Passive vs. Residual Income: What's the Difference?

June 29, 2021

Passive income and residual income are sometimes used interchangeably, but these two terms represent two different types of income. While residual income can be passive, passive income is usually not residual. For an insurance agent , making this distinction can help you share the financial opportunity of working in the insurance industry with prospective hires.

What is residual income?

In terms of personal finance, residual income is the income an individual has left over after their debts and expenses are paid. This is often used to determine creditworthiness with lenders. An individual can create residual income by reselling items they already own or offering paid services to friends and family.

What is passive income?

Passive income refers to the money you make with little to no daily effort on a recurring basis. Passive income is not directly related to the time you spend working, and once established it can offer financial stability with little maintenance. Your earned income is the money you make working for a salary and employer, while passive income would be indirectly related, often through an initial investment that pays over time, such as a rental property.

When joining Symmetry, all of our agents can start generating passive income by building and running their own agencies. With our unparalleled benefits, technology, culture, connections, and business model, you will be empowered with the support, training, and tools needed to be a successful agent and builder within Symmetry. The growth and success of your agency will create passive income for you, leading you to the ultimate balance of time and money.

Why build passive income?

During your working years, passive income opportunities can allow you to carry out your financial goals quickly. Even better, if you choose a career that offers passive income opportunities, such as establishing your own insurance agency with Symmetry Financial Group, you will be able to earn an income while securing passive income and running your own business.

Benefits of passive income include:

  • Increased wealth
  • Early retirement
  • Protection from loss of a partner’s income
  • Income if you outlive your retirement fund

The Agency Owner opportunity at Symmetry Financial Group

If you’ve ever wanted to own your own business, you will be happy to hear that Symmetry Financial Group has the insurance industry’s only true opportunity for agency ownership!

At Symmetry, we have taken what works and built a proven system for people to build their own business and leave a tangible asset behind for their loved ones. With Symmetry, you will have total ownership of your insurance agency, meaning you can take full control of your career and the legacy you leave for your family. You’ll also be able to pass your business on to a loved one or sell your business later in life – it’s all up to you.

Corporate support for your clients and sales

The Symmetry Financial Group corporate office provides all-encompassing support for insurance agents nationwide. Whether you need support closing a sale or training a new team member, Symmetry offers the resources and tools you need to succeed through every step of your business.

As an insurance agent, you can earn passive income by building your agency and growing your team. Whether you want to build your own agency or focus on being a career producer, Symmetry Financial Group has the resources and support you need to reach your goals.

Are you ready to start or advance your insurance career?

Our insurance professionals get to experience the Symmetry difference daily. To learn more about what makes us different from the competition and why we have been recognized on the Inc. 5000 list of fastest-growing companies for five years in a row and on Entrepreneur Magazine’s Top Company Culture list for two years, contact us today.

 

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