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Active vs Passive Income: What is the Difference Both? With Story

What do you think before you start your business? What kind of income do you want to generate in your business? Active vs Passive Income? You may know. I do not know which mode my business income will go, if you do not know then you must read this article, today we will discuss with you the subject of Active Income and Passive Income. We will tell you this as an example (in the form of a story, with a real generation). Active vs Passive Income, but What is both difference?

Active Income Definition

Active income means that as long as you remain active in business, then you will have income when you are active, then your income will stop! (As long as you are connected to the business, your income will be generated when you are disconnected from the business, then your income will stop being generated. This formula is called active income.

Active ordinary income Small Story

There was a village. The name of the village was Jalalpur. There was a young man named Rama in that village. The total settlement in that village was 160-160. There was a problem with water in that village. The problem was that the villagers had to go 03 kilometers away from the village to get water. Then Rama got the idea one day. That the people of the village go so far to take water.

Active vs Passive Income: What is the Difference Both? With Story

If I bring water to the villagers and reach their home, then I will get money. Then Rama talked to the villager that if I bring you water from time to time, then how much money will you give us. The villager said that we will give you money instead. So Rama talked about the villagers. The villager said that we will give you 1 rupee for 5 liters of water. Rama said we are allowed.

The villager said that we have some conditions. Then Rama said what conditions you people have, the villager told you, we will give you cash every day. On the day you will not get water, you will not get the money. Then Rama accepted the condition of the village. Then Rama started his work. Worked according to the condition of the villager. But after a few days,

Rama’s health worsens, then did not go to provide that water. He did not even get that day’s income. It is obvious. As long as Rama gives the villagers water, he will get money. So you will be born with a business story of Rama, (As long as you stay connected with the business, your income will be generated when you are disconnected from the business, then your income will stop being generated.)

Passive Income Definition

Passive income means when you build a business that once you spend your capital and your team together build such a business. Where you do not need to do any kind of hard work in that business for the second time and your income gets generated. Whether you remain active in that business or not, that business will not make any difference. Even if you are on leave for 10 days, your income will continue to be generated, so it is called passive income! (When you work hard once you will build a business. Then you will not have any effect on income. This formula is called passive income.)

Active ordinary Passive Small Story

Like we have mentioned the topic of active income. In the same village, a second boy in the same village after doing a Shyama comes to the same village. Shyama thought that Rama was sick. And the villagers are not getting service in a good way. And the villager told Shyama that if we bring water every day, then we will give you money.

Active vs Passive Income: What is the Difference Both? With Story

Just like we used to give money to Rama, in the same way, the villager said that Shyama, do you agree to do this work? So Shyama said yes I agree. Then Shyama thought in his mind that how should I build this work? Shyama was also thinking that if Rama’s health has deteriorated, my condition will be like Rama. Then Shyama thought on one thing that if the villagers bring water from where they can put a pipe and connect the pipe to everyone’s house, then the direct villager can use as much water as he wants.

So just like this, Shyama did this work. And villagers will also be able to use water from time to time. And my income will also be per day. Whether I take leave in this business or neither do I have any problem nor do I have any problem. (So ​​the friends that Shyama has worked with have generated their own passive income. So this process is called passive income. When you work hard once you will build a business. Then you have no impact on income. Will not. This formula is called passive income.)

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