2019 Active Income Tracking

Here you can see the progress we are making towards achieving Active Income.  My goal will be to update this often and write up a post once per month detailing our trend towards our goal of $60,000 in active income per year.

The Goal: $5,000/Mo. in Active Income

To build up my passive income portfolio, I must build up my active income.  I build up active income by developing a hustle mindset and creating as many sources of active cash flow as I can possibly handle.

What is my definition of Active Income?  Any type of income source that I trade my hours for building and maintaining.  Some examples of active income might be: driving for a ride share company, actively writing for money, consulting work, etc.  If I have to do some type of work for direct pay, then I consider this active income.

The goal in building my active income is to create higher and higher paying income sources.  The best way I know how to create more active income is through entrepreneurial ventures. This means taking a skill set that I have and turning into a service that I offer the world.  By doing this, I am building up my income and leaving a legacy at the same time.

How Does One Create Active Income?

Untitled design (6)

I have found that the primary condition to creating active income is to develop a ‘hustle’ mindset.  In the hustle mindset, you are out to make money in whatever way possible (so long as it remains legal in nature).

I have found that there are certain steps one can take to help in developing and building their active income sources.

Four Simple Steps to Creating Active Income

  • Brainstorm a list your skill set
  • Brainstorm a list of active income ideas ideally based on your skill set
  • Order that list from easiest to hardest implementation level
  • Begin to implement one idea at a time, starting with the easiest idea and going from there.

By completing these steps, we begin to get a better picture of things we can begin doing to help earn more income.  Where possible, the goal is to organize side hustles around our skill sets and passion points.

Example of My Active Income List

1. Brainstorming my skill set

  • Teaching (passion)
  • Writing (passion)
  • Basketball (passion)
  • Finance
  • Technology
  • Website Design

2. Brainstorm a list of active income ideas ideally based on your skill set

  • Basketball Coaching
  • Website Design
  • Financial Consulting
  • Financial Modeling
  • Financial Advising
  • IT Troubleshooting
  • Writing Copy
  • Writing Articles
  • Bookkeeping Services
  • Drive for Lyft/Uber

3. Order that list from easiest to hardest implementation level (top 5)

  1. Drive for Lyft/Uber
  2. Writing Articles
  3. Basketball Coaching
  4. Website Design
  5. Financial Modeling

4. Begin to Implement One Idea at a Time

  • Goal: Get set up to drive for Lyft/Uber on Friday/Saturday nights for extra income.

It can be as easy as this when  you begin to see what skills you have and choose to capitalize on those skills.  Start small and build your way up from there!

Blocks to Creating Active Income

I have found that for me personally, I have blocks towards making more money, especially in an entrepreneurial way.

This is mainly because of my belief systems around money, earning potential, and social status.  Unless I challenge those beliefs, I risk being stuck at a certain level for the remainder of my life.

An Interesting Question

A friend once took me through an interesting example.  He said to me, “Imagine that you are sitting on a bench.  Next to you is a bag of money. How much money is in the bag?”

I took a second to think about it.  I had many thoughts rolling through my mind:

  • Maybe he wants to give me money so I should answer something realistic?
  • It would be ludicrous to answer $1 Billion dollars and believe it.
  • What is he expecting me to say?

Finally, I answered: $100,000.

“Interesting."  He paused for effect.  Then he continued with a great piece of wisdom,  "Matt, that is how much money you can envision in your life.”

I took a second to think about that.  Could I really only imagine $100,000 in my life?

After all, it’s a good amount of cash but in the grand scheme of things, that isn’t much money.  Was my mindset geared in such a way that $100,000 was my income ceiling?

Since that time period, I have discovered that I do have money blocks. My goal now is to work on overcoming those blocks in order that I can reach higher plains of financial existence.

So in 2019, I will be working towards reducing these money blocks and achieving $60,000+ in Active Income.  Why do I choose $60,000? A few reasons:

  • This is realistic number that plays into the idea of the ‘brick-by-brick’ mentality that I seek to adopt;
  • And this comes out to $5,000/mo.  It happens to be about $2,000 above my monthly break-even point.
  • It is a good target for my first full year in business.

I have set the goal of beginning one new income source each month and will look to detail my journey towards building up active income to deploy into passive income sources.

Subscribe and Stay Tuned!

Keep visiting and check on my status towards Financial Independence and follow me on the journey!

You can subscribe to our ‘Live Free and Div Hard’ email list for our journey on building up our active and passive income sources!