There are three types of income:
1. earned income - this is the money you get for the work you perform. So if you have a job, you earn a certain amount of money each month, which is your paycheck. This depends on your education, how much you work, where you work, your skills, etc.
2. portfolio income - this is the money you get when you sell something at a higher price that what you originally paid it. For example, if you buy a house at a certain price, but then decide to sell it for more than you actually paid it in the first place, that is considered to be your portfolio income.
3. passive income - this type of income refers to the money you earn from something you aren't exactly involved in. For example, you own a house and decide to rent it to some people. The money you get from the tenants each month is considered to be passive income.
