So, you’re exhausted by your 9-5 job or want to walk on the road of financial independence; that’s why you are looking for passive income ideas!
Well, don’t worry! Because I am here to help you get the best income ideas.
Passive income is an excellent method to supplement your earnings, whether engaged in a side gig or simply aiming to boost your monthly income. It enables you to increase your earnings during prosperous periods and serves as a financial help in case of unexpected unemployment.
Whether you have money or not, this article will help you find passive income streams suitable for your needs and preferences.
Before I dive in and disclose my favorite passive income ideas, let us first look at some important concepts.
- Passive Income – Passive income is the use of various strategies and investments that allow you to earn money without actively working for it. It doesn’t originate from direct involvement, like the wages earned from a job.
- Ways To Earn Passive Income – Make passive income in many ways, such as from rental income, by selling photographs, designs, creatives & books, flipping retail items, app development, course creation, blogging, affiliate marketing, dividend stocks, buying crowdfunding real estate, etc.
- Which Is The Best Idea – If you want to choose which passive income is best for you, then consider certain factors such as the available investment capital, your personal interest, the overall market potential, your expertise in the field, the time commitment required, and the potential for success.
- Passive Income Idea, If You Have Money – If you have money, you can consider investing in dividend stocks or Real Estate Investment Trusts. You can also purchase bonds or Certificates of Deposit.
- Passive Income Idea, If You Don’t Have Money – If you have limited or no money, you need to invest your own time and effort to make progress, at least until you accumulate some capital. You can leverage your knowledge to create valuable products or services for consumers.
- How Many Income Streams You Need – It totally depends on your personal preference and aligns with your specific objectives & current resources.
- Passive Income Requirement – Passive income requires effort, hard work, and ongoing tasks to keep the money coming in.
What Is Passive Income?
Passive income is a way of earning with little or less active involvement. It is an income not tied to an hourly or annual salary.
For instance, passive income sources include dividends from stocks, cash from rental properties, sale of products, royalties, and more.
You can call passive income a supplementary income stream that allows you to earn money without active effort. You just have to plan and make an income source, and the money flows in frequently.
The advantage of increasing your income without working more hours is that you can earn extra money without experiencing burnout.
Passive income gives you a steady flow of earnings, even while you focus on your primary job.
If you establish a reliable source of passive income, you may choose to relax a bit. I can definitely say that passive income provides an added layer of financial security.
I found there are many misconceptions about passive income. So, let me clear it out in the next section.
Misconceptions About Passive Income
Passive income typically doesn’t originate from direct involvement, like the wages earned from a job.
I have earned many people considering their second job as a passive income. No, it’s wrong! You can’t consider your second job as a passive income source because it doesn’t meet the criteria for passive income and requires your presence and effort to receive compensation.
You can consider investing as a valuable method for generating passive income, provided that the assets you hold yield dividends or interest.
However, assets such as non-dividend-paying stocks or cryptocurrencies do not generate passive income for you.
I hope now you are clear about passive income concepts, so let us look at the top passive income ideas for you.
32 Passive Income Ideas You Should Try Out
You can find many passive income ideas. Here, I am going to share one of the best and most effective ideas. Let us look at them one by one:
1. Buy And Sell Websites
Buying and selling websites is one of the best passive income ideas. It offers a fantastic opportunity to generate income from the convenience of your own home or any location with an internet connection.
First, you need to select an evergreen niche. An evergreen niche pertains to a subject matter that remains popular and unaffected by shifting trends, ensuring its long-term popularity. Some evergreen niches include education, fashion, money and finance, pets and animals, health and fitness.
Once you’ve made the decision that investing in the purchase and sale of websites for profit aligns with your financial goals, the next step is to locate a website that you can acquire.
If you find a website that captures your interest and want to buy it, you can approach the owner directly. An online search will yield the website owner’s contact details, which are typically accessible on their website.
Remember to find a reason why the seller wants to sell the website. You can also validate the website’s revenue & traffic by using tools such as Google Analytics.
Also, thoroughly examine the website’s backlink profile to ensure that the links haven’t been established through link farms or other “black-hat” SEO tactics.
If the seller has set a price, you can make an initial offer that hovers around 70%-80% of the listed price.
Once you purchase the website, you should try to enhance the website’s monthly profit potential to the fullest extent by enhancing the user experience & optimizing overall performance.
Now that you’ve acquired the website and dedicated time to its improvement, approach for selling. You have two options for locating a buyer for your website; one is either utilizing a website marketplace or the other is engaging a website broker.
On the other hand, website brokers include an extensive network of potential buyers who might express interest in your website.
2. Start A Dropshipping Store
Dropshipping lets you sell products directly to customers, set your own prices, and establish your brand identity. Notably, you won’t have to invest in inventory until an actual customer purchases a product.
This business model empowers you to run your store without the responsibility of stocking, packaging, and shipping products. When you make a sale, your supplier takes charge of shipping items directly from their warehouse to your customer’s doorstep.
Do you know the selection of the right niche is the foundation for the success of a dropshipping venture? Evergreen niches, such as beauty, jewelry, fitness, handbags, backpacks, fashion, and technology, are profitable for online stores.
