Going From "Active" to "Passive" - How to Stop 'Making' Money and Start 'Earning' it Instead!

Who is this guy? Well T. Harv Eker went from zero to millionaire in only two and a half years. Eker is president of Peak Potentials Training, one of the fastest growing success training companies in North America. With his unique brand of "street smarts with heart," Eker's humorous, "cut-to-the-chase" style keeps his audience spellbound. People come from all over the world to attend his sold-out seminars, where crowds often exceed 2,000 people for a weekend program. T. Harv Eker is the author of the book Secrets of the Millionaire Mind, Mastering the Inner Game of Wealth.

I was randomly strolling in Chapters one afternoon just browsing some books (of course, lol) and fell upon T. Harv Eker's book by curiosity, mostly. I grabbed a chair and started browsing and was immediately captivated. I knew after what felt like 5 minutes (but was actually 20 mins) I was buying this book! Time just flew-by due to the in-depth connection I felt while reading this book - he was right on the "nose" with how my inner-money blueprint was stopping me from earning more money.

On Tuesday February 8th, 2011 T. Harv Eker held another "Ask Harv" online session.
To view the first "Ask Harv" session - see Knowledge, Power and Energy - What the heck are you talking about?

Watch live streaming video from peakpotentials at livestream.com

In this session of "Ask Harv", Eker elaborates more on describing the difference between "Active" and "Passive" incomes. "To create a passive income there are two ways you can do this. One - you can buy an income structure that someone else built and already works. Two you can create or build your own structure."

Harv continues his teachings by providing some examples of Passive Income in which he goes on to explain that "people" are the ones to make this complicated. "Keep it simple!! Simple is usable, Complicated is interesting."

His strategy is continuously based on "changing things at the root" which in turn changes your inner-money blueprint. Your programming (childhood upbringing) established your thoughts, your thoughts established how you feel, and your feelings lead your actions and your actions lead to your result. And the cycle continues. 

So what you have (your results - ex: debt, material things, knowledge, whatever, etc..) are a result of your actions (...whether you'd like to admit it to yourself or not). And most of these actions were based on feelings (how you felt at the time) which were result of thoughts (what you believe, what you value, what you know, etc.) which comes from your inner-programming (what you were thought and/or what you kept as beliefs).

Just remember beliefs are 'changeable'. What you believed as a child, as a teenager, as an adult isn't always the same - to some degree (and at times completely) your beliefs changed, they are no longer the same beliefs.

Example: My parents smoked. I started smoking not thinking any differently - actually I thought it was cool. But as I got older and more knowledgeable, my beliefs changed and have now been smoke-free for over 10 years.

Your beliefs are what tell your brain things and so your brain then believes them - cause you are telling you something, and why would you lie to yourself?

In the book Secrets of the Millionaire Mind, Mastering the Inner Game of Wealth, T. Harv Eker goes on to describe: "I worked my butt off but kept coming short. I had "Loch Ness monster disease": I had heard of this thing called profit, I just never saw any of it. I kept thinking, "If I just get into the right business, get on the right horse, I'll make it." But I was wrong. Nothing was working... at least for me. And it was the last part of that sentence that finally struck me. How come others were succeeding in the exact same business I was in and I was still broke? What happened to "Mr. Potential"?


So I began doing some serious soul-searching. I examined my true beliefs and saw that even though I said I really wanted to be rich, I had some deep-rooted worries about it. Mostly I was afraid. Afraid that I might fail, or worse, succeed and then somehow lost it all. Then I'd really be a schmuck. Worse, I would blow the one thing I had going for me: my "story" that I had all this "potential." What if I found out I didn't have what it took and I was destined to a life of struggle?"

...you'll have to read the book to find out the rest! ;-)
Like I said earlier, his writing techniques were captivating and so real -This book is powerful, persuasive and practical on all levels. Got me thinking... so anyways back to the "Ask Harv" interview...

In the end what's important is you. Making money is work - because making money means you are working for the money. Odds are you, this means you are working at making someone else's vision a reality. Earning money is the other end of the spectrum. Earning money means that money is working for you. Yes of course, you'll need to at first work to get things started, but when the wheels are in motion, the wheels keep turning without you. (Of course like anything else, maintenance maybe required at time - ex. oiling the wheels; changing a tire; etc...) But all-in-all, when you've established a system that works for you - you have now entered the "Passive Income" model-family. 

What do you need to do? First off, "Get in the game!!", Harv explains "Stop thinking about every single move!". A single step is better than thinking about every single step to be taken and not taking them cause you're too busy planning them... "Take steps and adjust as you go!"

When establishing a "passive" income system there are 3 focus points:

#1: Product

Whatever it is that you are providing, always aim at making it better. 

#2 Customers

Go from having "lookers" to "buyers" - this is your Marketing strategy.

#3 System

Make it so that your product runs without you.

With these 3 focus points in mind, you then have to take action:

#1 Have an intension to create multiple passive income streams. (Remember to complete one successfully first, before embarking on establishing any further streams!)

#2 Get Knowledge. (Learn about what you are doing and continuously keep learning... don't stop!!)

#3 Take Action. (Take what you learnt and put it into action!!)

** Now keep repeating steps 2 & 3 to keep making your system better!! **

Some "Passive" incomes presented by Harv as being quick-fixes are (again - always falls between two categories: Purchase an existing system that works OR Creating your own):

Purchasing Passive Income (examples):

- Vending machines

- ATM machines

- Storage Units

- Real-estate

- investments

Building your own Passive Income (examples):

- Invent a Product (and then patent / trademark with a lawyer and then give/sell it to someone already in the business)

- License your ideas!

- Robotic Internet Marketing Systems

- Professional Web Affiliates

- Joint Venture Brokers

- Royalties (ex. write a book, write a song, write a movie, create a game, create some art, etc...)

Just remember that you = value. 

Your value is that which solves a problem for people.  

Remember, not everyone can do everything - they just don't have time (otherwise you'd be doing it all too, right?!).

So everyone needs a hairdresser - that's the value (talent) you have.

You understand the hairdressing business, the needs of the customers.

So how do you make this a "passive" income. 

Well, why not open up your own shop (instead of working for someone else)?

Then you hire hairdressers to work for you, you have business people running the business.

...and so now that your work is done, you lay on the beach making all the necessary decisions - do I want a piña colada or a cerveza? ;-)