5 Ways Passive Income Can Help You Change Your Financial Future

The article was written by and originally published on Entrepreneur.

Take control of your finances and have the life you want to live.

“Don’t let making a living prevent you from making a life.” Said John Wooden. The guy lived for almost 100 years.

Does his statement seem relevant to your current lifestyle? Have you ever wanted to change or improve your financial dependency?

I’m not talking about getting a raise or finding a better-paying job. I am talking about taking control of your finances and living the life you want to live, rather than one that is dictated by someone else’s expectations.

People who don’t have or earn a lot of money may not be able to save for . How are they supposed to live when they can’t work anymore?

What if I told you that there was a way to make money without having to work for it? Would you be interested in learning more about how  can help you change your financial future? It’s true! Passive income is the most effective way of making money with less effort.

What is passive income, and why is it important?

Passive income is any money you make from an investment, property or business that can generate earnings without requiring additional effort on your part. Passive income is an investment that generates additional revenue without extra time or effort from you, which means it’s perfect for people with limited incomes or time to invest.

In simpler words, passive income is what you make when your money works for you. Passive income can come in the form of investing, royalties or even gambling. People looking to get ahead of inflation should consider passive income because it grows faster than regular income due to potential massive gains.

Passive income is necessary because it will help you build wealth and create financial security in the future. It’s always good to have an emergency fund, but with a passive source of cash flow, that emergency fund could be much larger and better equipped for unexpected expenses.

The first and most important thing to know about passive income is what it is not. It’s not something you can earn from a regular job. You have to put in the work up front to develop the systems so don’t expect to get rich quickly with this type of income.

5 ways passive income can help you change your financial future

Do you want to change your financial future? Do you want the freedom to work on what you love, rather than having to go into a job that pays well but leaves little time for anything else? If so, passive income could be the answer.

Let’s get to know exactly how it can help you for your finances in the future.

1. Freedom of time

Do you ever wish you could spend more time with your family without constantly thinking about meeting monthly financial deadlines? Do you wish you could take the time off from your regular job without worrying about eating up PTO hours or sick time? Time freedom is the biggest and most important benefit of passive income. Being able to generate income for your family while you’re sleeping, or spending time with your loved ones is life-changing.

Passive income provides stability and security for those who don’t want the worries associated with running their businesses or being self-employed while still allowing them freedom from the 9:00 am to 5:00 pm work day.

Passive income opens up opportunities for people who are employed in corporate America, and those who are operating their own companies to have the time available to invest in what they are passionate about, without the financial pressure they are used to. If you love working at your regular job, but it doesn’t provide the income you need, passive income could be the answer you’re looking for.

2. Less stress and fear of the future

It’s no surprise that money is a major source of stress for many people today. It appears that most individuals have some amount of worry about finances that can lead them down anxious paths, including depression. Money isn’t the most important thing in life, but it certainly makes things easier!

According to a Merrill Edge report, the majority of Americans (56%) would prefer to choose a partner who could provide them with financial stability rather than one who would give them a head over heels love. How sad is that? Imagine giving up on your dreams, or living through an unhappy relationship because you have to make sure the bills are paid.

Making enough money to live comfortably without having to worry can completely change your life and level of happiness. Would erasing the stress of where the bill money was going to come from change your life for the better? I know it did mine. Adding passive income that works for me made me feel like I could finally just enjoy the life going on around me.

After questioning more than 12,000 individuals who had previously applied for loans to eliminate their credit card debt, a survey conducted by Harvard concluded that people who had at least $500 cash on hand showed 15% higher life satisfaction than those who didn’t.

If we talk about well-being subjectively, on average, wealthier people are always happier and more contented with life.

Fear of the future limits our quality of life, making it difficult to enjoy today. A passive income can prevent this as you no longer have to worry about having enough money at month’s-end for your regular costs and bills. All these benefits make us feel better mentally, emotionally and physically.

3. Ability to live and work from anywhere

Many people like to have the freedom and independence that comes from passive income. You can live and travel wherever you want, without worrying about your job at any specific location.

For those who dream of traveling around the world but are unable to, due to their nine-to-five jobs or other obligations, this could be an incredible opportunity. This is a chance to live life on one’s own terms while still being able to take advantage of financial stability without sacrificing passion in any way.

Passive income allows us to take care of the cravings of our hearts by traveling to incredible places without worrying about our financial future.

4. New horizons for growth and stability

You know, when you’re able to make money just by doing something you love and not having a boss watching over your shoulder telling you what to do all day long, it is something heavenly. That increases your productivity and gives you ample time to divert your attention to more important things to help you grow more and make more.

When your income is automatically transferred to a savings account, you don’t need to worry about meeting expenses at month’s-end by exchanging direct time for money. This helps create fiscal clarity, which fuels our goal: future financial stability!

Instead of having to run off to your office every day and indulge in mentally exhausting work, you will be able to train yourself to focus on things that will make you grow and prosper over time.

5. Pursue what you love

We all have things that we’re passionate about doing in life. Unfortunately, the moment something comes up, our passion becomes a distant memory, and instead, it’s replaced with anxiety over bills or just getting by each day on what little money is left from last week’s paycheck.

Passive income frees you from debt so you can indulge your fantasies without worrying if next week is going to be any better than this one was.

Passive income allows you to go debt-free or at the very least financially independent from your job or partner. Passive income means giving yourself time for whatever makes you happiest: music, dance classes or culinary art (perhaps in Italy?), artistry of all kinds…whatever brings inner happiness without having anything holding back those desires anymore.

Conclusion

Passive income is the prospect that can help you significantly change your financial future. I have discussed why it’s important and how it can make your future financially secure and enjoyable. It may not be easy, but if you are willing to put in the work right now to build passive income streams, then there will be huge rewards waiting for you later in life.

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

How To Create 7 Streams of Income for Passive Wealth

The article was written by Samuel Leeds and was originally published on Entrepreneur.

You may have heard that millionaires often have seven streams of income. Here is how to secure yours!

If you have been consuming a lot of wealth content recently, you probably heard that many millionaires have seven income streams. Indeed, even the Bible says you should invest in seven different ventures. Having various income sources is very important, but that doesn’t mean that the advice out there about this subject is actually helpful.

Many people online tell you to start different businesses or side hustles all at once. As a highly successful property investor, I don’t recommend that approach. From my perspective, you are better off specializing and creating many complementary income streams related to your specialization. This allows you to carve out your niche, become known within it and avoid falling for shiny object syndrome, where you hop from opportunity to opportunity.

