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Why 'Passive Income' Is A Dangerous Fantasy (2011)

211 点作者 nanodeath将近 12 年前

31 条评论

md224将近 12 年前
&gt; This is the basic mistake they’ve made: they’ve fallen prey to the belief that money and meaning are two totally separate things.<p>Ah, what a terrible mistake to make! To think that one could derive meaning from one&#x27;s life independently of wealth accumulation! What a ridiculous concept!<p>EDIT:<p>Here&#x27;s another theory: what if the reason these people are miserable is because they made the &quot;basic mistake&quot; of assuming money would bring them meaning and&#x2F;or happiness? They believed wealth would be an end-in-itself, and upon reaching that holy grail of financial security, they were struck with the terrible realization that there was no instant nirvana waiting for them. And now, having achieved the goal they were supposed to achieve, they&#x27;re left wondering just what it is they&#x27;re supposed to do now.<p>In other words, the problem wasn&#x27;t believing money and meaning were separate. The problem was believing that they were innately connected.
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k-mcgrady将近 12 年前
I couldn&#x27;t even finish reading this it was such BS.<p>1. An ebook is a shitty source of passive income. People buy it once and there will be a limited market for it, specifically if you are targeting a niche. Anyone who thinks an ebook is the path to financial freedom is an idiot. You need to find a market you can serve where people pay monthly or have to order your product regularly (something that runs out&#x2F;gets used up).<p>2. If you&#x27;re aiming for passive income why are you building a team?? When you need something done you hire a freelancer for a few weeks, solve the problem and move on. If you require a team and &#x27;great talent&#x27; you&#x27;re running a startup, not a passive income business.<p>3. Your customers won&#x27;t leave if they realise you aren&#x27;t spending all your time on the business. This doesn&#x27;t mean you don&#x27;t care about them. Of course you do. Without them you would be working 9-5. If you have a superior product they will stay with you. Your customers only care that you have a good product and are there to help when they need you. How much free time you have is your own business.<p>4. You can stay ahead of the competition. People who run these types of businesses don&#x27;t spend all day doing nothing. With the business generating income passively you have more time to research how to stay ahead of the competition. If someone is coming out with a better product you can spend 100% of your time improving yours and once you&#x27;re competitive advantage is maintained, go back to living your live.
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soup10将近 12 年前
One of the reasons is that people don&#x27;t know what to do with themselves after they make passive income? Therefore you shouldn&#x27;t aspire to make passive income? LOL.<p>Passive incomes means financial independence and freedom to make life decisions independent of monetary compensation. Financial freedom means having leverage in the business of life. That&#x27;s hugely valuable and worth aggressively pursuing in my opinion. You can always find and pursue your passions after that.
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greghinch将近 12 年前
#4 particularly stands out to me. I always feel sorry for people who make statements like, &quot;my work isn&#x27;t my life&quot; or &quot;I work to live, I don&#x27;t live to work&quot;. Considering how much of your life you dedicate towards working, why the hell aren&#x27;t you making damn well sure it&#x27;s doing something that gives you at least a sense of fulfillment, if not outright joy. Even passive income takes a good deal of effort and time to generate, albeit with the goal of minimizing the continual work. Also worth considering is that, in the slim number of ventures that will generate sustainable passive income, and even smaller number of them will be something that generates that income for the rest of your adult life. So the likelihood is, even if some app you wrote is passively making you 5 figures now, in a few years it&#x27;s quite likely it won&#x27;t be, particularly if you&#x27;re neglecting it. So you will likely work again. And if your mindset is always that <i>all work is bad</i>, how are you ever going to find real meaning for how you&#x27;ve spent your life?
