Top Passive Income Streams for Early Retirement: Insights from Financial Planners and Millionaires

Title: Three Passive Income Streams Millionaires Use to Retire Early

As the desire to retire early and live a comfortable lifestyle grows, many individuals are turning to passive income streams to support their financial goals. Financial planners who work with millionaires have shared the most lucrative passive income streams that can help individuals achieve early retirement.

Rental and investment properties are a popular choice among millionaires for generating passive income. Darren Colananni, a financial planner, highlights the benefits of having rental properties that provide a steady stream of income and tax benefits. By depreciating the property and deducting expenses, individuals can build equity in the property while receiving tax-free income.

Social Security is another passive income stream that millionaires rely on during retirement. Scott Sturgeon, a financial planner, emphasizes the importance of strategic planning when it comes to collecting Social Security benefits. While individuals can start receiving benefits at 62, waiting until age 70 can result in higher payments, providing a reliable income source later in life.

Investing in businesses is a common practice among retired millionaires, according to financial advisor Brian See. Whether investing in start-ups or providing capital to established companies, individuals can access royalties, profit sharing, or capital gains by owning a stake in a business. This investment strategy offers the potential for significant returns in the future.

By diversifying their passive income streams through rental properties, Social Security benefits, and business investments, individuals can build a strong financial foundation for early retirement. Planning ahead and seeking advice from financial professionals can help individuals achieve their retirement goals and secure a comfortable future.