MoneyFit - Get Fit and Smart with Money

10/02/2022

If you want to know the benefit of health insurance, visit a cancer care centre.

If you want to know the benefit of term insurance, visit a family which has just lost a young earning member.

If you want to understand the benefit of starting to save early in life, visit the home of super senior citizens who stay alone.

If you want to understand the benefit of writing a Will, visit a civil court and check the number of property disputes between siblings.

25/01/2022

5 MYTHS about PASSIVE INCOME

The biggest obsession today is GENERATING PASSIVE INCOME. I frequently come across blog articles and social media posts about different ways of generating passive income. Unfortunately, most of such articles create a lot of myths about passive income and project it as the path to financial freedom.

I want to bust some of the myths of passive income here.

Myth #1. You can set and forget your revenue streams.

No matter how you plan to earn passive income, either through blogging, rental income, creating content on social media, network/affiliate marketing, etc., continuous effort is required to maintain the regular income stream.

Myth #2. You don’t need any special skills to start earning a passive income.

Creating content online such as blogs, videos, courses, etc. requires you to learn to make videos, write engaging content, etc.

Affiliate marketing or network marketing work would require you to learn marketing skills and good communication.

Even if you plan for rental income, you have to spend time and effort to maintain the property and find tenants.

Myth #3. You can start earning money immediately.

Just like you can’t master a skill in a day, you cannot start earning substantial income in a few days. You have to put time and effort to earn even a few rupees in whatever skill you plan to use. The income stream will grow steadily depending on your skills and how much time and effort you put into it.

Myth #4. Passive income is permanent.

No income is permanent! Another better content creator may sn**ch all your traffic, a better marketer may capture your target clients, your rental income can get reduced for various reasons… You have to keep reskilling yourself and put in a continuous effort to be the best at what you do to maintain the income source.

Myth #5. Your business can generate passive income.

No business is built passively. You cannot build and run a business to ultimately get away from it.

Owning a business no matter how small requires intense effort to run the same profitably and generate an income.

27/11/2020

Taking new loan? Cannot make out if you can pay the EMIs without compromising on your lifestyle? Use debt-to-disposable income ratio to find out how well you can service your EMIs.

20/11/2020

Did your employer offer you RSUs? Is it advantageous to you? What are the tax implications? Read to know more about RSUs.

RSUs are stocks of the company given by your employer as part of your compensation. The number of stock units allocated to you per annum as RSUs would be mentioned in your offer letter.