After you’ve pinpointed your product offerings, gain insights into your competitors – who they are, what they sell, and their sales strategies. To do this, simply enter one of the products you intend to sell into a search engine like Google. The top 10 search results will serve as a valuable indicator of your competition.
Once you have done your market research, it’s time to identify reliable suppliers for your dropshipping business. Platforms like AliExpress, SaleHoo, or Oberlo can help you find trustworthy suppliers.
Now, set up your dropshipping store. Create a professional e-commerce website using platforms like Shopify, WooCommerce, or BigCommerce. Make sure that your site is user-friendly and optimized for conversions.
After that, add products from your chosen suppliers to your store. Write compelling product descriptions and use high-quality images to attract customers. Also, determine your pricing strategy by considering factors like product cost, shipping fees, and your desired profit margin.
Now, develop a marketing plan to attract customers. You can utilize social media, content marketing, email marketing, & paid advertising to drive traffic to your store.
Don’t forget to monitor your store’s performance continuously. Analyze sales data, customer feedback, and website traffic. Also, make adjustments to improve conversions and profitability.
See how Inspire Uplift has a dropshipping store on Shopify-
3. Start A Print-On-Demand Store
Print-on-demand emerges as a highly profitable method if you’re interested in selling personalized products online. It’s a simple process, has minimal upfront costs, and grants you the ability to customize the products by providing a competitive edge.
Print-on-demand allows you to collaborate with a supplier to tailor white-label products with your unique designs. The best part is that you pay for the product only after a sale is made, so it eliminates the need to buy in bulk or maintain inventory.
Some of the popular print-on-demand products include t-shirts, hoodies, socks, tote bags, coffee mugs, and die-cut stickers.
If you want to start a print-on-demand store, first, you need to select a profitable niche. To identify potential niches, you can start with a basic Google search & explore various print-on-demand platforms.
You can also utilize Google Trends, Google Keyword Planner, Ahrefs, Semrush, and similar resources to gauge search trends & demand. In addition, conduct research on eCommerce platforms like Etsy, eBay, and Amazon to identify what’s selling well in your chosen niche.
When you’re done with the market research, focus on researching profitable designs.
You can hire a professional designer if you lack design skills or time.
Now, it’s time to choose a reliable supplier that ensures the delivery of high-quality products, smooth communication, and a seamless business experience. Some of the popular and reputable print-on-demand suppliers include Printful, SPOD, Teelaunch, CustomCat, and Lulu.
Once you select a supplier, you need to choose a platform for establishing your print-on-demand store. You can opt for e-commerce website builders like Shopify, Wix, and Squarespace or utilize online marketplaces such as Etsy, eBay, and Amazon. You can also sell through social media.
Once you’ve carefully examined your sales channels and made a choice, proceed to set up your store. List your products, offer customization options, and set their pricing. For setting your product prices, you can do simple market research and compare prices for similar items to establish competitive prices in line with current market trends.
Make sure the quality of printed products meets your standards. For checking, you can order samples to assess the quality before selling to customers.
Now, it’s time to market your store. Develop a marketing plan to promote your store and products. Also, use social media, email marketing, content marketing, and paid advertising to attract potential customers.
When orders are placed on your website, they are automatically forwarded to your print-on-demand provider for production and fulfillment.
See how DUMBCLUB is selling print-on-demand products on their store –
4. Rental Income From House, Car, Bike, Space, Or Tools
First things first, you can make a passive income through rental income.
On Airbnb, you can list your residential property, whether an entire apartment, a room, or any part of your home, and generate income from bookings.
If you want to list your property on Airbnb, add your location, size, amenities, high-quality property pictures, and pricing.
Airbnb’s platform allows you to adjust pricing based on demand, seasonal variations, & local events.
Travelers interested in your property can make reservations directly through Airbnb’s platform. You can accept or decline booking requests based on availability and personal preferences.
As a host, you can establish house rules for your property and specify guidelines related to smoking, pets, and check-in/check-out procedures.
You must implement safety measures for your property, such as providing smoke detectors, fire extinguishers, and clear emergency instructions. This enhances the overall guest experience.
Guests make payments securely through the Airbnb platform, and Airbnb deducts a service fee from the booking amount. You can receive your earnings through various payout methods, including direct deposit or PayPal.
The income potential you can derive from renting your home on Airbnb varies and depends on the property’s location, type, pricing strategy, and the frequency of bookings you secure.
A Redditt user shared his Airbnb earnings –
If you’ve ever purchased tools for a home improvement project that you’re unlikely to use again, you can rent those tools or lend them to others through peer-to-peer platforms like Sparetoolz to earn passive income.
5. Selling Photography & Freelancing
Another method to make passive income is by selling photography online.
First, you’ll have to get approved by these platforms and get a photo license. The platform compensates you each time someone utilizes your photos.
Make sure that your photos resonate with a specific audience or represent particular scenes. Your photos could include various categories, such as beautiful landscapes, shots with models, imaginative scenarios, or even captures of real events.
For freelance photography, you can sign up for sites like Upwork, Flexjobs, Fiverr, etc. People will hire you on these sites for different projects and will pay you for the amount of work you do. You can ask for more money once you have a good star rating.
