Passive Income: Strategies and Psychological Traps

From the Handelsblatt archive: In order for the promise of passive income to come true, it is important to avoid common mistakes - and say goodbye to an illusion.

Passive income: A stream of money without work is possible using various strategies. Photo: Thomas Kuhlenbeck

Psychologists know that the brain reacts with feelings of happiness at the very thought of passive income. A regular stream of money without work is initially associated with effort, but is certainly possible. Handelsblatt shows how it works using four investment strategies.

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Munich. Passive income: When these two words are mentioned, most people's head starts going crazy. No more appointments, just do what you feel like doing, and all without the anxious question: “Who’s paying for it?” This is probably the appeal and success of many self-proclaimed financial strategists who loudly promote their ideas for passive income on social media.

“From a psychological perspective, the idea of ​​passive income primarily brings together three wishes: security, freedom and relief,” says Valentin Haas. The psychologist and executive coach knows this phenomenon from countless sessions: Especially when someone feels like they are permanently on the hamster wheel, just the thought of salvation gives them a brief sigh of relief.

At this moment, says Haas, our brain reacts with a feeling of happiness: the neurotransmitter dopamine is released because we believe we have found a way out - even though nothing has changed in the situation yet. “Videos, success stories and promises like: ‘Save X amount and you’ll be able to live on it forever’ provide a real dopamine kick,” says the psychologist.

But if you take a closer look at the offers, you will usually find little that is concrete. There are few questions in which concrete numbers play a larger role in the answer. Whether passive income can work depends on several factors:

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