1. The active income is the income for which there have been performed various services. This type of income includes wages, tips, commissions, salaries, and income from businesses where one can have material participation.
2. The passive income is the income that allows an individual to earn money without being actively involved. There are various situations one can have passive income, such as limited partnership, rental property, etc. Even if the services of this income are not active, they are still taxable.
Now that you know their characteristics, you can easily spot the main differences. If there is anything you should know, is definitely the fact that a successful person has both of these types of income. However, it seems that once it is achieved, passive income is able to provide more advantages than the active one. The main difference is that when it comes to the active income a person has to actively be involved in the working process, while in the case of the passive income a person is not involved actively in the working process. However, those who want to have a passive income will have to work hard in order to have money to invest.
When it comes to Internet marketing strategies, you should know how to create both passive and active income. However, your main focus should be in generating more passive income. This is simple, since all you have to do is to create a website and to generate traffic. In order to do this, you don't have to spend hours in order to post ads on forums and Facebook, but you have to create a website that will actually attract your target audience. It has been proven that people don't click on the online ads that invade their computer every time they access a website. On the other hand, they are actually attracted by valuable content especially created for them. Besides this, you can also publish on your website YouTube videos and interesting pictures. It has been proven that consumers are attracted by visual media. As you can see, it is very easy to make a website work for you, generating the necessary income you need.
Now that you know all this, you should focus your attention on passive income. It may be more difficult at the beginning, since you will have to work harder, but with time you will be able to create a powerful income generator that will work for you. In this way you won't have to worry about your income and you will have more free time in order to enjoy life. As you can see, if you have the will it is possible to achieve passive income.