There is a way to create seven streams of income sustainably. In this article, I will give you a way to make those income streams in three simple, actionable steps. Whether they are suitable for you is for you to decide. I am not a financial adviser; that said, I am a multi-millionaire, and all this is based on my personal experience. Hopefully, you will find my experiences helpful, regardless of the path you choose for yourself.

1. Develop a business strategy to create an active income

You need a way to generate money to invest. As wages aren’t rising at the rate of , I suggest doing this through a business rather than a job. This should be an actual business, not a side hustle. You will get side hustle results if you have a side hustle mindset.

On the other hand, you don’t want to quit your job before you can afford to do so with the income generated by your business. So you will need to find something that you can scale but that, in the beginning, you can do in your spare time.

You also want to find something you can eventually own without needing to work in the business. This means that there must be a way for employees or contractors to take over the work you will initially be doing yourself. This will allow you to sell the business in the future or keep it as a source of  and move on to a new business.

An example of this type of business in the property industry would be deal sourcing. Deal sourcing is finding property deals and then selling the information to investors. You can charge a few thousand dollars per deal. Over time, you can hire staff to take over the day-to-day and turn it into a passive income source.

2. Develop an investment strategy to create passive income

The next thing you need to do is invest your money. You need to find assets to buy that pay you to hold them. This will become your source of passive income. This will need to be a reasonably conservative, time-tested investment that will protect your money long-term. This will be your primary investment strategy, so it isn’t something that you want to be changing every month.

Never buy luxuries with your active income; that is for essentials and investing. You can use the money from your passive income source to reinvest and buy luxuries. Eventually, you can live fully off your passive income and invest all your business profits into your investment strategy and back into your business. This will place you in an excellent position to diversify into five new income streams to make the seven.

An excellent example of a property investment strategy that can generate passive income would be buying large houses and renting them out by the room. You will need to put management in place, so you don’t need to deal with tenants yourself. Once you have several houses, you may also need to hire more managers to manage your leadership and ensure the entire operation is passive.

3. Diversify based on your niche

At this point, you only have two streams of income: business and investment. Now is the time to create five more. These should be based on your industry for the most part. Don’t try and go too far outside of your area of expertise. If you’re in the cryptocurrency niche, suddenly writing a cookbook probably isn’t the right move. You want to think about ways to expand within your niche.

Some examples of this might be: writing a book about what you do and how you do it, creating a course; starting a new business that complements your existing one; angel investing in startups within your space; or buying companies you can integrate into your existing structures. If you follow this formula, I believe you can and will succeed!

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

Energy Crisis Tests Resilience of Italian Businesses

The article was originally written by  and published on Reuters.

Italian media had only just begun talking about the threat of winter gas rationing when Marco Checchi sprung into action to ensure bottle top maker Pelliconi would continue to supply customers including Coca-Cola, Heineken and Guinness.

Pelliconi, which produces 35 billion bottle tops a year, mostly in Italy but also in Egypt and China, stepped up production of energy-intensive semi-finished goods, invested in solar panels and commissioned a prototype of a new digital printer for metal sheets that did not require gas ovens.

“When you run a business, if you keep hearing on the news that gas supplies are at risk, you’ve got to do something. It’s not like you can start screaming and stamping your foot when they actually do halt flows for two hours a day,” Checchi told Reuters.

Like other Italian businesses wrestling with the energy crisis sparked by the Ukraine war, Pelliconi has seen costs for electricity and gas more than triple in relation to turnover this year, compounding problems posed by higher steel prices.

In some cases it has been able to pass on almost two thirds of the cost increases to its customers and plans to further hike prices next year.

Higher prices contributed to the 16.2% rise in manufacturing turnover Italy reported in July on a calendar adjusted basis, but volumes also increased by 1.7%. That broadly compares with a 0.8% yearly drop in Germany.

DARKENING PICTURE

Traditionally the laggard among the biggest euro zone economies, Italy has experienced a more vigorous post-pandemic rebound in terms of industrial output than France and Germany, Intesa Sanpaolo economist Paolo Mameli said.

After growth exceeded expectations in the first half, the situation has worsened rapidly and the government now expects the Italian economy to have shrunk in the third quarter, with the contraction seen lasting until mid-2023.

Investors have trouble gauging the depth of the slump awaiting the European economy and debt-laden Italy.

“The euro area outlook remains unusually uncertain,” Goldman Sachs economists said.

The coping strategies adopted by firms like Bologna-based Pelliconi are an element in the equation that will determine the final outcome, according to UniCredit CEO Andrea Orcel.

“Companies are adjusting, it’s wrong to assume they aren’t. We see that all the time when we look at our clients: businesses are reorganising their value chains, their logistics, everything,” he recently told a labour conference.

“So far households and companies have proven more resilient than anticipated … markets worry a lot over Italy’s performance within the euro zone overlooking the fact that Italy keeps growing more than France or Germany,” he added, noting that corporate deposits were up 35% from pre-pandemic levels.

UniCredit, which is financing companies’ investments to boost installed capacity for renewable energy, said some of its customers in non-energy intensive sectors were able to generate independently 30-40% of their power needs, in some cases as much as 50%.

Most companies are rushing to install solar panels, but some are more ambitious. Fastener maker SBE-Varvit has secured 400 gas containers that will be shipped to its plant in north eastern Italy by January to offset any shortages.

Even in a battered industry like ceramics, which like the glass and paper sectors has been hit hard by soaring energy bills, high-end tile maker Italcer expects to cover a quarter of its energy consumption once it completes the two combined heat and power plants it is building.

“Already in September 2021 there were warnings of what was to come,” CEO Graziano Verdi told Reuters, adding Italcer faced an extra 60 million euros in costs for gas and electricity this year – accounting for 70% of manufacturing costs from 20% previously.

“We invested 10 million euros to build two cogeneration plants and save 4 million euros this year,” he said, adding Italcer saved another million by reducing the tiles’ thickness to 8.5 from 10 millimetres.

“We raised prices by 30-35% with a good market response. A weaker euro certainly helped, as did the government’s support measures.”

Outgoing Prime Minister Mario Draghi’s government has set aside 66 billion euros so far this year for tax breaks and subsidies to help energy-intensive firms and poor households.

Italian business lobby Confindustria has warned of an “economic earthquake”, saying the new government will struggle to offset the hit from energy prices on firms like Draghi managed to do without hurting Italy’s fragile public finances.

Veteran banker Corrado Passera said the crises had operated a natural selection among businesses and his digital lender illimity ILTY.MI continued to face growing requests to fund acquisitions, or innovation and internalisation projects.

“When you speak to business owners in private … outside Confindustria … they have great confidence about their ability to react,” Giuseppe Castagna, who leads Italy’s third-biggest bank Banco BPM BAMI.MI, said recently.