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nrivadeneira将近 12 年前
Just as I&#x27;m hesitant to take advice from a personal trainer who has never worked out, I&#x27;m hesitant to take advice on starting a business from a guy who has never started a business.<p>While I agree that info products and affiliate marketing are not the passive cash cows that a lot of people are being tricked into believing they are, those are not the only forms of passive income.<p>In addition, it&#x27;s completely possible to enjoy the passive business you&#x27;ve created while at the same time enjoying stuff that brings you no monetary value. I personally enjoy snowboarding, track racing, rock climbing, and power lifting, but I don&#x27;t have any desire to try to turn them into income generating activities. It&#x27;s like the author is completely unaware that there are other things to do with your non-work time than partying on a beach. I find my most fulfilling moments when setting and accomplishing goals in activities that give no other reward than the meaning and gravity I have given it.<p>This whole article reads more like SEM&#x2F;lead-gen for his book. I read it a bit over a year ago and found it disappointing.
rodolphoarruda将近 12 年前
Oh Forbes, you pay writers like this guy to come up with some discomforting topics along a text broken into X number of pages on purpose to force readers to reload all those ads each time. That looks like a form of &quot;passive income&quot; to me.
mitchellh将近 12 年前
I don&#x27;t disagree absolutely with what this post is saying, but as someone who has run multiple successful ventures that I&#x27;d consider &quot;passive&quot; income, I have to say its not a fantasy. But maybe my concept of &quot;passive&quot; is different from yours. Here we go.<p>My first passive income business was in high school. I sold video game cheats I made through the internet. I made around $400 a month (a fortune for a high schooler). I considered it &quot;passive.&quot; Sure, I&#x27;d make some cheats per month, but not because I had to, but because I wanted to. It took me maybe a handful of hours per week to do this. No support.<p>My next passive income venture was in college. I built a service for students that I scaled up to almost $100,000 a year. I would work on this around 8 hours _every 3 months_. I considered that passive. I also had a full time job. So I was basically raking it in. PayPal transfers every night, a few thousand would show up per week. Passive.<p>My current passive income venture is a SaaS. It almost pays my rent every month. It takes up about 1 hour a month of my time for support.<p>At the same time, I&#x27;m starting a real, very not passive company that is unrelated to anything above.<p>So each and every passive income venture shared the following traits for me:<p>* I built it to solve my own problem, then charged for it because I figured other people would have that problem as well.<p>* I didn&#x27;t expect to get &quot;rich&quot; from it, but if the income to hours spent ratio breaks down well, I&#x27;m happy. i.e. I&#x27;m paying rent on an hour or two of work a month right now. That is pretty good.<p>* I never had a &quot;team&quot; of more than 2 people. This was not a _business_. It is just a thing that makes money. Legally it is a business, it is taxed like a business, but from a managerial perspective, it just runs itself. The &quot;employees&quot; (all two of them) run themselves.<p>* When I felt like I didn&#x27;t need it anymore, I let it go. So far, I&#x27;m 2&#x2F;2 at selling my ventures. The first I sold for a few thousand dollars, the second I sold for much much more. The third I have no intention or plans on selling, but if I feel like I&#x27;m not giving it the time it deserves, maybe I will (but don&#x27;t plan to anytime soon). And if I don&#x27;t sell it? I&#x27;ll keep running it, because it is easy.<p>* During all my passive income ventures, I&#x27;ve had a real job. I think passive income works best when supplementing your natural income. I&#x27;ve had steady passive income for the past 8 years of my life. This can really change your quality of life or your ability to save for retirement or that &quot;next big thing&quot; (car, house, etc.).<p>My point is: Don&#x27;t try to build a life on passive income. Just let it happen if its going to happen. You can&#x27;t force it. You shouldn&#x27;t force it.<p>Just do what you like to do. And if you make money doing it, that is pretty darn cool. But if not, you&#x27;re still doing what you like to do, so smile.
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tryitnow将近 12 年前
The author has some good points, but the most important thing to keep in mind is that in a free society, anyone else can come along and do what you&#x27;re doing and do it cheaper (which is apparently what has happened after Ferriss et al. widely publicized various passive income approaches).<p>I do like setting &quot;passive income generation&quot; as a goal, but only as a useful thought experiment. It helps to think about &quot;what would have to be true for me to remove myself from this business indefintely?&quot;<p>That&#x27;s great as a thought experiment; it can facilitate some creative brainstorming, but it&#x27;s not so wise as a business strategy.
chipsy将近 12 年前
The formulation of passive income the author talks about is specifically addressed to the crowd that wants(or is being instructed by &quot;self-help gurus&quot;) to turn around a product of minimal or transient value. Although that sector makes an undeserved amount of noise, it&#x27;s not representative of all the possible ways in which one could make a low-maintenance product, and the reasons for doing so.
