December 15, 2018 · Financial Planners · (No comments)

By Steve Gillman

Ah, residual income – easy money. Well, not quite, unless you look at the long view. It can take a lot of effort to create streams of residual income. But since this is income which continues to come in long after your work has ended, it might be considered easy for the amount you make.

A little over years ago I decided to make a web site about removing stains from carpet. Not knowing that much about the subject, I bought lunch for the owner of a carpet cleaning company. In return, he gave me some tips on how to remove various stains, and how to care for carpet in general. I asked questions and took notes throughout lunch. I later made a fifteen-page web site from those notes.

It took a week to build the site initially. Twice over the last couple years I have spent a few hours updating it, so I might have 50 hours into the whole project. I have left the site untouched for as much as nine months at a time, and as I write this, I can’t remember the last time I even looked at it online.

The result was a site that still generates about $200 most months, from automated advertising and affiliate programs that don’t require any attention. This is residual income at its best. I put in the effort up front, but still paid every month years later. When my wife and I visit family in Ecuador, the income keeps coming. Some of our web sites do much better, but this is a great example of residual income, because it requires virtually no attention. Wouldn’t you love to have a couple dozen web sites like this?


Residual Income – Other Examples

The idea is income that continues after your efforts are done, and without much if any additional effort on your part. You may not like the idea of making web sites, so what are the other ways that people do this? Here are a few examples of others who receive residual income.

Real Estate Investors – Buy a strip mall, hire management, and have the cash flow deposited into your account – a classic form of residual income. Apartment buildings and rental condos are other possibilities. But be sure there will be enough income to cover management fees. If you have to manage it yourself, you just bought yourself another job.

Inventors – This could be a difficult, but fun one. Inventions are often licensed to companies, which means that as long as they keep selling, the inventor has regular royalty fees.

Writers – Authors typically get about 5% of the retail price of a book, and those checks could keep coming for decades. Sell e-books from your own web site, and you can keep 90% of each sale, with nothing to ship. Have a processor handle the orders (that’s where most of that other 10% goes), and you’ll just have to answer an occasional e-mail.

Musicians – Create a hit song, and you’ll get royalties as long as people still want to hear it. Don’t sing? Song writers get royalties as well.

Insurance Agents – When you sell a policy, you normally get a commission every year when the customer renews. Insurance agents have been known to retire young with a healthy stream of residual income.

What do you do when that stream of income slows down? Find another! That’s another great thing about residual income. It leaves you with time to look for more opportunities.

About the Author: Copyright Steve Gillman. To learn more unusual ways to make and save money, and how you can get free e-courses and e-books, visit his website:


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October 22, 2018 · Financial Planners · (No comments)

By James Dimmitt

Erase Bad Debt !

Remove Negative Items From Your Credit Report

Youve probably seen these headlines and others just like it promising to clean up or fix bad credit. For someone who suffers from a bad or poor credit rating, these headlines are certainly an appealing offer.

Imagine finally being able to buy that new car, get debt collectors off your back, and enjoy a new found freedom from your past debts.


Sound to good to be true ? It probably is. Once you fall prey to the credit repair offer and pay the hefty fees involved to clean up your record, heres what happens:

1) The credit repair scam artist contacts the credit bureaus and reports that the negative information in your file is false.

2) The credit bureau removes this negative information from your report while they investigate the claim.

3) The scam artist will then show you the cleaned up version of your credit report and ta-da your credit history has been fixed !

But heres what the scammer doesnt tell or show you. After the credit bureau completes their investigation the negative information is placed back on your credit report.

Negative but accurate information cannot be removed from your credit profile. Only incorrect information can be removed.

Accurate information remains on your credit file for a period of 7 years from the time it is reported to the credit agencies; a bankruptcy appears for a 10 year period.

Many legitimate companies exist that can help you with your debt problems. But how do you spot a scam offer ? Easy, theyll ask you for their fees up front. By law, credit repair agencies cannot ask for payment until theyve provided the service they promised.

Additionally many states require that a credit repair service, whether they are for-profit or not-for-profit, must provide you with a detailed written contract, an explanation of your legal rights, and the opportunity to cancel any signed contract within 3 days.

Also, be aware that a credit repair offer could be an attempt to steal your identity by getting you to provide personal information such as a Social Security number, bank account and credit card account numbers.

Always make sure you know who you are dealing with before accepting any offer to help you repair your credit. Those who dont can have their credit ruined further and create more debt problems.

About the Author: 2005, Author: James H. Dimmitt James is editor of To Your Credit a FREE weekly newsletter focusing on managing your personal finances and credit. Subscribe and get a FREE copy of your credit report when you visit:


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