As of 3 years ago I started to heavily invest in passive income streams. I have to say it was one of the best decisions I have made in my life and I want to share that with you today.

The Goal

Passive income is where you put your money/ time and effort into something which continues to pay you back after that initial investment of money/ time or effort has been put in.

This comes in many shapes for example investing money into a dividend stock, creating your own course or simply doing something kind for someone else.

These actions then produce Dividends or Passive income for you. This passive income is income which continues to flow into you without putting forth anything else.

While it does take time to build up you will eventually hit a point at which you beat that hill and start substituting your income.

How To Achieve This

This is achieved by taking a portion of your income and investing it into income generating opportunities. Of course this comes with some risk and you should always do your own research before investing. Also while we are here this is NOT financial advice and should be considered as entertainment purposes only.

Income can be generated from investing into stocks that pay dividends.

Some examples of this would be T (AT&T) This stock is currently priced at $33.65 a share and pays a 6.10% dividend or $2.04 per share per year in quarterly payments of $0.51

This means for every share you own and hold on to you get $0.51 every 3 months or roughly $0.17 of income every month.

Buy 100 shares you are now looking at $17 a month 1,000 shares $170 a month and so forth.

*NOTE Dividends can rise and fall depending on how well or if they company wishes to pay them out. They are not guaranteed so always researching into a company first before investing in it.

From the example above we can see that it takes some time to build a decent income however some of these dividends (and again seek tax advice from a professional first) can be taxed at a lower rate considered long term capital gains at just 15% This in essence allows you to earn less money from these stocks but your take home pay would be the same since your "job" most likely has you falling into a higher tax.

Lets say in the above example you put away $300 a month - this should be very possible with making a few adjustments in your life. Such as stop eating out as much, doing a side hustle etc.it's the freaking internet there are 101 ways to make an extra $300 a month lol

$300 a month turns into $3,600 a year

If the stock price stayed about the same you would have around 106 shares in a years time and be earning (if the dividend remained the same remember it could go up or down) $18.02 a month or $216.24 a year.

Now do this for the next 3 years of your life - $54.06 a month or $648.72 a year.

The next 5 years - $90.10 a month or $1,081.20 a year.

Also remember you could reinvest those dividends into more dividend paying stocks further compounding and increasing your possible dividend payments.

There are also other options such as Fundrise which allows you to invest into real estate.
Click Here To Check Out Fundrise

Get free stock shares simply by joining and depositing some funds.

Click Here To Join Robinhood and get a free stock when you confirm and deposit $100 In your Account

Click Here To Join Webull and get a free stock when you confirm your account. Then Another When You Deposit!

It honestly becomes that easy, take up free offers whenever you can, invest your money and do it smart with research. Building wealth is possible and it starts by the steps you take right now!