You can earn around $32.80 per hour from a photography job or freelance. Your earnings increase with your expertise and knowledge.
Sebastian P. is a top-rated product photographer on Upwork. He is charging $100 per hour.
6. Selling Designs, Templates, Worksheets Online
If you excel in designing skills, then I have good news for you! You can sell your design creatives and earn passive income.
You can do this in several ways, such as by selling products with unique designs. Sites like Printify, Zazzle, and CafePress allow you to design and promote customized items like t-shirts, hoodies, mugs, hats, and more.
All you need to do is introduce your own designs and observe the market’s preferences. Then, you can expand your offerings accordingly. You can also add humor or satire to your designs for popularity.
Many people launch their own online store and market their designed products through platforms like Shopify.
Another way to make passive income is by selling digital products such as templates and worksheets.
Many individuals monetize their templates by listing them on platforms like Etsy or other online marketplaces.
If you love creating worksheets, then you can try multiple platforms where you can upload and sell your creations. Typically, the process involves creating printable worksheets and then uploading them to websites such as Etsy or Teachers Pay Teachers.
7. Flipping Retail Products
Another way to earn passive income is by flipping retail products.
By leveraging the price difference between your acquisition and selling costs, you can even establish a loyal following of customers who closely monitor your deals.
This strategy becomes particularly effective when you have a connection that grants you access to discounted goods.
You can uncover valuable merchandise by capitalizing on the gap between what you can obtain and what the average consumer can discover.
8. Purchasing Crowdfunded Real Estate
If you want to invest in real estate but wish to avoid the hassles of property management, maintenance, and dealing with tenants, then there’s an alternative route through crowdfunding platforms.
These crowdfunding platforms are managed by expert investment teams who carefully select real estate opportunities.
You can decide how much you want to invest and which properties you feel comfortable investing in. In exchange for this convenience, you need to pay annual management charges to the real estate platform.
As a result, you gain access to exclusive real estate deals. You can assess the potential returns on these platforms, which give you insights into the expected returns & the investment horizon.
Additionally, real estate investments enhance your portfolio’s diversification and help you balance your overall returns.
Some crowdfunding platforms focus on equity (stock) investments and offer higher returns with higher risk. Others focus on debt investments, which provide more conservative returns with lower risk.
Certain platforms may require you to meet specific criteria, such as being an accredited investor with a certain minimum income or assets. Some popular platforms in this space include Fundrise, Yieldstreet, and DiversyFund.
9. App Development
App development is the best way to earn passive income.
If you’re a tech-savvy individual, then definitely you can create an app by yourself. But, if you don’t have the proper expertise and skills, then you can hire someone to develop an app for you.
You can also go through video tutorials and online learning resources to get knowledge of tools easily accessible at your fingertips.
Your app could be a game or a value designed to simplify complex tasks for mobile users. Once your app goes live, users will download it, and you will start earning revenue.
If you want to monetize your app effectively, you’ll need to strategize on the best approach. For instance, you could incorporate in-app advertisements or require users to pay a nominal fee for app downloads.
As your app becomes famous and receives feedback, you can modify the user experience and add features for growth.
A Reddit user shared his earnings from app –
10. Course Creation
If you have certain skills and expertise and want to spread your knowledge & experience, then you can create a course.
Your online course could cover various topics, from creating a successful blog to launching a side hustle. You can create an audio or video course and then sit back and see how the income flows from sales.
If you are eager to build a sales funnel, you can use the freemium model, where you first build a following by offering free content (course for beginners)and then charge for more in-depth information or advanced insights (course for advanced).
The free content showcases your expertise and attracts individuals eager to take their knowledge to the next level.
11. Peer-to-peer Lending
Peer-to-peer lending is yet another way to earn passive income.
A peer-to-peer (P2P) is a personal loan arrangement established between you as the lender & a borrower. A third-party intermediary like Prosper facilitates this transaction.
Other notable participants in the P2P lending arena such as Funding Circle and Payoff. Funding Circle serves businesses and offers more substantial borrowing limits. On the other hand, Payoff focuses on borrowers with strong credit profiles.
As a lender, you can generate income through the interest payments received on these loans.
12. Affiliate Marketing
Affiliate marketing is the process by which you can recommend and share products with others & earn a commission each time someone purchases through your referral.
There are popular methods for sharing affiliate links that include using blogs and social media for promotion and sending out email newsletters.
While affiliate marketing may not require you to make a financial investment, it does demand a significant amount of time and effort to establish effectively.
When a visitor clicks on your link & buys from the third-party affiliate, you, as the site owner, earn a commission.
A Reddit user shared his earnings from affiliate marketing –
13. Starting A Blog
Blogging offers a great opportunity to earn money with creative freedom. The way your blog functions is entirely within your control.
Your blog can become a canvas for your passions, whether it revolves around crafts, creative ideas, tech, finance, tutorials, or any other topic you choose.
Once you purchase a hosting and domain, you need to launch your website on WordPress and then start blogging.
