- Passive Profits Online

 5 Step Strategy Guide For Success

The following strategies are intended primarily for beginners in passive income programs, but for the most part it’s the same one I use. Once you get a little more experience with these programs you will probably tweak them a bit here and there, but the core fundamentals of this approach never really change.

First of all, NEVER USE MONEY YOU CANNOT AFFORD TO LOSE!!! This might seem like common sense to most, but I still read about people that put the rent money into ProgramX, ProgramX goes belly up and they lose everything. Sometimes it’s these same people doing the very same thing in the next program that opens. You don’t need to be any sort of  numbers guru either – It mostly just boils down to having a plan in place to begin with and then using common sense.  I don’t mean to sound like a total jerk but It’s something I see time and time again. Very sad because it’s preventable, yet very common.

When you decide to put hard earned money into anything, online or off,  you are going to assume risk. The internet is no different, probably much more so. But with increased risk, we also expect to be rewarded much greater than most other types of investments.  The main thing I try to do is get my investment to a point beyond any risk. Once you get beyond any risk then you have much more leeway to adjust, depending on any number of situations that might arise.

The following is an outline of the steps I take to minimize risk, and then maximize profits. I will have more to add to each below them.

1- You cannot bank everything on one program. You need to spread out.

2- Get in as soon as possible; the earlier the better. (This and #3 are THE MOST IMPORTANT)

3- Get your seed money back out as quickly as possible. Your seed is your initial investment.

4- Once your seed is safely withdrawn, maximize your profit run.

5- Repeat the above, as there is almost always a new opportunity starting just around the corner.

As you can see, there isn’t all that much to it from a broad perspective. What follows is a closer look at each item.

1– The old adage of putting all your eggs in one basket holds especially true here. What happens when the one program you put everything you had into suddenly stops paying? It could be for any number of reasons, possibly even for reasons completely beyond an admins control. Well, you guessed it; now you need to start from scratch.

It is therefore important to make sure you have enough money to be able to join multiple programs, I would think at the very least three. Five is better yet! You don’t need to join three right away, just have enough funds to do so. If you don’t have funds for a minimum of three, either wait until you do or start with a lower amount.

For the majority of programs found online, I would think $100 or so per program would be the lowest amount needed to start effectively. If you are able to start out at the $200 range per program you will find a better profit percentage since fees (admin, processor etc) will eat up less of it.

Also, if you do need to start with a lower amount, find out beforehand what the minimum withdrawal amount is. Waiting until you have enough in your balance for a withdraw might add extra risk so check first. Also, payment processor fees will eat a bit of money too, but it is the price we all pay in order to play.

2– GET IN EARLY!!! On the first day if possible, but definitely as early as you can. I don’t think I can stress this enough. I often see people (or promoters for that matter) proclaiming their favorite programs to be “Paying” or “Still Paying”. This might be true enough, but what are the chances it will still be paying long enough down the road to be profitable for a spend you make TODAY?

I usually will consider what prior programs with similar comp-plans as a gauge for figuring the latest one can safely join and still expect to make goods profits. I will post this on the “Programs” page of each program. Again, this should be used only as a guide. Nobody knows how long a program will run beforehand, probably not even the program admins themselves. It’s the money that rules the roost with all of these programs. I would venture a guess that most times the only factor that truly “knows” is the money coming in versus money needed to go out.

The earlier you get in not only reduces your risk since you have a far better chance of safely getting your seed out, but the sooner you get to profit mode, you now truly maximize your profit run by virtue of receiving more payouts. Even 2 or 3 weeks of longer running payments can make a huge difference.

If you are still not sure you are joining a program early enough, it might be best to just pass and wait for a better opportunity. I have kicked myself many times for not joining something sooner, but I never beat myself up anymore for passing. I have jumped into things at the last minute and it has cost me… Something to consider.

3– Get your seed back as quickly as possible. You are the most vulnerable until you do. DO NOT COMPOUND. The numbers on your computer screen are not actual money until they are safely in your in your bank or payment processor. How long it will take to get your seed back depends on each program – anywhere from a week to three months or longer. Depending on minimum withdrawal limits, smaller players wont be able to withdrawal every day, but that’s fine. Just wait until you do have enough and then make them.

4– Make the most of your profit run. Getting your seed money out is very important, but nobody joins these programs just to break even. How to actually do it for each program is an objective-based thing, with many different factors to consider. The type of program and how you plan to “attack” it, your personal risk tolerances, how the program itself is doing, etc are all factors that need to be weighed.

Once I am in profit, I might compound a percentage of earnings and withdrawal the rest, or I might just keep on withdrawing until I can’t any more lol. It all depends. For most programs I will withdraw until I reach 100% -125% my original spend before I even consider other strategies.