How to Start Investing with Foundation Capital

For information on how to make a capital investment in this difficult time, please get in touch with us to generate a sustainable passive income stream. Foundation Capital is one of the most reliable organizations to invest in as our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction and energy industries.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

4 Passive Income Strategies to Free Your Mind and Time

How stressed out it is when we keep working to earn income or live paycheck to paycheck. After a lifetime of working hard, we deserve some time in our retirement “golden years” to relax, travel, or do nothing. It is not that difficult to have freedom and comfort in our retirement. The key is a passive stream of income which most of us can achieve as long as we develop a solid plan and the right investment strategies.

Prioritize “dividends payment” to reduce stress over the ups and downs of the stock market

It is obvious that investing in stocks with dividends is more beneficial to shareholders. Dividends are periodic payments made by companies to owners of their stock. They are means for a company to share some of its revenue with investors who own an equity interest in the company. Dividends are beneficial to many shareholders because they represent additional returns on investments. Investing into stock with dividends, investors can receive a regular income from their equity investment while holding the stock to profit further from appreciation in the share price.

We can say that dividends are money in hand while the stocks rise and fall in the market when they can offer potential downside defense during market sell-offs. Besides, dividends provide investors with income to help meet immediate cash needs –  things that retirees might increasingly look to them for, especially in low-interest-rate environments. And companies that have consistently increased their dividends tend to be well-run businesses. Those companies may historically have weathered downturns but have more significant return potential over time.

Small step into real estate investment with REIT

Clearly, real estate has several opportunities and formats that may interest you when talking about the highest interest rate investment types. So far, investing in REIT has been the easiest way to start. With REIT, you don’t need to do any work other than research and follow the investment. The process is very similar to mutual funds: you buy shares, contribute money then gain monetary benefit in return.

REITs are also a low-cost investment because shares of most REITs trade for less than $100 each. That’s why your investment is spread out over a portfolio of real estate properties.

Moreover, REITs are required to return at least 90% of the income to investors as dividends. Besides, they are generally straightforward to get involved in, like mutual funds, making it a great passive income option for many investors.

A downside to this investment opportunity is that REITs will generate lower returns on average than other passive income real estate opportunities. However, if you do have enough savings to invest in different types of property investment but still do not want to miss out on earning opportunities with real estate, this may be a proper choice.

Keep at least a 100% safe investment in your portfolio by investing in Leasing and buying back company

Lease and buyback is an investment type that delivers what is known as ‘passive’ or ‘unearned’ income. The mechanism is quite simple: you own something (machinery, equipment, etc.), rent it to somebody else, sit back and receive cash payments into your bank account every month.

How can you do it? Which equipment/mechanism do you buy, and to whom do you rent it out? How can you follow the leasing process? Some companies manage the whole process for you. The companies will put the contracts in place to enable you to buy machinery and equipment as an asset. Then, they lease your equipment to those businesses managing the projects, earning you a monthly income.

And as the name suggests, at the end of five years (or longer), you can get your money back by selling the asset at the price you paid. By this premise, all you need to do is to send your money for investment, then wait to see the return at the end of the month, without any stress, or learn and trade to assure the interest.

Obviously, leasing and buyback will work best when it comes to industries with sustainable development. Also, the investment company must develop strict business relationships with the companies that lease the equipment, verifying their creditworthiness through a rigorous audit process.

Lease and buyback is a great way to invest without the stress.

Being the very first and unique company that applies the leasing and buyback model, Foundation Capital reaches all those requirements with guaranteed buy-back, highly qualified investment consultants, and credible strategic partnerships. Over the past 12 years, Foundation Capital has paid back the belief of tons of customers when assuring them at least 16% annual interest investment and a sustainable source of passive income with 100% capital preservation.

One of the greatest things is that foundation Capital’s capacity is no longer limited in the construction industry as it used to be. The company is on the way to completing the final steps to apply its model to other industries, such as medical equipment, medical machinery, and transportation machinery.

Start investing with Foundation Capital 

Secure your passive income with a diversified portfolio

There is one thing you need to bear in mind when it comes to long-term investing: You cannot, or rather should not, depend on one investment asset.

When diversifying your portfolio, you will incorporate a variety of different asset types into your portfolio. Diversification can help you to reduce your investment risk and also augments returns. When market events affect each asset differently, one asset’s performance can not affect other assets or your entire portfolio.

There are basically two ways to diversify your portfolio: across asset classes and within asset classes. You can apply both of them.

When you choose to diversify across asset classes, you spread your investments across multiple types of assets. For example, rather than investing in only stocks, you may also invest in bonds, real estate, and more. When you diversify within an asset class, you will spread your investments across many investments within a specific type of asset. For the exam, rather than buying stock in a single company, you will buy stock from various companies of many different sizes and sectors. This is always a risk-hedging strategy.

You may want to read more:

Tips to secure your passive income journey 

Keep yourself away from FOMO for a safe investment 

Financial habits to secure your future 

Create Financial Stability amid The Energy Crisis

There are always chances to grow during a tough time, as long as you can see and grab the opportunities – this is always true, even for investment. Instead of complaining about how rising gas and oil costs make you suffer, let’s figure out the key to get you out of this situation and head to life with financial stability.

Efforts to find more streams of income during the crisis

Tough time for everyone

According to the World Bank, The Ukraine war made inflation a global phenomenon – impacting 100% of advanced countries and 87% of emerging markets and developing economies. The energy price shock is the main factor driving inflation in many European countries to the highest levels in three to four decades. As in England, it is expected that inflation in October 2022 will reach 13%, while in the Eurozone, this figure has fluctuated around 10%.

Consequently, the cost of living has been dramatically increasing. The price of food, goods, energy, and fuel has been increasing the most due to customers’ high demand and supply chain problems. Households are scrambling to pay their bills for all kinds of goods. Food prices will soar by 22.9% this year, highlighted by a 40% rise in wheat prices.

This is when many people are in a hurry to find more ways, primarily by passive income on security investment with the hope of surviving the high inflation.

What is the way out?

Unfortunately, throughout this time, most investing schemes offer no sustainable returns. The ups and downs of stock markets come as a reminder that it pays to have a more diversified investment portfolio that is not too concentrated in stock because of the unsettling events of enterprises. Crypto activity determined as “high risk” or “illicit” has surged in Eastern Europe since the start of the war, according to blockchain analytics firm Chainalysis. Chainalysis reveals that 18.2% of all crypto transactions in Eastern Europe are associated with risky or illicit activity. Interaction with high-risk cryptocurrency exchanges, which often don’t require users to submit know-your-customer (KYC) information, accounts for a fraction of dangerous behavior in Eastern Europe. The yellow metal used to be a good choice until Gold prices dropped in 6 months and seem to have yet to reach its bottom. The uncertainties also happen to other assets when currency investment is unstable, and real estate investments are still unaffordable to many people.

