Friday, July 24, 2009


Definition of Passive Income is "Income generated with minimal work from your investments such as interest, dividends, or real estate rentals."

Passive Residual Income is another term normally used by investors. It is defined by income derived from working hard once but receiving the income continuously.

The benefits of having passive income are
1. You only work one time and the income will flow in in a timely manner, be it monthly or yearly or longer
2. You can work your normal way and still earn more at the end of the day. Your passive residual income is not dependent on a 9-5 work week and can be generated 24 hours, 7 days a week.
3. Freedom to choose when and where you wish to work.
4. Create unlimited amount of income; the more you put your effort in, the more you earn
5. Create residual income for your future retirement.

Passive income is our key to financial freedom. We will be less dependent we are on our job when we have more than one streams of passive income. When our passive income exceeds our expenses, we can stop working anytime we want and can still live the desired lifestyle. That is financial freedom.

There are many passive income around that you can source.

The five ways of generating Passive Income especially for Malaysians are
1. Dividend from Investments
a. Invest in Cooperative Banks such as Bank Persatuan and Bank Rakyat
b. Bank Persatuan is new for Klang Valley area but it has been in existence in the 50s, originally in the North of Malaysia.
c. Invest in Amanah Saham Bumiputera (ASB) introduced by Permodalan National Berhad (PNB)

2. Income from Investment in Unit Trust.
There are many reputable Unit Trust available in the market organized by Unit Trust companies such as Public Mutual, CIMB Wealth Advisor, MAAKL Mutual etc. They offer a variety of unit trust catering for each individual needs

3. Rental from Real Estate.
This means that you buy Properties and let the Properties out to tenants. The consistent rental from will give a good source of passive income.

4. Royalties from publishing a book
Writing a book will enable you earn commissions from the publishers. Royalties is another good source of income as you really work one time. If your books have lots of information that people need, they will be utilized, searched, bought and printed repeatedly.

5. Internet Marketing
Internet Marketing has been around for the last 10 – 15 years. The demand is very good as people always search for information eg where to buy things, do internet banking transactions etc.

For more information on passive income, feel free to go to


As usual, I would send my two elder sons to the bus stop at Seksyen 9, Shah Alam. For the past few days, their bus was always late. Their school hour starts at 8:15am. Today, the bus arrived at 8:15am; later than yesterday at 8:05am. On last Wednesday, when the bus did not come at 8:00am, I sent them to school straight away. The boys were saying that their friends missed one class, due to the lateness.

Since I reached there early today, ie around 7:40am, and my office hour only starts at 9:00am, I just did not want to drop them and leave. Normally, I would use that 15 – 30 minutes time as useful as possible. I would just ask them about their school, their tuition classes, their games and many other things. I tried to be a good listening friend to my children as I want them to share their daily experience and encounter with me. I guess we should be in our children’s lives all the time, not only when we want to correct them. I would say that my children are happy when I am ‘one of them’, and they are happily sharing their secrets and sometimes share others’ secrets too.

Yesterday, my eldest, Radhi, was mentioning that he wants to learn Mandarin as more than 1 billion people is speaking the language. Hmm… that’s a good fact and a good reasoning too. We encourage our children to speak up and this works very well with my second child, Nabil. He can ask people bluntly, eg “Ayah Long’ (Uncle), why do you smoke? Don’t you know that smokers are syaitan’s friends?’ That was more than a couple years’ back (He actually asked in Malay Language, of course, I translated it!).

This year, I made Radhi the Imam for myself and his brothers, Nabil & Umar. At first, he was quite reluctant especially comes the ‘doa’ session. I said to him to just say anything, ask for anything, even in Malay Language. If you do not ask, God will not give it to you. Same with me, I said. If I don’t know what you want, I can’t give it to you. I can't read your mind. Now, I am very proud to say that his ‘doa’ session is even better than mine. All recited in Arabic. (They learn Arabic in school!) Nabil also get to become the Imam, when Radhi is not around etc. I really hope that my children would grow up being strong, independent and excel in their future undertakings, as well as being a resourceful leader.

My worries are that they do not like reading very much. Be it fiction or non-fiction. But they like to draw whenever time permits them. Umar was asking the other day, 'Why does our house have lots of books?' My reply was, 'I want you to read, that's why.' I would need readers' advise in this matter as I was not that successful yet.

** Having called their teacher, informing about the bus driver's lateness consecutively. We were informed that their lateness was due to family matters ~ death. Sorry to hear that. AlFatihah to the ‘jenazah’.

Wednesday, July 22, 2009


Finally, after hours of training, hours of effort, hours of try and terror, hours of frustration, I managed to have my website uploaded. Phew!! At least, now I can show my love ones that my effort is not fruitless. Now, I can easily explain to them where I went some weekends.

