Saturday, August 6, 2011

What is more powerful income active or pive and why?

."The Cashflow Quadrant," concept entails 4 groups, split with 2 lines (1 vertical & horizontal, Active Income left E-S & Pive Income right B- I). letter representing a way in which an individual may earn income. .E: Employee-Working for someone else S: Self-employed or Small business owner -person owns his own job and is his own boss. B: Business owner — Where a person owns a "system" of making money, rather than a job to make money. I: Investor — Spending money in order to receive a larger payout in return. 20 % wealth distributed on the left quadrant (E and S),. Conversely, 80% wealth distributed on the right quadrant (B and I) and are supposedly following the only road to true. An income stream falling into this category is one where money is received usually on a regular basis, without continuing effort.This does not mean no effort at all; most pive income streams require great effort to start with..So, pive income is more powerful and hence we should have it.

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