So, what can we do now? As the media often says lately, the current situation often leads to the talk of moving money to safe investments, and this applies to even well-informed investors. Fortunately, of crises, longer-term investment opportunities will be born. During a year of the financial crisis, war, global recession, and trade imbalances, the safest investment is what the world needs the most: Investing in energy.

Besides a 50 percent increase between January 2020 and December 2021, the World Bank reports that the energy price index grew by 26.3% between January and April 2022. The substantial rises in the price of coal, oil, and natural gas are reflected in this spike. Russia is the primary resource to the whole of Europe when providing 40 percent of supplies to Europe before the war. That means the continent is rushing to find another supplier of fossil fuels to make up for that loss, which leads to the fact that There’s no stopping Europe’s gas bills.

At the end of August, future gas prices at the Title Transfer Facility (TTF), the continent’s leading trading hub, reached €321 per megawatt-hour, a stratospheric figure compared to the €27 set a year ago. “The next five to 10 winters will be difficult,” – Belgian Prime Minister Alexander De Croo has warned. It proved to be true when the country’s energy regulator Ofgem announced in September that the hike means the average household will pay €4,182 (£3,549) each year to heat and power their homes unless the government steps in. Those figures prove that investing in energy and equipment is one of the most potential choices.

The question is, for individual investors, what energy-related assets have been the most suitable investment?  And if you are still confused, let’s take this new asset into your portfolio adjusting: Invest in gas/oil tank containers.

Why Gas/Oil tank containers?

The potential of Fuel storage investment itself

The storage containers market has the potential to grow itself as unreplaceable shipping devices. Shipping containers transport ninety percent of the world’s cargo. The number of containers keeps increasing. According to Statista, in 2021, the total throughput container was 849 million TEU (TEU stands for Twenty-foot Equivalent Unit, the length of a standard shipping container)

The global fuel storage containers market was valued at US$ 25 billion in 2021 and is expected to grow by 4% year on year to US$ 26.13 billion in 2022. During the projected period of 2022–2032, demand is anticipated to grow at a value CAGR of 4.5%, reaching US$ 40.57 billion. Overall, the market for gasoline storage containers will continue to grow, with a remarkable CAGR shown from 2015 to 2021.

Additionally, the market for fuel storage containers is anticipated to develop from 2022 to 2032 due to high product availability and customization in accordance with industrial and commercial requirements. With excellent potential and about a third of the market, North America will continue to lead during the projected period.

How LNG gas is transported.

The demand for energy transportation and reserve is getting higher

The impact of Covid 19 to shipping prices, together with the extremely high gas price, are additional factors to its expansion. National governments are racing to find alternative supplies now that Russia has cut off one-third of the continent’s gas supplies. This is the opportunity for others to become temporary energy suppliers for Europe. How much forward contracts in the wholesale markets for gas supply months or years ahead have started to rise is one of the most concerning developments in recent weeks. Oil and gas tank containers that can save costs (for instance, by storing more goods per slot and being adaptable for transportation) come in handy.

Besides, the demand to reserve more fossil fuels may be considered. Since we cannot know if the world may suffer from any other crisis, countries must search for backup solutions to avoid the run out of energy before having a reliable and sustainable supplier to the market. That means they may need more facilities, such as gas containers, to reserve fossil fuels in the worst cases. For example, the UK., which does not have extensive gas storage facilities like other European countries, have been filling them over the spring and summer for the winter. They are planning to reopen Rough, the UK’s largest storage facility mothballed in 2017, which will come too late for this year.

The rise has yet to reach its peak

It is predicted that the price of energy storage, under the impact of the gas price surge, is expected to keep increasing, especially when Europe is facing a deepening energy crisis as it prepares for a cold winter, leading gas prices to new record highs. The other supplies are running low, stoking fears.

Norway is currently pumping as much as it can, but its capacity is maxed out. New supplies, such as liquefied natural gas, must take time to come online because countries such as Germany first must build specialized terminals to receive the ships. The limited resources make millions of people live at insanely high prices, the most obscene being the going rate of natural gas.

Besides the effort to propose a cap to tackle extraordinarily high gas prices, The European Commission is at its best to find and transport more energy from new suppliers and store energy as much as its can.

Get passive income from energy in a unique, safe, and profitable investment model with Foundation Capital

The investing scheme is quite simple. First, purchase your tank container of choice, then you can rent it to storing or transporting companies that will pay you monthly for the rental.

Sound interesting, but here comes a big question: how can you manage to purchase and rent out those giant devices? Where can you find viable opportunities to purchase tank containers, and whom do you rend it to with high-rate interest?

The good news is that you do not need to worry about that since Foundation Capital is here to get you to take part in this incredibly lucrative opportunity. Since its inception in 2007, Foundation Capital has specialized in providing investors with access to the construction and energy sectors by purchasing and owning the equipment and technology required for megastructure development, healthcare, and energy.

The step to invest in Gas/oil container with Foundation Capital:

Step 1: You access the broad portfolio of oil and gas tank containers and decide on the one that suits your budget or investing plans. Our management support will help you to find the most suitable strategy for your investment goals and budget. You have the choice between a fixed 14% return or a floating rate return which historically has delivered higher income (with returns of up to 26% per annum)

Step 2: Foundation capital will help you to lease these tank containers to businesses whose operation depends on them. We will help to follow and manage the leasing process for you.

Step 3: All you need to do is sit back and wait for monthly income. We will keep you updated with all information from the leasing and support you with any concerns.

Step 4: You can recoup your investment by selling these assets for the original purchase price at the end of five-year contracts. We guarantee that your investment is effective, adaptable, and 100 percent secure.

Through that plan, Foundation Capital is confident to guarantee that the assets are secured and insured and that you are also guaranteed straightforward exit plans free of additional costs or ambiguous terms. Because of this, we have amassed clients’ trust worldwide for more than 14 years.

For additional information on how to make a capital investment in these oil and gas tank containers, please get in touch with us.

How to Start Investing with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

The Difference Between Passive and Residual Income

The article was written by Meredith Dietz and was originally published on LifeHacker.

The thought of earning money without doing any active work sounds pretty nice. When people talk about “earning money while you sleep” (even though that’s a myth), they’re usually referring to passive or residual income. Although the two terms are often used interchangeably, there are some key differences between them. Here’s what to know about the differences between passive and residual income, and what they mean for you bringing in some extra cash.

