You have probably landed on this article because you have recently heard of passive income opportunities and you are now wondering: “What is passive income about and how can I generate it?“
In a world where we are taught that life is about going to school, getting good grades and finally landing a good job, hearing about opportunities that go outside our comfort zone is always exciting.
I first heard of passive income when I was trying to sell my music online. I applied a few marketing strategies and managed to get quite good results.
You can read about my music marketing adventure on this article: How to make money as a musician online.
Seeing what I was able to do, made me want to know more about passive income and this is why I ended up starting my own blog. A blog I am putting a lot of work into but that eventually, will allow me to earn money while I sleep!
What is the difference between passive and active income?
Active income is when you get paid for a job that, once complete, will no longer bring you any earnings.
An example could be your teaching job, freelancing job or any other service that you offer, which stops providing you with an income, once the contract is over or you leave that job.
You spend 8 hours at your job and you get paid for those 8 hours. That is it.
You could be landing a job that pays you £150,000 per year but you will have to spend 70 hours a week in the office. It will be like that year after year. No time for family, no time for your hobbies!
Lots of time and energy is put into a one-off income source.
Passive income is money you earn by putting effort and money into something that, eventually, will allow you to build an income while you sleep.
You could invest time and money into a property and then rent it out. It will be expensive and time-consuming in the beginning but once it is rented out, you will earn a passive income by just maintaining the property.
Another example is building a blog that you can monetise. It will take a few months to write enough articles and grow your site authority but it could eventually lead you to make money while you sleep.
Passive income strategies will allow you to work on something once and get paid for it for the rest of your life.
Think of the early Star Wars films. They are around 40 years old, yet they still sell and make profits!
Different ways of generating passive income
Here are 8 passive income ideas you could use to make money while you sleep:
1. Upload your videos on YouTube
Create videos about anything you like, as long as you do have an interest in what you have chosen, otherwise you will just end up spending your life doing something you do not like.
Have you ever come across YouTube videos where gamers do a review of a game that just came out? They know what they are talking about and they do it because they actually love gaming!
You will be able to monetise these videos via the automatic ads that are displayed prior to the start of the video (or sometimes even in the middle of a video if it is a very long one).
Of course, don’t forget to activate Google Adsense! Here is an official YouTube guide on how to earn money from your videos.
2. Become an affiliate marketer
A valuable blog can be a great way of earning passive income.
Building an authority blog is not easy but once that is done, there are different ways you can monetise it, such as adding Google Adsense, promote Amazon products or other niche specific products and services.
As a blogger, you will be getting commission depending on the type of ad, product or service you have successfully promoted.
I am personally following a fantastic course that is teaching me how to become an affiliate marketer.
You can read about it in this article: Ways to make money at home – An easy guide
3. Sell your art
Whether it is photography, music or any other form of art, you can make passive income from them too.
As a photographer, you could upload your portfolio to platforms such as Shuttershock. This will allow you to earn a percentage of each sale. Once the photos have been uploaded, Shuttershock will deal with the rest.
As a musician, you have the option to distribute your music via platforms like CD Baby. They will send your songs to music streaming services like Spotify, so that each stream will generate you some money.
4. Write an ebook
This will require a lot of hard work upfront but once it is done, you can either sell the ebook directly from your website or use platforms like Amazon.
You can send your ebook to Amazon, so that they can take care of all the technicalities!
5. Rent out your second property with Airbnb
Airbnb allows you to rent your space out to travellers coming from all over the world.
Renting out a property can sometimes be cheaper than going to a hotel, since you will have access to facilities like the kitchen and you are not forced to eat out every day.
I have seen property owners rent out their spaces at high rates and still attract visitor, so trying Airbnb could be really worth it!
6. Build a mobile app
If you are a developer and have some great ideas, you could try to build an app and sell it via Android and Apple play stores.
Everybody has a smartphone these days and people are always on the lookout for something new!
As long as you have a fresh and innovative idea, then building an app is definitely something I would recommend you do!
7. Sell products on your site or on Amazon
If you have physical products that you can sell, then you have the option to do this both via your own website or via Amazon.
I don’t think I know of anybody who does not shop on Amazon, so your product could really reach a wide audience!
You don’t necessarily have to sell your own products!
Dropshipping is a method where a store doesn’t keep the products it sells in stock. The selling merchant purchases the inventory via third-party manufacturers but only after the customer has placed an order.
This Shopify guide will help you understand what dropshipping is about and how to go about implementing it.
I have only just started my affiliate marketing journey and I really hope I will be able to share my personal success story in one year time or so 🙂
In the meantime, I would like to invite you to read the two articles below.
The first one is about one of my fellow Wealthy Affiliate colleagues. He managed to achieve his 6 figures goal in 2018 and made over $100,000 in 12 months. All he did was applying the principles taught on Wealthy Affiliate:
Here is a screenshot showing how much he made at some point in only 7 days!
I also follow this lady who has been making huge profit from her blog. She makes over $100,000 a month!
Read her latest income report by clicking on the link below:
How can you get started?
Of course the first step to take is to actually create your product or have a business plan for dropshipping.
Secondly, whatever option you choose, there is one thing you cannot escape from and it is called “Online Marketing“.
You will never be able to sell your product or service if you do not tell people that they exist!
I recommend you read the articles below, so that you understand the importance of email marketing, as well as the benefits of using social media:
If you decide to go for the affiliate marketing route, then I honestly recommend you go for the course I take.
You can sign up for it without the need of a credit card. You will be able to use your FREE membership to have access to some of the content and tools.
I do, of course recommend you to upgrade, if you really want to benefit from all the platform’s features and have access to the entire course.
Here it is. Click on the banner below to get started:
Conclusion: Passive income is your gateway to freedom!
No matter how much effort you put into your day job, you will never be free and you will have to work until retirement.
If you want to truly be free and spend your life doing what you love, I recommend you get started with implementing your passive income strategies.
Plan your days the way you want them to be, spend more time with your family and travel the world. Whatever your reasons are, passive income will open the doors to a healthier life!
I hope you have found this article useful. Please feel free to ask questions in the comments section below or email me directly at [email protected]