# Stop Thinking About Income Wrong

Here's the thing nobody tells you: the difference between active and passive income isn't just about working vs. not working—it's about **velocity of wealth building**.

**Active income** = you trade time for money. Salary, freelance gigs, side hustles. You stop working, money stops flowing.

**Passive income** = money works for you. Stock dividends, rental properties, online courses, savings account interest. Your assets generate cash while you sleep.

The real power? **Combining both.**

Say you make $20/hour ($41,600 annually). If you invest just 15% of that ($6,240/year) into assets returning 8% annually, after 5 years you're sitting on $45k+ earning $3,600/year **on its own**. That's a $1.73 raise for literally doing nothing.

Most people start with active income (their job), then gradually shift to passive as their investments compound. The people who retire comfortably? They didn't wait—they built passive income streams *while* still working.

**Bottom line**: Active income funds your future. Passive income is your future. Start investing today, not tomorrow.