What is passive income?

In theory, passive income is what it sounds like: Money you earn without performing the active labor of a typical day job. This income starts to flow after putting in a certain amount of time or money upfront, with minimal ongoing effort after your initial investment.

Examples of passive income include renting a spare room through a home-share app or selling clothes online. Then again, most things that are considered passive income (real estate, book royalties, online sales, etc) take a lot more work and consistent effort than financial gurus would have you believe.

What is residual income?

According to Investopedia, there are three main definitions of what residual income means in different contexts (personal finance, corporate finance, or equity valuation). In personal finance terms—our primary concern here—residual income is any leftover income someone has after they pay all of their debts and bills. If you are applying for a loan, your residual income is used to help figure out your creditworthiness as a borrower. It’s essentially another term for discretionary income.

This definition means that residual income is often passive; it does not mean that passive income is necessarily residual. In fact, residual money from your main source of income could be used to support a new passive income endeavor. Both passive and residual income are taxable, although not at the same rates as active income.

The bottom line

While both residual and passive income can boost your financial security, passive income is going to have a greater impact, as explained on Indeed.com. Think about it this way: Let’s say you pay all your bills and reduce your debt by $500 dollars one month, thus creating $500 in residual income. If you also rented out a vacation home that same month, you might have made over $1,000 in passive income—clearly a more significant gain. The caveat here, of course, is how you define “passive” when it comes to booking and maintaining that rental property.

Ultimately, when people are talking about extra cash flow with minimal effort, they’re referring to passive income over residual. You might need residual income to get your “side hustles” off the ground, and then that passive income can increase your total residual income—all the money remaining once your bills are paid.

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

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(Support) Construction Investments Vs. Others

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Eliminate Global Inflation

With inflation rates rising and interest rates on the decline, regular income is decreasing in its actual worth. While there is nothing to do about inflation itself, investors can give earning potential a boost with inflation-busting passive income. Foundation Capital offers investment opportunities in the soaring medical, construction, and transportation industries that can help investors earn money with little maintenance, great security, and excellent returns.

Raging Inflation Leaves You With Less Spending Power

Inflation is making headlines around the world as it has risen from 6% to 9% in more than half of the economies. Rising prices in core areas of budgets and the consequent devaluation of the currency have left investors with a significant granted financial hit in the last two years.

Take Greece for example, inflation has risen to a record high of 12% nationwide and is expected to rise even higher in the upcoming months. Consequently, the income there is losing real-world purchasing power even as wages are reported to be rising at the fastest rate in years. As the Consumer Price Index continues to soar, if your regular income has not adequately increased, you are losing money.

For example, if you have €10,000 in your bank savings and inflation is at 12%, one year from now, your €10,000 will be worth €8,800 or less.

How Inflation Reduces Your Spending Power

Capital Less Inflation
(decreasing your capital by 12%)
Your Net Spending Power
Year 1 € 10,000.00 -€ 1,200.00 € 8,800.00
Year 2 € 8,800.00 -€ 1,200.00 € 7,600.00

As a result, if inflation goes unchecked, your capital reserves will inevitably be depleted. There are levers you can pull, in terms of jobs or spending, in order to diminish the impact of inflation. Nevertheless, most of these require major changes and cutbacks that are risky or excessive. Yet, when you find a sustainable stream to generate passive income from your capital, the problem can be managed.

Rising inflation creates global financial pressure.

How Passive Income Can Solve The Inflation Problem

There is a reason why the concept of passive income has gained significant traction of late. As a low-effort solution to investing, it generates an effective stream of income with little or no maintenance. Thus, passive income can assist you in keeping inflation and its impacts at bay.

In particular, in order to preserve your capital and protect it from being lost to inflation, you can use it to produce passive income, thus protecting and maintaining your spending power. For example, if you invest your capital in an income-producing vehicle delivering over 12% then you protect your capital and make a profit, thus increasing your spending power.

Capital Less Inflation (decreasing your capital by 12%) Plus Rental Income (19%) Your Net Spending Power
Year 1 € 10,000.00 -€ 1,200.00 +€ 1,900.00 € 10,700.00
Year 2 € 8,800.00 -€ 1,200.00 +€ 1,900.00 € 11,400.00

Hence, income will not only provide you with liquidity for basic monthly essentials, such as food, energy, and fuel, it will also protect your capital and preserve it, and is therefore of the highest importance during this inflationary time. If you have passive income, your net spending power will be 50% higher than if you don’t.

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, industrial equipment for construction, transport and healthcare are the most reliable assets to invest in that deliver double-digit returns. Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to these industries.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

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Tough Times For Everyone But U.S Gas And Tank Shipments

Rising oil and gas prices are frustrating, but there are tactics you can take to navigate your financial goals amid the unusual situation. Notably, oil and gas tank containers offer an unconventional yet smart way to maximize this opportunity.

The U.S. to Top Slot of Exporters amid Energy Crisis

Until recently, Russia supplied around 40% of the E.U’s gas needs. Since the invasion of Ukraine, the Western sanction against Russian oil and gas has caused global prices to almost double in many countries. Also fueled by the lifting of lockdowns, the rising energy costs are putting pressure on households and businesses alike.

Then came the “joint game plan” in which the U.S promised to increase exports of liquefied natural gas (LNG) to Europe by 15 billion cubic meters this year. The extra LNG can replace some of the energy supplies the E.U has received from Russia and move it closer to the goal of greater gas stability.

Nevertheless, importing gas from the U.S is different from transporting gas through pipelines from Russia. The logistic arrangement is complicated. For example, a fleet of gas tanks needs to be set up for long-term usage for the “game plan” to make sense.

But the commitment needs to be there to rid the E.U of its dependence on Russian energy. For investors looking for a secure and rewarding investment, this is good news!

One of a lifetime investing opportunity

As gas and oil prices are not expected to go down anytime soon, there is not much that investors like you can do to diminish their financial impacts. Hence, the fact that the U.S is becoming the largest LNG exporter, not only to E.U but worldwide, offers a golden opportunity.

As the global demand for U.S LNG continues to grow, investing in oil and gas tank containers emerges as an intelligent way to increase your earnings. The better news is that the investing process is very simple for different levels of investors.

First, the investment options are varied, depending on your preferred budget. The choices range from different sizes of tank containers and their abilities to be integrated with transporting options. Nevertheless, there are nearly no wrong choices, as all of these tank containers can offer reliable investment returns. After purchasing your tank container of choice, you can rent it to storing or transporting companies that will pay you monthly for the rental.

