10 best ways to earn passive income
Are you tired of a 9 to 5 job? You want more freedom? Do you want to know what the best ways to earn passive income are? Well, you came to right place. In this article I will be explaining you how to earn passive income and become independent. Below I will start with explaining what passive income actually is, so that you know what you can expect. After that, I will first give you an idea how you can start with earning passive income. And then, finally! The anticipated list of the 10 best ways to earn passive income.
How to get started
The main idea is that you focus on one idea at the time. First invest your time and money to start growing a passive income with one idea, before going to another idea. That doesn’t mean you cannot start multiple stream of the same idea!
The most used definition for passive income is income that you earn without you being involved. What that means is that you earn money while you sleep! Now who doesn’t want that, I know I do.
Knowing what passive income is, you can understand why this gives you more freedom and gives you back your time. Usually the best passive income ideas, involve ideas that have a low investment and time, with a high possible return. However most passive income streams come with an upfront investment either in time, money or both. The beauty about it is that you can start with what you can miss. Never invest more then you can miss! This will guarantee that you will only move forward and stay out of trouble.
Now let’s get to that list!
1. Create a Blog
Creating a Blog is easy these days. With free software such as WordPress, you can set up your blog website within minutes and start writing content. Now the way you can make a passive income with writing a blog is by Affiliate marketing and showing ads on your blog.
The smart plan when starting a Blog is to start with something you love. You can write about anything you like, as long as you write unique and content that is worth reading. If you want to learn more about creating a Blog and earning a passive income with it, click here
Investing is one of the easiest ways to make a passive income. The problem with this investing usually is that it requires experience or a start capital. Thankfully, we are not the only one who thought about this and there is a lot of help for investing.
Nowadays there are a lot of help with investing. From people with experience who help you invest to automatic programs, which use smart algorithms to earn you a passive income. You can continue reading on earning a passive income with investing, on our investing 101: how to start investing.
3. Build an eCommerce dropshipping webshop
This idea is for the people who really want to earn passive income. It is a lot of work upfront, but you can start automating the business when you start earning money. This passive income stream can really earn you a great amount of money, as there is no limit to the scalability of the idea, if you automate the process. If you want to learn more about starting an ecommerce website and use dropshipping to start earning passive income, go and read out Dropshipping 101 guides.
4. Sell eBooks online
This idea will cost you a lot of upfront time. However this idea is very easy to execute. Self-publishing is pretty much mainstream today and easy to set up. You need to write, edit and upload it to a eBook publishing site. However once written, they will generate passive income for you for as long as it stays online.
You can write about pretty much anything. You can either go for the niche market or you can go mainstream. The most important thing is that you write something that people will appreciate and see as an added value. If you want to read more on writing eBooks, continue reading our eBook 101: how to start writing an eBook.
5. Rent property
Renting out property is truly a great way of generating passive income. Now there are a few ways to start with renting out property. The first way is if you already have a good start capital. You can invest in a new house or apartment and rent it out. This will generate a passive income through rent. However this means you will already have to have quite a lot of money to start.
Now, thankfully there is a second way to start. You can start investing in real estate on platforms such as Realyshares (link) and FundRise (Link). You don’t have to do anything after you invested, which are the true meaning of having passive income. Want to learn more? Read here to start earning your passive income through renting out property.
6. Create online courses
This idea on passive income is not for everyone. It costs quite a lot of upfront work and there will be upkeep, think questions on your course etc. However this is a great way for you to earn passive income. Once you created your course you can start selling it on website such as Udemy . This is especially a great idea for people who have a high expertise in a specific field. Want to learn more on creating online courses, click here.
7. Earn money on YouTube
This idea goes well together with idea 6. You can sell ads on your YouTube (link) channel an earn money though that. Besides it being a viable way of earning a passive income, it can also be great promotion for your online courses.
If you think, but I’m not an expert on any subject but I’m still interested in earning a passive income with YouTube (link). Then don’t worry. YouTube can still be a very good way for you to earn money. Want to learn more on generating a passive income with YouTube? Continue reading
8. Turn hobby into income
When you start to think about it, this is actually quite brilliant. Why do something that you love for free? These days there is a market for anything, so why not try and sell what you love to do. You can even combine this with your own blog and sell not only through ads and affiliate marketing, but also your own products.
Some hobbies that are mainstream ways to earn passive for instance are, photography, videography, gardening and woodwork. Check here how you can earn passive income with your hobby.
9. Build an app
I know, I know, not everyone knows how to code and create an app. Well there is good news. These days apps are so popular that there are multiple software programs that take away the programming and help you create apps. BuildFire is a great tool to help build your app. If you don’t feel like building it yourself, hiring someone to build an app these days is not even that expensive anymore. If you want to learn more on how to build and start earning a passive income with apps, click here.
10. Pay of debt (Credit cards)
Now I know this sounds like a way to earn lots and lots of passive income. And to be honest it isn’t. But what it is, is a way to decrease your expenditures. By paying off your debt, you basically create passive income. Let me explain with an example. Let’s say you owe $15.000 on which you have to pay a monthly fee of 2%. This comes down to $300 dollars each month that you lose. This means you will be paying $3.600 a year. By paying off the card, you basically save up $3.600 a year.
Now if you start thinking about it.. That means you get a return of 24%. There are little investment that give this kind of return.