by Calvin Yeo, Managing Director of Doctor Wealth Pte Ltd
While we are all busy building our careers, we tend to focus only on our take home pay. While that is nothing wrong, we should not neglect investing as that could be very rewarding in the long run.
What Is The Difference Between Active Income and Passive Income?
While we are working in a job or a business, the income we get is known as Active income. When we invest in investments and receive income, it is known as Passive Income. The difference is that you give up time in exchange for money in Active Income while we use money to make more money in Passive Income. You are limited by time in building Active Income, but you are only limited by the amount of capital you have in building Passive Income.
Generating Passive Income with Dividends Paying Stocks