However, finding viable opportunities to purchase tank containers and lend them might not be straightforward. Access to such investments does not come by often, and without reliable management support, the returns might not be too desirable.

START YOUR INVESTMENT WITH US

Foundation Capital is one of the more unique organizations enabling investors to participate in this highly lucrative opportunity. Established in 2007, Foundation Capital specializes in giving investors access to the construction and energy industries by means of investing in and owning the machinery and technology needed for megastructure builds.

How to Start Investing with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the medical, construction and transportation industries.

For more detailed information on how to make a capital investment with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

 

How To Take Advantage Of The Rising Oil And Gas Prices

Rising oil and gas prices are frustrating, but there are tactics you can take to navigate your financial goals amid the unusual situation. Notably, oil and gas tank containers offer an unconventional yet smart way to maximize this opportunity.

TOUGH TIME FOR EVERYONE

Since the invasion of Ukraine, Western countries have sanctioned Russian oil and gas, prompting warnings of retaliation from Moscow. This causes global gas prices to rise, with gas prices almost doubling in many countries over the last year. For instance, supply shortages have pushed oil prices in the U.S to increase from nearly $98 per barrel pre-war to about $117 per barrel now. Despite emergency measures, there’s little chance of a price drop anytime soon, with Foreign Policy predicting the price would likely continue to rise, topping $150 per barrel by the end of September—a price that hasn’t been seen since 2008.

Also fueled by the lifting of lockdowns, the rising energy costs are putting pressure on consumers, making it more expensive to heat homes and transport. A Reuters survey shows that a majority of U.S households face severe pressure on their incomes because of the price surges, while small businesses struggle to keep everything running at a time when it’s meant to be about rebuilding resilience after the pandemic. The theme is similar to other surveys and reports from international media. Throughout this time, most investing schemes offer no positive returns, according to these media.

As gas and oil prices are not expected to go down anytime soon, there is little you can do to diminish their financial impacts. Most practical “solutions” require significant changes and cutbacks that are either risky or excessive. Switching jobs, extreme expense tracking, and high-risk investments with little guarantee… might not work for everyone in a world where certainty remains far-fetched.

Instead of trying to choose the less harmful options to deal with the rising gas and oil prices, you can take advantage of the situation. While various investments are now struggling to offer positive returns, small numbers continue to deliver respectable income streams such as industrial assets, transport, or healthcare. Particularly, investing in oil and gas tank containers has become a promising option amid the fuel price surges.

WHY OIL AND GAS TANK CONTAINERS?

Even though the oil and gas prices continue to rise with no possible end and alternative energy sources are still under-produced, the demand for them remains unaffected, according to ANZ Research analysts. “Signs of strong demand are continuing to emerge,” the analysts indicated.

Meanwhile, the link between oil and gas storage, transportation, and consumption is much more interdependent as compared to conventional goods. According to International Shipping Center, critical equipment and system design decisions cannot be made in isolation. Therefore, oil and gas tank containers that can enable cost savings (for example, by storing more products per slot and being flexible for transportation) become a saving grace amid the fuel price surges.

Rising oil and gas prices are frustrating, but they also open a new door of investing opportunities.

Subsequently, investing in oil and gas tank containers emerges as a smart way to increase your earnings. The options are varied, depending on your preferred budget. The choices range from different sizes of tank containers and their abilities to be integrated with transporting options. Nevertheless, there are nearly no wrong choices, as all of these tank containers can offer reliable investment returns.

You might want to ask what you can do after purchasing a tank container and how it can provide you with a stable income stream. It’s very simple. After purchasing your tank container of choice, you can rent it to storing or transporting companies that will pay you monthly for the rental.

However, finding viable opportunities to purchase tank containers and lend them might not be straightforward. Access to such investments does not come by often, and without reliable management support, the returns might not be too desirable.

START YOUR INVESTMENT WITH US

Foundation Capital is one of the more unique organizations enabling investors to participate in this highly lucrative opportunity. Established in 2007, Foundation Capital specializes in giving investors access to the construction and energy industries by means of investing in and owning the machinery and technology needed for megastructure builds.

With our management support, you can access the broad portfolio of oil and gas tank containers and decide on the one that suits your budget or investing plans. We then lease these tank containers to businesses whose operation depends on them. As an investor, you can earn monthly income with returns of up to 26% per annum. Not only are the assets secured and insured, but you are also ensured of simple exit strategies with no hidden terms and conditions or fees. For instance, you can get your money back at the end of five-year contracts by selling these assets at the initial purchase price. Overall, we ensure that your investment is efficient, versatile, and safe.

Each and every one of us has, at one point, grumbled at gas prices, but the record highs can make you realize how differently you can look at money and investing opportunities. Please contact us for more detailed information on how to make a capital investment in these oil and gas tank containers.

How to Start Investing with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

Secure Your “Retirement” with Financial Freedom

The core of Financial Freedom

Financial freedom is usually known as “having enough savings, financial investments, and cash on hand to afford the kind of life we desire for ourselves and our families. This term is becoming a lifetime target for most individuals. Let’s imagine that we can retire, spend our precious time doing what we like, or pursue the career we want without being driven by earning a set salary each year thanks to the savings we have. What a dream!

There is a reason why we can believe in a future where we are financially free. It is that financial freedom does not require you to be born into a well-fixed family or be a wealthy businessman who gets tons of money each month. This can be achieved as long as you set your goal and build a proper financial plan. To be specific, financial freedom is all about letting your passive income, from your own business or assets, exceed your expenses.

How to get to financial freedom? The amount needed for financial freedom differs for each of us due to our various living standards. However, it follows the primary step: set your life goals, define the amount of money you need for the purposes, then go for it!

Set your life goals

1) What your lifestyle requires: You need a house, will you get married and have kids, when will you retire…?

2) How much you should have in your bank account to make that possible?

3) What age is the deadline to save that amount?

Remember that the more specific your goals are, the higher the likelihood of achieving them. You can not accomplish everything you want in a month, of course. Nevertheless, a year is a long time to make progress on your achievements. You need to ensure your goal is tied to a specific number you want to hit. When you have your goals defined, you can start working towards them without realizing it.

Figure out your “number”

A goal-based approach helps you determine how much money you should make or expense when creating your monthly budget.

For example, if you are 40 and want to retire by 55 to spend time on your hobby instead of working, you have to make sure that you have enough financial backup to pursue a second career at 55. Considering the inflation rate, years of expectancy post-retirement, and your monthly expenses (now and then), you must calculate your retirement corpus. Next, you can calculate how much money you must save monthly to create that corpus in the given timeframe.

Let’s say you figure out that you will need 500,000 dollars before retiring, and the Interest is 12% annually; you will need to invest ~ 1.000$ monthly if you start now.