By now I will have had plenty of time to decide how to maximize this particular program’s profit-run. I will have read and given thought to other people’s ideas and strategies I found on the forums and other sites. (I have found “idea sharing” to be one of the things that make forums invaluable; seeing what other people are doing and then bouncing ideas back and forth. More on forums coming!) But ultimately, I decide on a plan, put it to work and then ride it on out.

Then comes The Day of Reckoning: Your program is now winding down and the end is near. Hopefully it’s lived a nice long, prosperous life. You’ve heard some forum rumblings of late payments or maybe you’ve been experiencing them yourself. When a program ends, it’s not unusual to have one, sometimes more, withdrawal requests stuck in limbo. Unfortunately, that’s usually where they stay. Check your deposit dates, but unless the program was just a quick cash-grab by some shady admin or it was a really fast moving program that stalled, you are probably too late to file a dispute with your payment processor.

Try not to be upset losing your “numbers on the screen”. Look at it like this: You needed those numbers to be arranged that particular way on the screen. They helped you maximize your profit, and that profit translates into real, actual, spendable money. Besides, you shouldn’t have huge numbers on the screen anyway, because if you did, you most likely were not withdrawing enough. How much should be left then?  It all depends on whatever your profit-taking approach was for that particular program. For me, this number will sometimes be much greater that what I started with or it might be much less. I don’t care either way so long as I was sound with my profit strategy.

5– Repeat the entire process again with a new program. THIS IS HOW I EFFECTIVELY COMPOUND. I compound my profits with different programs, and not the individual programs themselves. I call this phenomenon “churning” as I take profits I’ve earned in one program and then “churn” them into bigger profits with the next good program that comes along. I always keep a portion of my earnings for myself too.

Once you are in three solid programs you will now be withdrawing enough from those to join a fourth one, and then a fifth one. I only list a chosen few on this blog, but I usually am in anywhere from 5 to 12 programs at a time. Once you get past five it can get tricky juggling them all. As programs finish out their lifespan they will come off your current “portfolio” list (hopefully after profiting for you nicely), and now you can either join more programs or start using a higher dollar amount as your seed.

Final Thoughts:

Hopefully you can see now the income potential this strategy has. Start small with just a few programs and get your daily routine down with your withdrawals, etc. Once you are in a few and are getting the hang of it start joining more. By this time you should be well enough on your way to use profits from current programs to join new ones. Always make your withdrawals whenever you can.

Mostly, just use common sense. Try not to let emotions cloud your judgements. Don’t join everything you see, and make the most of everything you are in. There are always new programs coming out so learn how to pass on others.  Stay away from programs that just seem too good to be true, as they probably are.  Anything listed here I consider to be on the topmost tier of online opportunities and I do my best to do due diligence on each, but I encourage everyone to do their own due diligence on anything they are considering putting their money into.  I will have more thoughts on this subject in the near future.

Don’t ever lose sight of the big picture. I’m still guilty of this at times, lol. Sometimes I get so caught up in the daily minutia of things I lose sight of the big picture.. Let’s face it; There are going to be bumpy rides at times and you’ll “feel” them most when you are still out of pocket. Once you are joining new programs using profits from others you don’t feel it nearly as much.   Not everything you join will be a home run, sometimes even a complete wiff! But by the same token, it’s very easy to get lazy when you’re on a good hitting streak. Something else will start to suffer within your biz. I try to look at each program as just tiny part in my investment portfolio. It doesn’t matter really what that one particular program is a strike out or base hit, it’s simply one at bat towards the overall batting average for that season (Not sure what’s up with all the baseball relates..).

But anyway… Who loses money in these types of programs? Many times it’s people that never withdraw and just try compound all their earnings, and the program ends up closing before they ever do.  I’m not sure if all-out greed is the proper term, but greed can definitely play into it. Try not to fall into this trap by always taking out profits even if they are small. Even if a program closes before you have gotten your seed all the way out, it is still much better to get most of it out instead of losing everything.

Another big reason why people lose money is by joining a program too late in its lifespan. This could be due to any number of reasons: unscrupulous promoters, the program is just too big and now can’t keep up with payments, bad luck etc. One of the main focuses of this blog is to harp on getting in early and everything I list has the launch date as well as my thoughts on the time frame and probability of a profitable run. Keep in mind, I cannot see into the future better than anyone else can so please just consider it a guide.

Once in a while you will join a clunker and it will not be profitable. This is just a fact of life in these programs. Keep in mind however, it only takes one good program that runs beyond its expected lifespan to make up for many, many misses. These make for a fun, profitable and wild ride.

I hope these strategies give you some insights into how these programs work and help increase your overall profitability. Allow me to share a few profitable passive income programs I am currently involved with HERE.

I’ve also written up some straight-line money cycler strategies for the true gamblers among us (yep, I’m definitely one of those!). These can be found here: Money Cycler Strategies


Happy earning!