Financial planning does not always imply to manage your cash in hand. It does imply how one should plan to earn money as well.
There are two ways of making money.
1. Active Income
2. Passive Income
Active income means one person spending his time to do some work to earn some money. For example, we work to get salary, Shop keeper work to make sales. In this a person is needed himself to do some work and make money.
Passive income on the other hand means you have done some work once and making money continuously from the same work that you already did in the past.
The interest earned form savings bank fixed deposit is the best example of passive income. For that you are not working on it anymore. You earned the money in the past and kept it with bank. They use the money and give you benefit.
Some other examples of passive income are,
1. FD interest income from banks
2. Income from rental of any kind of asset
3. Income from digital assets
4. Income of royalty, etc.
One must include as many assets as possible to make a good amount of passive income.
There are plenty of sources for passive income.
People do blogging and promote ads to make money.
Some people develop games and apps to make money.
Few other create some stunning designs and sell them online for money.
Providing service is not a passive income. But some times you need to support your assets maintenance.
Lets try as many ways as possible to include into our portfolio to make money working moderate hours. This will give you a steady income in long term.
Then you must plan to grow your assets portfolio and grow earnings.