Passive income is a force to be reckoned with. This is because it allows people to literally increase their income with little effort.
Notice how I said ‘little effort’ and not ‘no effort’? The thing is, passive income is a bit mis-advertised.
Does earning income on the side, without going to an office from 9-5 or otherwise spending lots of money exist? Heck yes. Does it involve no energy or work at all? No.
In each passive income stream, you do need to do a little work. Generally this work is all up front, yielding you lots of passive income down the road (such as writing an ebook and having it for sale on Amazon.com), and sometimes there are periods of work here and there (such as owning a rental and needing to make repairs in-between tenants).
But all successful passive income streams deliver extra income that does not involve the normal amounts of consistent work that a typical job does.
And that’s what is so exciting!
Passive Income Ideas
If you’re interested enough to dip your toes in, I’d like to offer you 7 ways you can see the power and awesomeness of passive income.
- Rent Out Your Space: Maybe becoming a landlord is way too intimidating to you. You can instead dip your toes in the rental passive income stream by simply renting out your space. If you have garage space, an extra room for storage, or an extra room that you can rent out to a person, there are places to list and hopefully, start earning monthly income. Places to start include Storeatmyhouse.com and Airbnb.
- Earn Cash for Searching the Web: You already search the internet, probably using one of the larger search engines. Instead, sign up for an account through Swagbucks (powered by Google), and simply continue searching like you normally do on their search engine. In the meantime, you automatically earn Bucks that you can trade in for cash (PayPal) and even gift cards.
- Earn Cash Back for Purchases and Bills: If you are disciplined with your spending, then sign up for a cash back credit card. We just did, and with the sign-on bonus, we got $215.13 of cold, hard cash for doing nothing more than spending what we normally do. To boost your earnings, try to get a deal with no annual fee, and make automatic bill payments using your new card. Hey, everyone has to pay the light bill…might as well earn some extra money off of it! To earn even more maximize your cash back with the spending categories offering extra bonuses.
- Set Up a Motif Investment Fund: Are you knowledgeable about the stock market? Well you actually don’t need to be for this one (though it might help). Motif Investing allows anyone to create their own investment fund around an idea/theme (robots, Obamacare, environmental causes, etc.). As people invest in the stocks you choose, you earn a royalty check through their creator royalty program. Seriously! Set it up and forget it (until, hopefully, a royalty check comes in the mail).
- Add Adsense to Your Blog: Do you have your own blog? Try adding a block of adsense to either your sidebar, or to each post on your site. Don’t expect to make lots of money with this if you are rather new to blogging (it took me years on my own blog to make any money from it), but the idea of making money blogging and seeing money come in while you are sleeping is pretty powerful.
- Upload Your Images to Stock Photography Sites: Do you like to take photographs? Perhaps you have a few that are just awesome and useful? You don’t need to be a professional photographer to upload photos to stock photography sites and try to sell them. Sites include iStockPhoto, fotolia, and Crestock.
- Purchase Part of a Royalty-Producing Asset: Did you know that you can actually purchase part of an asset that yields royalties? Websites like Royalty Exchange offer the opportunity to purchase future royalty revenue generated by an asset. Industries include music, energy, film and television, franchises, book publishing, technology, intellectual property, and so much more.
Some of these options may not make you very much money. Yet, how cool is getting $10 every few months for the next few years from the work you already did? Instead of looking at a check you receive and frown at how small it is, remind yourself that you didn’t need to do one more ounce of work for that money. Then perhaps go out and enjoy a good movie with your passive income.
Do you have passive income streams? I’d love to hear what they are!