Let's Drop the term "Passive Income"

[Meghan K.]

A plea to my community of Real Estate Investors: Can we drop the term "Passive Income"??? It seems to me to have negative connotations and to promote negative impressions of the business and its practitioners! It seems to me a better term would be "Proactive Income". There is really nothing passive about my real estate income, as I am proactive about finding properties, securing the financing, purchasing them, rehabbing them, finding good tenants, and doing all the tasks required to maintain the property. If I sit back and collect checks without being bothered by any work, it is because I was proactive and worked hard to make a property sound BEFORE the tenant moved in! It is because I was proactive and performed preventative maintenance sweeps twice a year. Please, Fellow Investors, lets raise the profile of our business and use a positive term for our income.

[David Krulac]

@Meghan K.

The term comes from the IRS. If you are going to get the IRS to change on anything, I can think of lots of things on the list ahead of terminology.