Of course, the number will be adjusted based on inflation, life changes, and other add-in goals along your journey; you can calculate the exact number needed here. After having a specific number, start your passive investments as early as possible, even when it is in small amounts, then let the compounding show its magic.

After having the number you need, it is time to draw an earning plan and start saving.

Execute your plan: What to keep in mind to get your financial freedom

Each of us will have a different plan to follow our financial goals, but whatever they are, remember to follow the instructions below to make the goals more achievable.

Clear off the Debt

The biggest roadblock to financial freedom is definitely debt. And the worst kind is credit card debt and other high-interest consumer loans with interest charged between 30 to 40 percent. Therefore, make it a point to pay off the full balance each month.

Though other loans with much lower interest rates, such as student loans and mortgages,… may provide certain tax benefits, being debt-free is even a better option than having a good loan. Paying these lower-interest loans is essential since on-time payments will build a good credit rating.

“Pay yourself first.”

If you haven’t heard the expression “pay yourself first” before, it means putting a specific amount of money in your savings account before paying other things, such as bills.

Many people only use whatever is left over after paying all expenses to invest, which usually isn’t substantial enough to help you experience financial freedom. The act of “paying yourself first” as you deal with it by making you guarantee that you’re always putting money aside to invest in yourself. After that, if you don’t have enough to cover those bills after investing, you’re forced to pick up a side income to make up the costs, or you have to limit your daily spending.

You can pay yourself first in other ways too. For example, if your company has a retirement savings program, you can ask to have money withdrawn for your retirement. That way, you’re investing in yourself and your future first. The money gets deducted from your pay, so everything left over is money you can put aside for your bills and expenses.

Increase your passive incomes

Fortunately, your 9 to 5 can afford savings, daily expenses, and emergencies. But if it is not, you should look for money outside your current job to increase your income streams with passive income such as: selling good content (blog, ebooks, courses), becoming an affiliate marketer, buying properties and renting them out, investing in stocks, invest in construction asset,…

You may get interested: Passive Income, How To Get It Working For you. 

Financial freedom can be difficult due to growing debt, cash emergencies, medical issues, and overspending. But with discipline and careful planning, you can make it possible.

Stay Educated on Finance

Remember to follow and review relevant tax law changes to ensure all adjustments and deductions are maximized. You also need to keep up with financial news and developments in the stock market or other investment types and adjust your investment portfolio accordingly. Knowledge is the best defense against scammers who prey on unsophisticated investors to turn a quick buck.

Once you’ve gotten to a point where you’ve amassed a decent amount of wealth, either liquid assets (cash or anything quickly converted to currency) or fixed assets (property or anything not easily converted to cash), do not hesitate to get a financial advisor to help you stay on the right path.

Live Below Your Means

Financial freedom requires you to develop a mindset focused on living a good life with less. Many wealthy individuals developed the habit of living below their means. For example, in 1958, Warren Buffett bought a five-bedroom home for $31,500 and hasn’t gotten rid of it since. His frugality might very well be one of the reasons why he’s one of the world’s tttttttttt people.

There are many books, instructions, and programs to help people adopt a minimalist lifestyle. When you don’t have enough to afford all you want, it’s time to focus on the things you need. It can drive significant gains for your financial health.

You can also follow the 50/30/20 budget rule, popularized by Senator Elizabeth Warren. It is a guideline to achieve financial freedom by dividing income into three categories of spending: 50% for needs, 30% for wants, and 20% for savings and paying down debt.

An online data analysis and reporting tool may help. You can know how much money you’re spending, which categories you’ve overspent in, how much you have in your accounts, or how much debt you have.

Take Care of Your Well-being

This is a rule which not many people have thought about when it comes to financial topics. The principle of proper maintenance also includes taking excellent care of your physical health. Robust health has a significant positive impact on your economic life as well.

Poor health maintenance has negative consequences on your financial goals. Some companies have limited sick days, which means you may lose some income once paid days are used. Obesity and other dietary illnesses also make insurance premiums skyrocket. Poor health may force early retirement with a lower monthly payment for the rest of your life.

Therefore, do not just focus on making money. It would help if you cared about your physical and mental health first. Spending money on regular doctor visits and following medical advice about any problems you encounter can. You can also adapt to a basic lifestyle with more exercise and a healthier diet to prevent losing money on health problems.

We hope these instructions can help you reach your financial targets. If you are looking for a way to increase passive income to assure monthly savings, Foundation Capital’s investment principles may help you. Don’t hesitate to connect us to meet our financial advisors.

How to Start Investing with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

How to Benefit from Passive Income

The article was originally published on Santander.

Aside from working, we have many other ways to earn money. Putting our savings to use, managing assets we own, or even using our talent and skills can all be good ways of making “passive” income.

Sara has loved history since she was little. She even chose to become a teacher. A few months ago, she decided that she would go on holiday every year to a different country to see first-hand where things she teaches about took place.

But when she began to draw up a budget and plan her first trip, she quickly realized that she would need more money than she had anticipated and began to think of ways she could supplement her wages as a teacher.

Having explored various options, the concept of passive income caught her attention. Though passive income isn’t something new, technological advancement has created numerous new ways for people to earn it.

What is passive income?

Passive income is money we can earn regularly without the same time or work commitment that earning active income (from a job) entails. Setting up a source of passive income does require some money and effort; but once it’s up and running, you’ll need to do little or nothing to keep it up.

Whatever our goal is, the benefits of earning passive income include making saving a more common practice, not depending on wages as our sole source of income, and buffering our finances from contingencies.

It helps our financial health. It is also something many people can earn in a number of ways.

The most common ways of earning passive income

Sara must look at a number of personal and professional factors to make the right choice that will help her achieve her financial goal: extra income for the trip she is planning.

Here are some things she could choose to do:

  • Rent out property. Renting out a home, office space, a storeroom or a garage space is a traditional way of earning passive income. For Sara, it is one of the most appealing options, as she could rent the empty room in her flat for as long as she needs to on collaborative economy websites and apps. She could also rent out her entire flat while travelling to earn even more money.
  • Investing in financial products. Investment (or mutual) funds are some of the most popular instruments people seek to get a return on their money. Sara thought it would be a good idea to seek expert advice in order to choose the best product for her profile and needs, based on how long she wants to hold the investment and the return she wants to get. She’s aIso keen to invest in sustainable funds that earn a return while supporting responsible projects that share her environmental and social values.
  • Creating digital content. Creating digital content has been gaining in popularity in recent years because of social networks and specialized websites that pay users for the content they post. Sara could create an online history course to sell on an e-learning platform, write and market an e-book, or share the photographs from her travels with an image bank that pays her each time they’re downloaded. Generally, this type of content requires more effort at the outset or in the creation stage.
  • Selling second-hand items. Selling used and unwanted things (like electronics, clothing and furniture) is becoming popular because it gives them a second life and helps reduce our consumption of resources at an attractive price. There are apps and websites where you can post items to sell for some extra money. If you have things to sell, this kind of passive income is easy, and getting started doesn’t involve a big commitment of time or money.
  • Monetizing talent. Just as you can earn income from creating content in the virtual world, the same goes for the real world. Artistic talent such as painting, sculpting or handicraft can earn you a nice stream of passive income. Whatever you create should be something you are passionate about. And it shouldn’t take you too long to bring to market.

