pension plans. However I must say that the further it goes, you will be more profitable.