To rank your blog posts, you can use effective SEO techniques and use tools like YoastSEO. In the beginning phase, you can use the power of social media, especially LinkedIn, to get traffic on your website.
When you have a good number of blog posts and a good amount of traffic, you can earn money from affiliate marketing, Google AdSense, selling products, and sponsored posts.
With complete dedication and persistence, blogging has the potential to evolve into a financially rewarding venture over time.
A Reddit user revealed his earnings from blogging –
14. Dividend Stocks
Another way to make passive income is from dividend stocks.
Investors who hold shares in companies with dividend-yielding stocks receive periodic payments from the company. These payments, known as cash dividends, are distributed quarterly directly from the company’s profits.
All you need to do is to maintain the ownership of the stock. The dividends are allocated per share of stock, so the greater the number of shares you possess, the higher your earnings are.
The money is effortlessly credited to your brokerage account without further action on your part.
15. Using Cashback Rewards
If you consistently make monthly payments, then it’s worth exploring various cashback rewards cards.
Cashback rewards cards offer a percentage of your spending as a rebate over time. It benefits individuals who may not have the immediate resources or time to invest extensively.
Some cashback cards have enticing sign-up bonuses that can enhance your overall earnings.
16. Self-Publishing Your Book
If you possess a wealth of knowledge or have a captivating story idea, you can become the author of a book and market it online.
You can use platforms such as Kindle Direct Publishing, which converts your written content into an ebook or a printed version and makes it available on Amazon for sale.
With this approach, you can establish the book’s price and exercise complete control over its dedicated Amazon page. In addition, you can showcase images of the book, display reviews, & add promotional videos to entice potential readers.
17. Teach Online
If you like teaching, you can teach others and convert it into a passive income.
Teaching English online as a side job is an excellent means to gain experience and generate income. The best part of teaching online is that it offers you the flexibility to work at your preferred hours.
You only need a laptop, internet access, a mic, a camera, and an online TEFL(Teaching English as a Foreign Language) certification.
Once you collaborate with any of these sites, they provide you with students and a teaching platform. Whether you prefer to teach English online to adults or children, you’ll find various class options to suit your interests.
Depending on your teaching qualifications, you can even secure a position at the higher end of the company’s pay scale.
You can earn around $10-$40 per hour from teaching English.
Magic Ears is an online platform that hires English tutors and pays up to $26 per hour.
18. Baby Sitting
Babysitting is yet another source of passive income that you can try and make money. You can become a babysitter if you enjoy being around kids and want to turn it into cash.
Most babysitting positions have a minimum age requirement & require specific essential certifications. Many employers seek babysitters who are at least 16 or 18 years old.
Also, I have seen many employers request references from prospective babysitters.
Babysitters usually receive on-the-job training. This often includes instructions regarding the children under their care and demonstrations of more complex tasks before starting a babysitting session.
You commonly need first aid and cardiopulmonary resuscitation (CPR) certifications to effectively care for children in case of injuries or illnesses. These certifications can be obtained through organizations like the Red Cross and local entities, which often provide them together.
You may also require a driver’s license, mainly if your responsibilities involve transporting children to various activities & appointments.
Babysitters may be responsible for tasks such as preparing meals in the kitchen, engaging children in activities in the family room, and ensuring that children are asleep by their designated bedtime.
You might also be responsible for childcare outside the home, especially when providing transportation to school, activities, or appointments.
You can earn somewhere around $22.68 per hour from babysitting.
A babysitter on Reddit suggested asking $25 per hour for an experienced babysitter –
19. Reselling Thrifted Items
Reselling thrift items is also known as thrift store flipping. Exploring every junkyard and flea market presents a genuine treasure hunt for those ready to put in the effort.
With the right approach, thrift store flipping can evolve from a hobby into an income source.
All you need to do is visit your local thrift stores, attend garage sales, or explore flea markets to hunt for bargains.
Many thrift store items can help you earn a good profit, such as books & textbooks, video games, picture frames, clothing lots, record players, glassware, sporting equipment, etc.
You need to research to identify current trends and the selling prices of items online. You can perform a quick eBay search before making a purchase.
Many stores offer special discount days or weekends each month to clear out inventory and make room for new items.
Once you have bought the items, you can complete necessary maintenance or repairs, thoroughly clean them, and resell them.
For newcomers, the realistic range for net profit in a single month is between $50 and $300, with a maximum potential of around $500.
For example, the hat cap was resold on eBay for $60 –
20. Selling Products On Etsy
Etsy stands out as one of the largest online marketplaces globally. It is the go-to destination for creative entrepreneurs who want to sell their products.
The top-selling items on Etsy are handmade, wedding items, paper & party supplies, vintage items, art & collectibles, craft & supplies, jewelry, accessories, clothing, and home & living.
If you want to sell products on Etsy, follow the below steps:
- Visit Etsy.com/sell and click on “Get Started.” Enter your email address and follow the provided prompts. Then, select your shop’s language, country, and preferred currency.
- For choosing the shop’s name, you can combine words that convey the desired brand vibe with terms related to your products.
- Once your shop is set up, it’s time to create your product listings. You can upload 10 photos for each item, and for an extra touch, consider adding a 5-15-second video.