Passive income mistakes

A lot of myths and misinformation about passive income could ruin your chances of achieving financial goals or even cause you to give up.

It’s a common misconception that results are immediate. You should set a reasonable, realistic time frame for earning income right from the start. Persistence is a key to success.

Another mistake is thinking that “passive” means not having to do anything at all. While this type of income does not require the same effort and commitment of a traditional job, it is very important — especially at the beginning — to do the legwork needed to make your project profitable.

Passive income does not mean easy money: writing an e-book, painting or recording a course calls for skills that not everyone has. The same goes for we investing in the financial products or buying a flat to rent out, which ccertainly require time and effort.

Do we need to declare passive income?

Most passive income qualifies as a business activity subject to taxation since it essentially comes from a service or the sale of virtual or physical goods in exchange for money. However, it may be tax-exempt or taxed based on how much you earn and how often under the laws of your country.

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

(Social Media) Foundation Capital Facebook

(Social Media) Foundation Capital LinkedIn

(Social Media) Foundation Capital Twitter

Increase Your Passive Income to Gain Financial Freedom

The article was written by Rajen Devadason and was originally published on New Straits Times.

There are times when the observant among us can tell, as a society, that we’re hurtling towards doom. When that occurs, what may we do to save our families? With very few exceptions, we go through life needing to work. There are two reasons for doing so:

1. Work gives our lives meaning, significance and purpose; and

2. Since it costs money to live on Earth, then to earn that money actively, we exchange some of our time and utilise our skills, talents, knowledge and strength to earn money by way of a salary or business profit.

For most of our adult lives, we focus on the second reason — we work for money. Usually, the way to bypass that basic equation is to have someone else support us economically, which still boils down to another person working hard for money to provide for us.

More rarely, everyone in the current generation of a super-wealthy family can afford to relax and live off a massive nest egg accumulated by the family’s forebears.

And, yes, you guessed it: Those savvy ancestors did the hard and smart work required to earn oodles of cash, and were then wise enough to retain and multiply that pile of wealth.

Most of us, though, have to work both hard and smart for ourselves; ideally, harder and smarter than anyone else in our company, business or organisation. No one else can do that for us.

The happiest of us in this large subset of humanity that must work to live are those who are able to follow our bliss in the selection of our careers.

In so doing, we attain major success because we find meaning in our work and reinforce our personal sense of significance by detecting our purpose in life through service to others.

Pendulum Swing

As our years stretch into decades, we slow down physically and must accept ageing is an inevitability all of us who live long (and prosper?) face. Yet, we still want to live lives of meaning, significance and purpose. That is as it should be.

But ideally, as we age — while enjoying the fruits of our years of paid labour — we shouldn’t continue endlessly chasing the almighty US$ just to survive.

There needs to be a vital pendulum swing from the chronological side of our youth marked by working-for-our-money over time to the opposite end of grizzled maturity funded comfortably through having-our-money-work-for-us.

Not all of us sacrifice wisely and aggressively enough in our early and middle adult years to succeed financially later.

Here’s a sad, shocking truth: In almost every country on Earth, just between one and three per cent of each national population has exercised enough control to attain financial independence through self-discipline.

Most older people in most nations only succeed partially. They will therefore have to rely on their working children and, hopefully a high performing government, to pick up their retirement shortfalls through large geriatric budget allocations funded, respectively, by channelling resources from personal earnings and higher taxes.

This state of affairs is steadily exacerbated by the greying of society stemming from falling birth rates among the productive young, and lengthening lifespan amongst us all.

Channel your surpluses into investing in passive income is a great way to achieve financial freedom

What can we do?

What I’m describing is in all likelihood keeping competent finance ministers, chancellors of exchequers and numerate heads of state up at night. So, what are some solutions for our planet?

Here are five from me:

1. Elevating educational and managerial standards so aggregate productivity rises;

2. Eliminating corruption so sovereign wealth leakages are plugged;

3. Harnessing technology and artificial intelligence to expand the store of wealth available to the old;

4. Raising retirement ages intermittently across one generation to the next, so the average period that needs to be funded in bona fide retirement is moderated; and

5. Increasing the number of hours worked each week by those eager to work harder and smarter to generate surplus wealth for an uncertain future.

You can tell my cold-blooded analysis above will never win me fans (or votes) from a global populace that’s been conditioned to swallow that those in power should solve all their problems. It’s a good thing I’m no politician.

The best I can offer by way of a solution is at the granular level of the individual. In my opinion, what each of us needs to do is:

Increase our passive income to gain financial freedom.

Towards Financial Freedom

Those of you who head your household and make the primary planning and financial decisions for your precious family would be well-advised to accelerate the personal pendulum swing I mentioned earlier from working-for-our-money to having-our-money-work-for-us.

This speeding up of the process requires we do four different things:

1. Exercise delayed gratification;

2. Build up monthly cash flow surpluses;

3. Channel those surpluses into savings and investments; and

4. Diversify the passive income streams built up – over decades of resolute fiscal discipline — to include interest, dividends, distributions, and rent.

As a licensed financial planner who helps his clients do these things, it’s easy for me to outline the needed steps. Your job is tougher.

Will you really do the work, make the sacrifices, and learn the numerous lessons needed to complete your personal pendulum swing from work dependence to full-blown financial freedom?

How to Earn Passive Income with Foundation Capital

If you want to generate a sustainable passive income stream, Foundation Capital is one of the most reliable organizations to invest in.  Our process has been refined, perfected, and proven over the past 12 years of renting our clients’ assets to the construction industry.

For more detailed information on how to make a capital investment in construction with Foundation Capital, as well as the terms, conditions, and risks, refer to the following FAQs and guides:

(Support) What Is Foundation Capital and How We Invest?

(Support) Construction Investments Vs. Others

(Support) Foundation Capital FAQ Library

(Support) Schedule Your Free Consultation

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