Suzanne is a content marketer, writer, and fact-checker. She holds a Bachelor of Science in Finance degree from Bridgewater State University and helps develop content strategies. Passive activity ...

Being materially involved with earned or ordinary income-producing activities means the income is active income and may not be reduced by passive losses. Instead, passive losses can only be used ...

Active income requires you to materially participate in a work-related activity to earn money, while passive income comes from owning income-producing assets. You typically need to earn active ...