- Provide all the necessary details for your listings, including category, inventory information, product descriptions, pricing, and shipping details. You also have the option to use Etsy ads for marketing.
- After filling in the item details, you can either “Publish” or “Save as Draft” to revisit later.
- Next, configure your payment preferences in Etsy. Add your personal information address, and link your bank account.
- You can set shipping preferences for each product or apply a uniform shipping setting for your entire store. Customers will have various payment options, including credit card, debit, or Apple Pay, all payable in their local currency.
- Etsy also integrates with many e-commerce platforms like Shopify, Magento, and WooCommerce and allows you to connect your existing website to your Etsy store.
- You can customize your Etsy storefront by adding colors, fonts, stunning product images, and more to create an appealing presentation.
- Now, it’s time to focus on marketing. Promote your shop & products on social media to attract potential customers.
Etsy charges a listing fee of 0.20 dollars for each item listed. Listings automatically renew at $0.20 per item after four months unless you opt out of automatic renewals.
Additional fees will apply if you use Etsy’s advertising services to boost your store’s visibility.
Etsy collects a transaction fee for each customer purchase from your store, which is 6.5% of the total order amount. This fee includes a set rate plus a percentage of the total sale price, with variations by country.
If you start selling products on Etsy, you can make more than $3000 a month.
A Reddit user shared his earnings. He sells items on Etsy as well as Shopify –
21. Sell Digital Products
Digital products are intangible that escape the senses of touch, taste, or physical interaction. Yet, they’re an integral part of modern life that includes everything from music and videos to ebooks and online courses.
If you want to sell digital products as a passive income, then first, you need to determine what type of digital products you want to sell. This can include e-books, software, online courses, templates, graphic designs, stock photos, or any other digital content.
Then, research your target audience and competitors. Understand the demand for your chosen digital products and identify what sets your offerings apart.
After that, develop your digital products with a focus on quality. Whether it’s an e-book or an online course, make sure that your content is valuable and well-crafted. Also, address legal aspects, such as copyright and intellectual property rights, to protect your creations and establish clear terms and conditions for buyers.
Once you have crafted digital products, it’s time to set up a payment processing system. For this, you can use platforms like PayPal, Stripe, or other e-commerce solutions to facilitate secure transactions.
Once you’ve selected the platform for selling your digital products, you can launch your store and upload your digital products. If you’re selling through your website, then design an appealing product page or landing page. Include product descriptions, images, and customer testimonials to build trust.
Determine the pricing strategy for your digital products by considering factors like production costs, perceived value, and what your target audience is willing to pay.
Now, create a marketing plan to promote your digital products. You can use social media, content marketing, email marketing, & paid advertising. Also, utilize SEO techniques to make your products more discoverable.
A Reddit user shared his earnings from selling digital products –
Make sure to set up a secure and efficient system for delivering digital products to customers after purchase. This often involves an automated download link or access to an online portal.
Furthermore, you can encourage customer feedback and use it to enhance your products. Also, improve your digital offerings based on user reviews and market trends.
Implement tools like Google Analytics or e-commerce-specific analytics to track your sales and customer behavior. Use this data to optimize your marketing and product offerings.
22. Becoming A User Tester
When a business recognizes that a particular aspect isn’t functioning as intended, it seeks to understand its reasons.
So, they randomly reach out to customers or individuals to act as testers for user experiences. You can participate and evaluate websites, applications, or products.
If you want to work as a user tester, you can join user testing platforms like UserTesting, Analysia, TryMyUI, and Userlytics. After registration, you will be required to create a profile. You can add details like age, gender, location, and technology usage patterns.
Once your profile is fully established, you become eligible to receive invitations for testing.
These invitations are often influenced by your demographic characteristics and how closely they align with the specific criteria businesses seek in their testers.
When you receive a testing opportunity, you will receive clear instructions on what tasks to perform.
This involves navigating a website, using an application, or engaging with a product while capturing your screen and delivering feedback, either orally or in written form.
You can anticipate compensation once your test finishes and your feedback gets submitted. Compensation packages vary between platforms but frequently include cash payments or gift cards.
The compensation structure may also consider factors such as the complexity & duration of the test you have undertaken.
User testers generally receive around $10.63 for each test completed!
For example, Userlytics pay between $5 to $90 depending on the test.
23. Doing Tasks For People
You can do tasks for people and earn a good amount of cash as a side job. You can engage in online tasks through various websites from the comfort of your home using your computer or smartphone.
These tasks include many activities, from website verification and data entry to phone call reviewing, blog posting, accounting, and many professional and non-professional tasks.
Survey sites and apps provide one of the effective methods to earn money by completing tasks. The tasks typically include taking surveys, watching videos, shopping, exploring offers, and more. You often receive bonus money just for signing up. Here are some top survey sites to explore:
TaskRabbit is another on-demand platform where you can complete various tasks. It includes house cleaning, delivery services, handyman work, furniture assembly, grocery shopping, administrative assistance, and more.
On the other hand, Fiverr operates differently from traditional task-listing sites. You can present simple tasks as individual gigs or combine multiple tasks into a package.
You can earn between $18-$30 per hour if you do tasks for people.