My passion is Financial Planning. Upon my searches to find new information especially passive income, I stumbled into Internet Marketing. It is indeed a powerful tool as most people resort to computers to find things, look for information, buy new and old things, make money, networking, finding opportunities etc. Nowadays, if you do not start using computers and internet, you will definitely left behind or obsolete.

Even in working life, you need new information for the normal work process, new technology to fasten your work process, gadgets to simplify your life. For those who wants to find new opportunities, feel free to check out and see for yourself what's in it for you.

The best investment that you can have is Invest In yourself as you can never be obsolete if you always ReInvent yourself. Find a good mentor and copy their steps.

Have fun browsing.

Sunday, July 19, 2009


I have been an active member in Facebook for a few months back. For me, it is actually convenient to keep track of all friends from recent and previous encounters, looking at only one site. Pictures can be downloaded and thus, you can see the changes in our friends, physically as well as their current activites. I accepted friends requests as I believe the more friends you have, the more you can learn from each others' experience. I am available at Do give me a short message, informing that you read my blog, so that I can easily identify you among others. My passion is financial management topics specialising in earning passive income. Another passion is on children's behaviour.

I posted the article below in my Facebook account last Friday, 17th July, 2009 at, for the benefit of those not in FB yet.


Today in Radio IKIM, Repr from Permodalan BSN was mentioning that there are 11 million people in Malaysia having credit cards with an average of 4 cards per person.The total credit card debts from these 11 million people is RM23 billion circulating around. 2397 credit card holders are of 25 years old and below. ( Did I hear this right? Or was it 2397 people is already declared bankrupt?) 125 of the 2397 are aged below 25 yeards old and are bankrupt TODAY!!.

Parents, do educate your children to be money savvy. Spend LESS than you earn.For a fact, I too have more than 4 cards myself (each have their own reasons behind it) but I paid almost all debts by end of the month. My biggest expenses in the bill is paying for my continuous education.

Bankers should be made aware the situation that they put us in. These days, One bank introduces many types of credit cards, one for fuel, one for hypermarkets, one for airlines etc etc. Can't they just put all their JV into one card and we can have only one card per person. Who wants to bring this up?

For those who are already in the credit card mess, you can talk to Agensi Kaunselling dan Pengurusan Krdit AKPK at 1-800-88-25-75. Its website Just found out that they are actually in FB, check out this link


I went to T. Harv Eker’s Seminar recently and he talked about GOLDEN GOOSE.


Golden Goose as in the fairy-tale story laid golden eggs. The eggs can be collected and used to buy food, shelter and other necessary items. You must preserve (take care of) the golden goose as it is the source of income for you. You can spend the golden eggs but you cannot eat your goose.

Here, Golden goose is described as part of our income that is set aside to generate more income. The money in the Golden Goose should be set aside in a vehicle having capital preservation, not to be reduced at all cost. The income coming from it can be used for other investments to generate more income. Thus, you make your Money work hard for YOU!!

How to we increase our income (preferably passive income)?

In order to increase our income, we should actively look into all avenues. Ways to generate more income can be segregated into two main classifications ie Active and Passive Income. Active Income is income coming from a few ways to make money and the ways require our participations and involvements. Among the Active Income avenues are Forex Trading, Options Trading, Stock, Mutual Funds, IEFT and Commodities (eg Metal such as Physical Gold & Silver). Passive Income is income coming from avenues which require us working on it only at first. It does not need our presence all the time. Among the Passive Income available are Money Machines such as Book Writing, Land Banking, Internet Marketing, Trademark and Patents, as well as Physical Gold & Silver.

Now, start thinking about your very Own Golden Goose.

The invited speakers are the experts in their field. They are Keith Cunningham (Rich Dad for Robert Kiyosaki), Phil Town (Renowned author of a Best-selling Book ‘Rule #1)’, Aussie Rob (Millionaire in Stock Options), Sam Higgins (Expert in Tax Lien), Harry S Dent (Renowned Economist) and Jordan Goodman.


I have a few blogs earlier but the blogs were suspended due to my lack of knowledge in blogging and internet marketing. Along the way, I tried to learn as much as I could to improvise my approach. As the normal saying says “Knowledge is POWER”. However, the gurus are now mentioning “Applied Knowledge is POWER”. This means that we have to TAKE ACTION on the knowledge that we have.

I hope that this blog will be able to serve those in the same dire need of knowledge of investments and financial independence. I am passionate to write about passive income and will try to depart with my limited knowledge and research for the benefits of viewers. I welcome all contributions by all of you.