Passive Income Report :: June 2007

Comment from MillionDollarJourney.com
Time: July 19, 2007, 4:54 am

Hey, great site. Do you really consider blogging to be passive income? For me, blogging takes as much time and effort as my regular 9-5 job.

FT

Comment from Randy Yniguez
Time: July 19, 2007, 5:32 am

Good for you, Brian!!! I’m glad that you are doing well, and doing better with every passing month. You’re truly an inspiration to everyone who is striving for personal freedom. Thank you for sharing actual numbers with us. It makes us see that passive income is a reality if you put the work and effort into it.
-RY

Comment from Jeremy Reeves
Time: July 19, 2007, 6:43 am

Brian,

Would you mind sharing what your current expenses are? I’m keeping track of my expenses and passive income and I’ve drastically reduced my expenses (by about $200/month and I’m a college student lol)

Maybe me and you could have a little race to see who gets to financial freedom first. We’ll go by who has a higher percentage of financial freedom (last month I was 74.6% free but this month it won’t even be near that b/c it was unbelievably slow for me)

E-mail me if you’re interested. It might motivate both of us a bit more and I think it’d be fun.

Anybody else can feel free to e-mail me too. Lilreeves@aol.com

Jeremy

Comment from Brian Lee
Time: July 19, 2007, 9:46 am

MDJ, as far as I am concerned, there is no such thing as a completely passive investment. All of my income sources have a residual component, meaning that if I were to stop blogging, I could walk away and still get a stream of income. It would probably slow down, but it would still be there.

That being said, I put about 10 hours a week into this blog. Blogging is definitely less passive that other investments, but it does have a strong residual component.

Read How Passive Is Your Income for more on this.

Comment from Brian Lee
Time: July 19, 2007, 9:51 am

Jeremy, the numbers I give above are gross profit numbers, meaning that they already include cost of good sold expenses. I have a few other additional expenses before I get to net profit, but most of them are expenses that I would have already spent if I didn’t have the business “like internet.”

I’ll keep your request in mind and maybe I’ll break down the whole income statement in an future post.

Comment from Lisa
Time: July 19, 2007, 10:21 am

I’m curious about the expenses involved in your passion “making film”. Are you expecting these expenses to be covered by your passive income or are they expected to generate their own income?

The expenses for my art career are fairly extensive and the more art I make the more expenses I end up with. It would seem to follow that the more time you have to follow your passion the more expensive it becomes to do this. So I’m curious if you’ve noted the same and how you are calculating it into your plan.

Comment from HalOtis
Time: July 19, 2007, 10:41 am

Thanks for sharing the numbers, it puts things in perspective.

Keep up the good work.

Comment from Paul
Time: July 19, 2007, 11:42 am

congratulations, most people don’t seem to make a dime off of their blogging practices. It’s always good to see others who profit from it. Candy vending is something I have never considered actually, interesting. good post.

Comment from Jack
Time: July 19, 2007, 1:31 pm

I am curious to know how you are calculating your profit margin on the candy. Are you simply taking gross revenue - cost of candy?

Comment from CreditCardGuy
Time: July 19, 2007, 8:14 pm

Brian,
Congrats on the continual increases. How many vending machines do you have in Austin vs California? Which route makes more?

I am guessing Adsense makes you the most Blog income? What percentage of the total is it.

What is your network marketing company and how is it generating income for you?

Thanks, Really enjoy the Blog.
CreditCardGuy

Comment from Brian Lee
Time: July 19, 2007, 8:39 pm

That’s a good point Lisa. My first goal is to cover my normal expenses. I’ll add film equipment as I have the money, and look for outside sponsorship.

Comment from Brian Lee
Time: July 19, 2007, 8:41 pm

That’s right, Jack. Gross revenue minus cost of goods sold (candy).

Comment from Brian Lee
Time: July 19, 2007, 9:19 pm

CreditCardGuy, I have 10 machines in Austin and 34 in LA. Obviously, I make more in LA, but my per-machine earnings in Austin are almost double.

Check out the Blog Income Report for a full breakdown, but Text-Link ads was my top earner last month.

You can read about my network marketing company here.

Comment from redlizard
Time: July 20, 2007, 10:08 am

Brian,

If have calculated your average income per machine for Austin based on the figures you provided
(btw: 1061.31 (total) /25.27 (avg. per machine) = 42 machines)

1061.31 = 10x + 34x/2
x = 39.30 per machine in Austin

I believe you mentioned that you only go to Austin every two months, so I’m assuming that this higher take rate also reflects the extra time (?)…

The cost of traveling from LA to Austin is around 198 USD for a reg. flight on expedia.com with 14 day advanced booking (assuming driving is not an option because it takes 20h according to map quest). but then you need a car to cruise around and do the pickups, no? don’t know the cost on that…

39.30 * 10 = 390.30 Total

My questions to you, is it really worth keeping those machines?

Just playing devils advocate… i like reading your sight

cheers from switzerland,
redlizard

Comment from Brian Lee
Time: July 20, 2007, 12:48 pm

One problem with your math: If I go every 2 months, I’ll be picking up 2 months worth of money. So the payoff is more like $800 - $1000.

The other thing is that I consider a trip to Austin a vacation. I like to get out of the hustle of LA and go back to a place that I love. I would continue to do it as long as I broke even on the proposition.

Comment from 4MySales
Time: July 26, 2007, 12:27 am

Interesting post. Another source of passive income could be affiliate marketing, or monetizing your blog. Just a suggestion.

-4MySales

Comment from Reggie, the black kid with good credit
Time: July 28, 2007, 5:13 am

I have to say I love this blog & just subscribed. As I’m beginning to get out of debt I’ve been wondering about passive income. I have to say your blog has to be the best resource I’ve clicked on thus far. thanks for the great post.

Comment from Stephen
Time: July 29, 2007, 5:20 pm

Brian,

Just stumbled across your blog & have been devouring as many posts as I have time for. I subscribed & look forward to future editions. I recently started a similar blog on passive income and look forward to learning much from you!

Thanks, Stephen

Comment from cooliojones
Time: August 8, 2007, 7:34 pm

We have similar goals. Thanks for being so transparent and sharing of yourself to help others!

Pingback from StumbleUpon » Your page is now on StumbleUpon!
Time: August 11, 2007, 11:31 am

[…] Your page is on StumbleUpon […]

Pingback from Reggie, the black kid with good credit: July 2007
Time: September 5, 2007, 3:26 am

[…] just read a great post on passive income from a blog I just recently noticed:http://geniustypes.com/Apparently Brian , has made over $1,500 […]