sytelus将近 12 年前
Looks like a lot of young people are taking page directly from from Time Ferris&#x27;s book Four Hour Work Week. A LOT of people I know have a singular goal in their life: Make X million dollars in shortest possible time and then live off of that for rest of the life. It would be astonishing how much of the activities are generated in software world from this goal compared to other areas of engineering and art. The net effect is large number of short lived and&#x2F;or crappy products that is designed for nothing but cashing out as quickly as possible. Founders creating companies not to create a long term value or advance humanity or state of the art or make people&#x27;s lives better but find people with money who can be talked in to to shell away some money with promises of future. Someone had stated before that best minds of our generation are busy increasing ad revenue by 1%. I think things are more worse than that. Best minds of our generation are busy plotting shortest possible path to retire at youngest possible age.
wallflower将近 12 年前
As someone wiser than me once said, true wealth is how long you can maintain your <i>preferred</i> lifestyle without working.<p>By that definition, I&#x27;ve only met a handful of people who are wealthy.<p>Some people who I&#x27;ve thought are relatively wealthy have alimony, child-support, large mortgages on 2nd homes in nice coastal areas.<p>Even consultants I&#x27;ve met who have charged $10k&#x2F;day (healthcare), they can&#x27;t sit around and play golf - they go nuts.<p>The best passive income is selling something that improves people&#x27;s lives in a small way (whether it be an entertaining iPhone game that connects friends for a game or a healthy meal planner that brings a family together for dinner).
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Theodores将近 12 年前
Call it &#x27;rent seeking&#x27; and there is not a lot of danger or fantasy to it:<p><a href="http://en.wikipedia.org/wiki/Rent-seeking" rel="nofollow">http:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Rent-seeking</a>
jackschultz将近 12 年前
The author seems to be aiming this article at people who decide to spend their time on something that can generate passive income <i>because</i> it generates passive income. And I agree with that sentiment. That being said, if you enjoy doing something that can generate passive income, the by all means go for it.<p>The author almost gets there by saying, &gt;Of course, you can make honest money in Internet info-products, or affiliate marketing, or other such areas where people tend to get drawn to “passive income” fantasies. But, to make real money over the sustainable long-haul, you must treat these like any other business.<p>If this were true, then no one is able to generate such income. Not sure if I agree with that then. Interesting read though.
dylandrop将近 12 年前
Re: #3 Isn&#x27;t the whole point of passive income that you don&#x27;t need a team?<p>Re: #4 Can&#x27;t you use the money you get from whatever you&#x27;re doing passively to spend on something you support passionately?
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josephjrobison将近 12 年前
What&#x27;s interesting is that he&#x27;s done some stuff with Tim Ferris, who he sees as a mentor and helped him a ton with his book launch, so you think he would have read Tim Ferris&#x27; 4-Hour Work Week to counter all his arguments. He&#x27;s got really good Forbes articles to be honest, but his Education of Millionaires book was not that good at all and I can&#x27;t recommend it.
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hkmurakami将近 12 年前
The first time I ran into this idea in a somewhat &#x27;formal&#x27; message was in Tim Ferris&#x27; &quot;4 Hour Workweek&quot;.<p>Was it this book that brought the idea of passive income (especially using the leverage of outsourcing) to the masses, or was there some other mass media fad generator before this book?
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rhc2104将近 12 年前
Company idea to anyone that wants one- a website that just sells fitted sheets.<p>I pick my bed size, and see a list of the various type of fitted sheets. Then I select a type and pick a color.<p>This might work as a dropship company.<p>I do not want to buy a sheet set. I don&#x27;t use flat sheets.<p>When I look on Amazon, some bed sheets list &quot;1500 thread count&quot; in their title, but there are one star reviews explaining that it&#x27;s microfiber, not cotton. At my local Bed Bath &amp; Beyond, all the fitted sheets available are for Cal King beds, not King beds.<p>In fact, as of typing this post, &quot;buyfitted.com&quot; is still available!
clavalle将近 12 年前
What makes it a fantasy is not that it is impossible. The fantasy is that it is quick (think 20 years not 20 months).<p>Oh, and you need to find and keep amazing managers which is a whole world of finesse unto itself.<p>I would like to point out that it is equally fantastical for the author to suggest that everyone just find a business area they can put their heart and soul into. Some people really enjoy the process of business itself, somewhat separated from the product or service.