Javier said your earnings depend on the type of task, the location, and the demand for the service.
24. Becoming A Freelance Writer Or Proofreader
You can become a freelance writer with good writing skills and grammar knowledge. On the other hand, if you have a strong command of the English language to spot errors related to grammar, spelling, syntax, & punctuation, you can become a proofreader.
A freelance writer needs an open-minded approach and a willingness to learn. You also need good writing skills, a research knack, a solid grammar grasp, and familiarity with common style guides.
In comparison, a proofreader must acquire a proofreading certification to refine her skills and showcase their expertise in this field. Use your knowledge & proofreading abilities to give a test. Also, familiarize yourself with foundational styles, including the Chicago Manual of Style, AP, and APA.
You can start your blog or use Medium to craft your articles. You can also use social media & networking platforms to promote your services by sharing links to your most recent articles or blog posts.
Freelance writer rates charge approximately $0.20 to $1.00 per word. Many writers charge around $0.30 to $0.40 per word. On the other hand, proofreaders can earn between $25 and $45 per hour, with the average earning around $30 per hour.
Brittany is a top-rated proofreader from the United States on Reedsy. She is an experienced cookbook editor and proofreader with a background in nonfiction publishing.
25. Start A YouTube Channel
If you’re ready to embark on the journey of launching a YouTube channel, I must tell you that it holds the potential for significant rewards, both in terms of creative fulfillment and financial gain.
Armed with a well-crafted approach and unwavering commitment, you can transform YouTube into a platform for building a sustainable and meaningful career.
For starting a YouTube channel, select a niche or topic you’re passionate about and knowledgeable in. This could be anything from cooking and gaming to travel, technology, or lifestyle.
Then, research your chosen niche to understand your potential audience, competition, and trending topics. Identify what makes your channel unique.
After that, create a memorable channel name and add an effective profile picture and cover art that reflects your content. You can use keywords in your channel description to improve discoverability.
Now, it’s time to plan and create high-quality videos that provide value, entertain, educate, or inform your audience. You can invest in a good camera, microphone, and video editing software for professional-looking content.
Also, stick to a consistent posting schedule, whether it’s weekly, bi-weekly, or daily. Consistency can help you build an audience and a fan base.
Don’t forget to use relevant keywords in video titles, descriptions, & tags to improve your video’s visibility in search results.
Always respond to comments, engage with your viewers on social media, and build a community around your channel. This interaction can lead to loyal subscribers.
For marketing your videos, you can promote your videos on social media and consider collaborating with other YouTubers to expand your reach.
You can explore various monetization methods for your YouTube channel. Here are some of the monetization strategies:
- Let ads run on your videos and earn a part of the revenue generated by ads shown to your viewers.
- You can also offer premium content or perks to paid channel members.
- Selling branded merchandise like T-shirts, mugs, or stickers through the YouTube Merchandise Shelf can be a profitable option. If you have digital products or services, promote and sell them to your audience.
- Promote products or services in your YouTube videos and earn a commission for sales generated through your affiliate links. Also, partner with brands for sponsored content in your videos.
- Create courses and ebooks and sell educational content related to your niche.
A Reddit user shared his YouTube and Patreon earnings –
26. Delivering Groceries
You can make money by picking up & delivering groceries to people’s homes.
To become a grocery delivery driver, you need a valid driver’s license, vehicle access, and passed background checks. Some platforms also require a minimum age or vehicle-specific criteria.
Once registered as a driver, you can accept delivery requests based on availability.
Grocery delivery services do partnerships with local grocery stores or supermarkets. You must visit these stores and shop items for your customers according to their orders.
Some platforms may require you to interact with customers directly, while others may offer contactless delivery options.
Grocery delivery services allow you to choose when and how often you want to work. You can operate through smartphone apps or online platforms. There are many popular apps to hire grocery delivery drivers, such as Instacart, Kroger, DoorDash, etc.
You can sign up on these apps, create an account, and receive delivery requests from different customers.
Your income as a grocery delivery driver is typically based on factors like the number of deliveries you complete, the distance traveled, and customer tips. Earnings vary depending on the platform and local demand.
A Reddit user shared his Instacart earnings. His earnings consisted of batch earnings, tips, and adjustments. He worked for more than 67 hours and earned more than $1200 in a month.
27. Delivering Packages With Amazon Flex
Participating in package delivery through Amazon Flex presents a versatile and potentially profitable opportunity.
You can enroll in Amazon Flex and ensure you fulfill the eligibility criteria, including having a valid driver’s license, being at least 21 years old, and owning a smartphone.
Amazon Flex provides delivery blocks, which consist of time slots allocated for making deliveries. You can select available blocks that align with your scheduling preferences.
After scheduling a delivery block, you can proceed to the designated Amazon Flex warehouse or pickup location at the specified time. You’ll gather the packages and receive detailed instructions for the upcoming deliveries there.
The Amazon Flex app can navigate to the designated delivery locations. The app offers turn-by-turn directions and optimizes your route planning.
The standard delivery procedure usually includes leaving the package securely at the customer’s doorstep, capturing a photograph as evidence of delivery, and confirming the successful delivery through the app.
