35. What Does it Actually Mean to Have Passive Income?

Episode 35 ⋅ July 8 2022

What Does it Actually mean to Have Passive Income?

With the rise of social media and side hustles, the term ‘passive income' is being repeated more and more, but what does it actually mean? in this episode, Cat and Christine talk about exactly what it is and how you can use it to reach your goal of financial freedom.

Overview:

Passive income is often over glamorised on social media as the thing that millennials and Gen Z’ers rely on to get them to their dream lifestyle or financial freedom.

But with over glamorisation comes multiple meanings. So, what does passive income actually mean, and how does one get to the point of living off it?

In today's episode Cat and Christine discuss how there is not a right or wrong way to create passive income, and also clarifies on what it actually means and whether it’s necessary to achieve financial success.

Specifically, we cover:

What the 5% rule is and how this can be a great starting point to see how much money you need to have invested to create passive income.
How it's important to be realistic about timelines, especially when it comes to investing.
Things to think about when investing in property – is it really passive and can you make enough money from it?
How Cat and Christine feel about creating a passive income and what to consider when starting a side hustle.
The importance of taking time off and that money should not always be the priority.
Some interesting stats on New Zealanders, and how many actually have passive income.
The different ways that you can create passive income through property, side hustles and investing.

…And much more, there's lots more goodness in there, so get listening now.

Great resources mentioned on the podcast are: