There are few people in the world who would not benefit from earning extra money on the side. If they can earn that money with little to no substantial effort, even better.
That’s why we could all learn more about passive income strategies. Regardless of your skills and life circumstances, it’s almost guaranteed that there are multiple ways you begin earning passive income right now.
This is an important message for everyone to hear. While you shouldn’t rely on passive income as a means of paying all your bills, it can offer you a safety net if you ever do encounter financial difficulties.
However, this information is particularly valuable to high school and college students. So valuable, in fact, that it might be wise for schools to cover passive income streams in their curriculum. The following are key reasons why:
Improving Academic Performance
The academic playing field at colleges and universities is rarely level. The life circumstances of an individual student will almost always impact the amount of time they can dedicate to studying. For instance, a student who holds a part-time job or two will often be deprived of crucial time they could be spending on schoolwork, while a student who is fortunate enough to have a financial support system will not.
Everyone should have the same opportunity to succeed in higher education. This highlights one of the key ways passive income streams benefit students. If students set up a passive income stream in high school, they might earn enough money on the side to justify spending more time studying while in college. They can also spend more time networking with professors and department heads, which will be very helpful when they graduate and pursue their career.
Developing Important Business Skills
Anyone with even a basic understanding of passive income knows its name isn’t completely accurate. “Passive” income is almost never entirely passive; as a side business, it will require initial time, effort, and in some cases, money. The difference between a passive income stream and a traditional business is that passive income streams reach the stage where they yield relatively consistent returns without needing to be actively managed.
For instance, many people earn passive income by self-publishing eBooks on their areas of expertise. Writing these books, of course, takes time and effort. You must also create the cover art, format the book, and edit it (or hire a freelancer to do one or more of these). Once the book is published, it may not attract readers without strong marketing. Therefore, you will need to develop and implement a marketing campaign as well.
Fortunately, as numerous examples show, if you put in the effort to complete all of these tasks (and write something of value to readers), the book will eventually begin to sell regularly without the need for much more work on your part. If you wish to boost sales even more, you can run another marketing campaign.
Because completing all these tasks is, in many ways, similar to starting a business, it’s another reason why schools should cover the topic of passive income. Students who put the lessons into action will get early experience as small business owners. This experience may help them successfully create more lucrative businesses in the future.
Boosting Student Health
College students who strive to succeed academically while also working a job (or multiple jobs) can develop health problems. Stress and a busy schedule lead to a lack of sleep, and a lack of sleep results in a weakened immune system, poor cognitive function, and even greater stress, creating a cycle that’s difficult to get out of.
But if a student worked hard to establish a passive income stream before starting college, they could theoretically live off their earnings during the semester instead of relying on a job. This is good for both their mental and physical well-being.
All that said, it’s important that educators are careful when teaching this subject. They shouldn’t encourage students to make spontaneous investments in hopes of getting rich. They should, however, help young people understand that if they’re willing to put in some major work initially, they can eventually earn a decent amount of extra money on the side. The sooner they start earning it, the better.