Your earnings are contingent on various factors, including the quantity of packages you deliver, the duration of your selected delivery block, and any gratuities received from customers.
Earnings are typically dispersed weekly, and the funds are directed to your Amazon Flex account.
You can earn around $19 per hour to deliver packages through Amazon Flex.
A Reddit user shared his earnings on Amazon Flex –
28. Earn Royalties From Inventions
Earning royalties through inventions opens opportunities for you to create a revenue stream on the basis of the intellectual property rights of your innovations.
You can start by developing a unique and valuable invention. This could be a new product, process, or technology. If your invention is patentable, consider obtaining a patent to get exclusive rights to your invention.
You can seek out companies or individuals in your industry who may be interested in using or commercializing your invention. You can also offer to license your patent to them for a fee or royalty.
Don’t forget to negotiate the terms of the licensing agreement, including the royalty rate, payment schedule, & any upfront fees. Make sure that the agreement protects your rights and interests.
Now, draft a formal licensing agreement that outlines all the terms and conditions, including the scope of the license, duration, and any restrictions. Also, monitor and enforce your intellectual property rights to prevent unauthorized use of your invention.
You can further collect royalties from the licensee based on the sales or usage of your invention as per the agreement.
Remember to maintain records of sales or usage data to ensure accurate royalty calculations.
You can promote your invention to potential licensees, attend industry events, and use networking opportunities to connect with interested parties.
Consider seeking legal and professional advice to protect your intellectual property and make your licensing agreements fair and effective.
If possible, work on additional inventions and build a portfolio of intellectual property to increase your royalty-earning potential.
29. Open A High-yield Savings Account
A high-yield savings account is an awesome tool to grow your emergency fund, save for short-term goals, or simply earn more on your money than with a standard savings account. It offers safety and accessibility while providing a competitive interest rate to help your savings grow.
You can start by researching different banks or financial institutions that offer high-yield savings accounts by comparing their interest rates, fees, & terms. Then, select a reputable bank or credit union with a strong track record and a high-yield savings account that meets your financial goals.
You can open a high-yield savings account either by visiting a local branch or through the bank’s website. Many banks also offer online account openings.
To open an account, you’ll need identification (a driver’s license or passport) & Social Security number. Once you fill out the application, you’ll need to make an initial deposit.
If you open an account online, you can set up online banking to manage your savings conveniently. This helps you check your balance, make transfers, & track interest.
High-yield savings accounts often feature compound interest, where you earn interest not only on your initial deposit but also on the interest you’ve already earned. This can significantly increase your savings over time.
30. Invest In Small Businesses
You can invest in small businesses by providing financial support to an existing venture. It can be achieved by purchasing equity or offering loans.
If you want to invest in an established company, you can either exchange funds for equity or provide financial loans to the business.
The initial step in small business investing is identifying promising opportunities. For this, you can explore your personal network, including family and friends, to see if any of them have a well-established business or a solid business plan that presents a good opportunity for investment.
Moreover, you can connect with fellow investors, research startup prospects, and consult various publications for information about local enterprises. Social media platforms are also valuable for networking and unearthing potential business ventures.
Once you’ve pinpointed a prospective business investment, you must conduct thorough due diligence to minimize risks & ensure that the business investment aligns with your financial goals. This includes evaluating the business’s plan, market prospects, current financial status, strategy, potential risks, and relevant industry factors.
You need to understand its existing financial situation, including its debts, assets, and available funds.
When you’ve shortlisted promising opportunities, you can engage with the business owners to gauge their interest in securing financing from individual investors.
The next step is negotiating the terms. For equity investments, you’ll need to agree on ownership percentage, profit share, & the investment amount. As a debt investor, you’ll determine the loan amount and the repayment conditions.
Once terms are agreed upon, it’s time to finalize the deal. This involves signing agreements and delivering the committed capital.
You’ll receive compensation in line with the conditions outlined in your agreement in return for your investment. This compensation includes stock ownership, dividends, a portion of profits, capital gains, or another form of remuneration.
31. Invest In Vending Machines
Vending machines can be found in schools, office break rooms, gyms, & various public spaces. These machines not only offer convenient access to snacks, beverages, and other products for people on the move but also present a potentially profitable business opportunity for individuals or companies. The best part of investing in a vending machine is that it has relatively low initial costs.
Before launching your vending machine, you need to conduct thorough market research to see the local demand for the products that you’re planning to offer.
There are different vending machines, including food and beverage vending machines, bulk vending machines, & specialized vending machines.
In the United States, the vending market is predominantly dominated by food and beverage machines, which include items like soda, snacks, and candy.
Then, determine your budget for purchasing vending machines. You can buy new or used machines.
Once you have chosen a vending machine, it’s time to choose the locations where you’ve personally used vending machines in the past and recognize the times when people are most likely to make purchases.
Now, install your vending machines in the selected locations. Make sure they are set up properly and in good working condition.
Determine pricing for the items in your vending machines by considering factors like product cost, location, and competitor pricing.
You can also promote your vending machines in the chosen locations. Use signage to attract customers and consider running promotions or discounts to boost sales.
