Welcome to reThinkable - my weekly newsletter where I share actionable insights to build a wealthy healthy life.

Here’s what we’re covering:

• 💭 Did you think this too?

• 🔐 The moment everything changed

• 💲 The Type B approach

Estimated read time: 4 minutes and 25 seconds

💭 Did you think this too?

If you were raised like me, then you grew up believing that the only way to make decent money was to get a job and collect a paycheck.

And if you wanted to make a lot of money, then you’d have to work really hard, all the time. 

But, as I studied personal finance and the actions of the wealthy, I realized that this doesn’t have to be the case. 

The truth is, wealthy people don’t get rich by working hard — they get rich by being lazy.

In today’s newsletter, I want to talk about how people can become rich by being “lazy” and how you can start today in just a few minutes

🔐 The moment everything changed

And just to be clear, there was no typo — the wealthy cracked the code to wealth by being lazy.

The reality is, if you’re lazy, you constantly ask yourself questions like:

• How can I make this process more efficient so I can finish it faster?

• How can I make more money while doing less work?

• How can I set up my finances so money comes in even when I’m sleeping?

These questions force you to reframe your thinking and actively look for ways to achieve more by doing less. In other words, rich people know how to take advantage of leverage to build wealth.

Seriously, look into the lives of any rich person and you’ll see that very few directly trade their time for money. Instead, they found ways to leverage their time to generate more money with less effort. 

More specifically, “passive income.”

AND I get it…. Whenever I heard the phrase “make money while you sleep” or “passive income,” I used to scoff. 

Most of the people who promote passive income are scammy and unreliable. They rent Lamborghini’s and take pictures outside of someone else’s mansion to show you that “they made it.” For many years, I also thought that passive income was a dirty fake concept only reserved for the super lucky and rich.

But there was a moment when everything changed, and I realized passive income isn’t fake. 

My moment was when I realized there are 2 types of passive income, Type A and Type B. 

• Type A is the most common type, which everyone talks about — like owning rentals, Airbnb arbitrage, and affiliate marketing. Building “Type A” passive income is hard because it takes a lot of upfront active work to get it going before it becomes passive. The problem is, most people give up before they’ve put in enough active work.

• Type B is less common, but it’s the easiest and quickest way to reap the benefits of passive income. The best part? It only takes minutes to set up, meaning passive income doesn’t have to be just a far-away dream.

Similar to how my moment changed my perspective on passive income, I want this email to be that moment for you.

💲 The Type B approach

There are plenty of ways to make “Type B” passive income but here are 2 of the easiest ways that you can implement within the next 5 minutes.

My 1st passive income stream

One of the first smart financial moves I made early on was setting up a High Yield Savings Account (HYSA). It’s basically a savings account that pays you money.

The problem with bank accounts like Chase, Bank of America, and Wells Fargo is that they typically offer a 0.58% interest. If you deposit $10,000 in a Chase account at a 0.58% interest rate, you’d earn $58 in interest by the end of the year.

In contrast, most HYSAs, like Laurel Road, UFB Direct, and Barclays, provide interest rates between 4-5%. If you deposit $10,000 deposit in a HYSA at a 5% interest rate, you’d earn earn $500 by the end of the year.

Opening a HYSA was one of my very first sources of passive income, and it continues to pay me interest every month without any effort on my part.

If you’re interested in opening a HYSA, here are my favorite FDIC-insured ones where you can earn between 4 to 5% on your money.

P.S. If you need help setting up a HYSA, reply to this email with the word “SAVE” and I’ll film a quick guide for you. 

My 2nd passive income stream

This next Type B passive income stream is a bit more powerful than a HYSA but it does require a few extra steps. Basically, it’s taking advantage of these things called “dividends.”

When a company makes a profit, it can choose to keep this money in its own bank account… or it can decide to give a portion of it to its shareholders — this distribution is called dividends. For example, if you own shares of Microsoft, then you’re entitled to a portion of their profits as long as you own the stock. 

The  easiest and safest way to start investing is by buying diversified index funds or ETFs like FXIAX or VTI.

If you’re interested in investing, Moomoo, the investing app I use, is giving away free stocks when you open an account and deposit $100. 

P.S. If you need help setting up a moomoo account, reply to this email with the word “INVEST” and I’ll film a quick guide for you. 

The reality is, building Type A passive income is hard — it requires a lot of energy, time, and upfront work.

But do you know what is even harder? 

Trading your time for money for the rest of your life.

Both options are tough, so you might as well work on the things that bring you closer to the life you want. 

That’s why starting with Type B passive income is so important. You can set it up in a few minutes, get a taste of what’s possible, and continuously earn income without any effort. Then, when you’re ready, you can start on Type A, because the truth is, until you stop trading your time for money, you’ll never become wealthy.

🔎 reThink More

• 💸 I’m helping 5 people take back control of their finances for FREE. Anyone can apply: sign up here.

• 📈 Wait… so apparently Baby Boomers are driving inflation now?

• ▶️ Watch it: My latest YouTube video, Something Terrible Is Happening To The 9-5 Job

❤️ Community Space

Last week, I wrote about I think I was brainwashed. This quiz was a trick question because there were actually 2 right answers: 1. A bunch of kids play hide and seek. The seeker wins if she finds all the other kids, otherwise, the hiders win. 2. Two teams pull on a rope at a company retreat. Only one team wins and stays out of the mud.

Here are some of my favorite responses:

• “Sometimes a “zero sum game” attitude is necessary in life. For instance, in a real game, let’s say soccer, there needs to be a clear ‘winning’ team and a ‘losing’ team because losing forces you to look at how you can do better next time. It makes you try harder and in that way you become better player. In life it’s the same- if you make a mistake you reassess what you did so you can hopefully not make the same mistake in the future.”

• “The 2 bakers compete. One wins with the trophy but they both get to enjoy the cake together- assumption they eat together! Unless it is virtual or they are sent home with cake. The rope one leaves a team in the mud which could actually be fun as a mud fight ensues! Another assumption. The hide n seek - only one team wins.”

• “Love this. I felt like this particular issue was more to the point and relevant. Very helpful, and I’m definitely sharing this. Thanks again.”

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📝 reThinkable Quiz

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See ya next week, Vincent.