Let's look at Residual Income Opportunities and two types of Passive Income.

Residual Income

There are many residual income opportunities, making sure you are choosing the right one can be a challenge. Refer to the Guidelines for Choosing the Right Residual Income Opportunities!

Residual income is revenue that occurs over time from work done one time. Some examples include:

• A network marketing or direct sales rep's income from her direct customers when they reorder product or services

• An insurance agent who gets commission every year when a customer renews his policy

• An aerobics instructor who produces a video and sells it at the gyms where she teaches

• A marketing consultant who creates a workbook and sells it in e-book format on the Internet

• A photographer who makes his photos available through a stock photography clearinghouse and gets paid a royalty whenever someone buys one of his images

• A restaurant or retail owner who has grown to the point of hiring a trustworthy manager

As you can see, there are many different residual income opportunities, across a wide variety of businesses. It may be recurring income from the same customers, or the sales of a product to new customers.

It may require no personal involvement whatsoever, such as an e-book sold on a web site, or it may require some personal interaction, such as the insurance agent. Often, it's something that you can delegate to an assistant.

Note that this is different from merely recurring income. Recurring income may still require your involvement to earn the income, a coach, consultant, or a caterer.

While this "active recurring income" offers welcome stability, it also tends to tie you down, and you still have limits on your earning capacity.

Leveraged Income

Leveraged income leverages the work of other people to create income for you. Some examples of leveraged income include:

• An e-book author selling her e-book through affiliates who promote the product

• A network marketer who builds a downline and receives commissions on the sales made by people in his downline

• A general contractor who makes a profit margin on the work done by sub-contractors

• Franchising your business model to other entrepreneurs (the ultimate leveraged income)

Again, there are many different models in many different businesses. The key is that you are making money off of other people's labor, rather than primarily your own. Note that leveraged income may or may not also be residual income. When you combine them, that's even better.

Active Leveraged Income

This is a term I use to describe income that requires your direct participation, but that you can make more money by having more people involved. This generally involves a one-time event, such as:

• A seminar or class

• A conference or convention

• Concerts and dance recitals

• Raves and other parties

Although these require your direct participation, your earning potential is much higher than if someone were just paying you a direct hourly rate. Fill a room with 1,000 people paying $50 each and you can cover your facility cost, promotional cost, and staffing fees and still have a nice chunk of change left over.

* Residual Income Opportunities, you can put in the work ONCE and continue to make income. SEE what Donald Trump and Robert Kiyoski have to Ssy!