ChrisNorstrom将近 12 年前
Why do I feel like there&#x27;s a hint of Jealousy? Jealousy that others have found a way to make money with minimal work while the average person has to work their ass off for it. Like it undermines others&#x27; work ethic and that drives them to want passive income hackers to stop.
johngalt将近 12 年前
Is retirement a dangerous fantasy?
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EugeneOZ将近 12 年前
Well, I saw absolutely controversial article and I have little (4 years) expirience in passive income, so I think advice &quot;don&#x27;d even try&quot; is worse than &quot;it will not be easy, but try harder&quot;.
abritishguy将近 12 年前
I&#x27;m 18 and starting university in September, it is my intention to entirely fund my university education on passive income (I&#x27;ve been earning an increasing amount for almost 3 years with very little work).
mathattack将近 12 年前
I find the quest for passive income comes from a laziness - it&#x27;s like wanting an easy way out. Those folks rarely do well in the long term.
sehugg将近 12 年前
... says the blogger who makes money pennies at a time on page views from people wanting to read about passive income.
6ren将近 12 年前
one page (print dialog) <a href="http://www.forbes.com/sites/michaelellsberg/2011/06/24/the-top-4-reasons-why-passive-income-is-a-dangerous-fantasy/print/" rel="nofollow">http:&#x2F;&#x2F;www.forbes.com&#x2F;sites&#x2F;michaelellsberg&#x2F;2011&#x2F;06&#x2F;24&#x2F;the-t...</a>
adios将近 12 年前
the ironic thing is that the audience for this magazine consists largely in people who are making bales of money the entire time they&#x27;re reading that article, most of it ``passive&#x27;&#x27; by the lights of the author.
glup将近 12 年前
6. You have no reason to read Forbes...
michaelochurch将近 12 年前
Technology is not fertile ground for truly passive income. It might be one of the best places to go for long-term <i>active</i> income, and of course there are the outlier startup successes, but technology is all about change. I&#x27;ve seen enough people go from thinking they were rich on $30k per month to losing the golden faucet and not knowing what to do.<p>What most people want is more freedom-- so they don&#x27;t sweat the prospect of losing this job or that client-- and that&#x27;s an admirable and worthy thing to strive for, but not necessarily long-term passive income. This is just the wrong business for that. The idea that an iPhone app is going to be making the same money, with no improvements, 20 years out, is laughable.<p>What people are experiencing and calling &quot;passive income&quot; is actually a result of the fact that good engineers are so underpaid in comparison to their value that, by going alone and interacting with the market directly, they can often do better than they would under an employer and taking a 90% haircut (largely, to pay for all the less competent people) on the value they deliver.
paulhauggis将近 12 年前
The problem I see with many of these &quot;passive income&quot; businesses is that they are not long-term. You might make money for a couple of months or even a year..and then it dries up and you have to start over.<p>It also don&#x27;t know any business that is actually making money that is considered passive. You will have customer complaints, returns (or chargebacks), the market changes, If you are attempting any of the passive techniques you see on the various SEO forums, you may get banned by Google and have to start over.
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Yourfags将近 12 年前
Is it really so horrendous to consider that there are only so many people in the world? I&#x27;ve yet to see a place on earth where the majority of the people don&#x27;t work for there living, so the probably of doing something that requires less effort than everyone else and having a better lively hood than them seems well unlikely. I mean houses just do not build themselves...the real path to success is finding a way to live the life you desire. I mean if you like sitting in fine restaurants ordering people around, then probably you should find a way to own your own restaurant, etc. Just my 2cents but all these schemes are just that schemes!
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Dewie将近 12 年前
The author doesn&#x27;t seem to factor in the idea of creating passive (more or less) income from software development. At least ideally, a lot if not most of the software that is out there has the purpose of creating relative passivity (automation) with regards to some endeavour. The author&#x27;s point that if you are creating (again, more or less) passive income you are most likely not creating value yourself is hogwash.