Residual Income Calculator
"Build once, get paid forever." Is it true for you? Put in what you earn from customers or a team today and how many stop each month. See what happens if you keep working — and if you stop.
What this tool does
Every month, some customers or team members stop buying. This tool takes that drop-out rate and shows two futures. In the first, you keep working and add new income each month. In the second, you stop today and add nothing. You see both lines on one chart, how long until half the income is gone, and the highest level your income can reach with your current effort.
When to use it
- Someone tells you network marketing income is "passive" or "forever".
- You want to take a break and wonder what will be left when you come back.
- You are deciding if side income is steady enough to quit your job.
- Any subscription-style income: customers, members, clients on monthly plans.
How to read the result
- Half of it gone after: months until income halves if nobody new comes. Under 12 months means it is not passive — it is a job that pays a little longer.
- Ceiling: with your current effort, income stops growing at new income ÷ drop-out rate. To go higher, you must add more each month or keep people longer.
- The grey line is your own monthly cost. If the red line falls below it, stopping means you pay more than you earn — unless you stop buying too.
- Real passive income (like a finished book or an investment) has a very low drop-out rate. Try 1% to compare.
What it cannot tell you
- It uses one steady drop-out rate. Real life is bumpier — people often leave faster in the first months.
- It does not know your company's rules. Many plans stop paying you if you don't buy yourself each month.
- It is not a forecast of your earnings, and not financial advice. Nothing you type is saved or sent.
Questions people ask
What is residual income?
Income that keeps coming from work you did before, such as book royalties, rent, or commissions from customers who keep buying. How long it lasts depends on whether the people or things paying you keep going without you.
What is the drop-out rate?
The share of your paying customers or team members who stop buying in a normal month. If 100 people buy this month and 95 buy next month, the drop-out rate is 5%.
What does half-life mean here?
The number of months until your income is cut in half if nobody new joins. At 5% drop-out per month, that is about 13 and a half months.
Why does income stop growing even if I keep working?
Because every month you lose some income to drop-outs. When the income you add equals the income you lose, growth stops. That ceiling is your new income divided by the drop-out rate.
Is my data saved?
No. The calculator runs inside your browser. Nothing is stored or sent.