Don’t forget to implement security measures to protect your machines from theft or vandalism. Regularly service and clean the machines to maintain their appearance and functionality.
A Reddit user shared his earnings from vending machines –
32. Invest In REITs
REITs (Real Estate Investment Trusts) own, operate, or finance income-producing real estate across various sectors, like residential, commercial, or industrial properties.
If you want to invest in REITs, first, you need to define your investment objectives. Are you looking for regular income in the form of dividends, long-term capital appreciation, or a combination of both?
REITs come in various types, including equity REITs, mortgage REITs, and hybrid REITs. You can select the type that aligns with your investment goals.
You can investigate different REITs by analyzing their financial health, portfolio quality, management team, & performance history. You can also check annual reports, financial news, and the websites of REITs.
Then, consider investing in a mix of REITs to cover different real estate sectors, such as residential, retail, healthcare, and office spaces. Choose a brokerage platform to open an investment account if you don’t already have one. Make sure that the brokerage offers access to REIT investments.
Decide how much you want to invest in REITs. You can consider your overall investment portfolio and diversification strategy.
Now, you can use your brokerage account to buy shares of the REITs you’ve selected. You can buy individual REITs or invest in REIT exchange-traded funds (ETFs) or mutual funds for broader exposure.
Some REITs offer dividend reinvestment plans that allow you to reinvest dividends to acquire additional shares.
Remember that real estate investments, including REITs, are often most rewarding when held for the long term. So, you need to stay patient and avoid making impulsive decisions on short-term market fluctuations.
So, these were my favorite passive income ideas. Now, let us have a look at which passive income suits you.
Which Of The Passive Income Source Is Best For You?
Suppose you want to choose which passive income is best for you.
In that case, you need to consider certain factors, such as the available investment capital, your personal interest, the overall market potential, your expertise in the field, the time commitment required, and the potential for success.
Remember that when entry barriers are lower, it tends to attract more competition and reduce the chances of success.
So, you need to carefully assess the opportunity in light of these factors and identify the passive income strategy that aligns most effectively with your circumstances & objectives.
Make sure you have an interest in the area you choose for passive income.
Now, you’re aware of the passive income ideas and the best sources of passive income. So, let’s see how to make passive income with or without money in the next section.
Making Passive Income With Or Without Money
If you have money, it definitely opens up a broader road of passive income opportunities. You can consider investing in dividend stocks or Real Estate Investment Trusts, which are among the most passive forms of income generators.
Additionally, you have the option to purchase bonds or Certificates of Deposit (CDs) to diversify your passive income portfolio further.
You can also combine your financial resources with a substantial time commitment to explore even more lucrative niches.
On the other hand, if you have limited or no money, you need to invest your own time and effort to make progress, at least until you accumulate some capital.
You may explore areas where you need expertise. In such areas, you can leverage your knowledge to create valuable products or services for consumers, such as software coding or design.
You should also consider opportunities that demand an upfront investment of time and effort. This could involve creating an educational course, establishing an influencer profile, or pursuing other options that require substantial initial work.
Pros And Cons Of Earning Passive Income
Let us see the pros and cons of earning passive income:
|+ Work from anywhere you wish|
+ Financial independence
+ You get freedom
+ Tax benefits
+ Free time
+ Zero debt
|– Requires a lot of effort in the initial phases|
Income Streams You Need In The Today’s Scenario
How many income streams you need totally depends on your personal preference and aligns with your specific objectives and current resources.
If you don’t have enough time, you can start with a few passive income streams until you can allocate more time.
Similarly, if you’re working with limited financial resources, you need to start small and gradually expand your assets in the long run.
You require some initial effort to set up reliable passive income streams, but the rewards are totally worth it!
FAQs (Frequently Asked Questions) On Passive Income Ideas
1. How can you make $1000 a month passively?
You can make $1000 a month passively by the following ways:
- Start a membership website
- Create a lead generation site for service business
- Promote a niche affiliate opportunity
- Invest in real estate
- Start a YouTube channel
- Write a book
- Join the Amazon Affiliate program
- Create an online course
- Rent out a room in your house.
2. How to passively make $2,000 a month?
You can passively make $2000 a month by the following ways:
- Sell an online course
- Become an influencer
- Freelance on websites
- Start an ecommerce store
- Try out affiliate marketing
- Monetize a blog with Google Adsense
- Write and sell Ebooks
- Get paid to complete surveys.
3. How to make $100 000 a year in passive income?
You can earn $100,000 a year in passive income from:
- Dividend stocks
- Fixed-income securities
- CD laddering
- Real estate investment
- Starting a side hustle.
Final Thoughts On Passive Income Ideas
Passive income ideas are various strategies and investments that allow individuals to earn money without actively working for it.
These income streams are particularly valuable for supplementing one’s earnings, achieving financial security, and building wealth over time.
Some common passive income ideas include real estate investments, dividend stocks, creating and selling digital products, affiliate marketing, rental income, and peer-to-peer lending.
Remember that passive income requires your effort, hard work, and ongoing tasks to keep the money coming in.
Hope you find value in passive income ideas.
Have you tried any of the passive income ideas? Please share your experience in the comments section!