Recurring Income is another term for residual income. In a nutshell, there are
three (3) types of income streams that you may have coming into your business.
1. If you do a one-time job, sale or perform a contract, you get paid once
and the income stops there.
2. If you do a normal 9 to 5 job, you will continue to get paid as long you
continue to work for your employeroften called a linear income. This is
the type of income that the majority of workers enjoy. Even if you are a
neurosurgeon, lawyer or engineer, you are only paid as long as you
continue working. You stop working and the bank account dwindles.
3. The third type of income is the recurring income where you are paid
e ven a fter you have stopped working. For example, you wrote a book and
as long as your book continues to sell, you will continue to receive royalty
income for a work done once.
Majority of rich and affluent people created wealth through a form of recurring
income stream. Take singer Michael Jackson for example; he still continues to
receive royalty from the sales of his records made decades ago. He can even
repackage the same oldies and sell them to generate new income. He doesnt
have to spend time in the studio to record new songs in order to have the cash
keep flowing in! This is the most ideal situation of the three. We would all like to
work once and get paid over and over again. That is the power of recurring
income!