First, lets begin talking about what passive income even is. Passive income, also known as residual income, is money you earn while you’re not working. You could be sleeping, on the beach, or just relaxing. Yet, money keeps getting added to your bank account.
1. Open a High Yield Savings Account
If you’ve got a bank account, the interest you’re getting paid is probably minuscule. In fact, consider yourself lucky if you earn anything at all! Luckily, online banks have burst onto the scene with some really enticing interest rates. Higher interest = more money you make off your savings, and all you have to do is put money into the account.
2. Rent Out a Room in Your House
Renting out your spare bedroom is kind of like having a roommate that you can kick out whenever you want. You decide when the room is available, you set the daily rate, and you make all the rules. Airbnb is a tool I recommend for that.
3. Invest in Dividend Paying Stocks
Dividends are payments every quarter of the year given to you by the company you own shares of. Getting paid in cash or in stock bonuses (more shares) are the typical ways that a company. You should do research and figure out some stocks that you’re interested in that provide dividends.
4. Start a Youtube Channel
You can make money by monetizing your channel. Monetizing your channel means that you allow advertisers to place videos (ads) at the start of your content. When you get a certain number of views, you earn cash. There are tons of people who make a livings doing this. People filming makeup tutorials, travel guides, unboxing videos, anything that will draw viewers to your videos can make Youtube become a source of income.
5. Create And Sell an Online Course
If you are especially knowledgable about a topic or have a specific set of skills you can create a course and teach it. The best part of this strategy is that once you do the initial work of creating the course, you continue to get paid.