Best Passive Income Ideas 2021
Make money while you sleep is the basis of passive income.
” If You Don’t Find A Way To Make Money While You Sleep,
You Will Work Until You Die”
By Warren Buffet
In a Passive income stream, you invest your time, capital, and effort to set up the business during the initial few days.
In the future, your passive income source will earn when you are not thinking about acquiring money. Yep, you heard it right even when you are soaking up the sun at your favorite beach destination.
I have always loved the feeling when I hear chi-change sound chimes on my phone for every online sale. It may be while enjoying a party on a Saturday night or during a vacation.
Passive Income Definition
Passive income is earning money without your involvement in business or job, where your time is not needed to generate revenue.
Time is money in active income, and you have to work to earn that money.
The proportion of time is not always proportional to the money earned often.
For example, if you are working a 9 to 5 job, then your payment is constant. Thus, you will not gain extra income even if you operate an additional one hour. However, in some companies, it is eminent as overtime, and extra money reward is paid.
Passive Income Strategies
There is always equal importance given to active and passive income as both of them will provide financial security for you.
The excellent idea to have a passive income is to have many sources of income with extra cash flow.
You can have any number of passive income sources as you need.
Best Passive Income Ideas 2021
1.Build A Course and Sell It Online
Selling a course online from home is the best passive income idea. Pandemic has created more demand for online courses. It is the best option if you are good at sharing tips and tricks from the segment of your interest and expertise.
There are many platforms to sell your course like
2.Publish e-books
The best way to self-publish your books is with Amazon Kindle Direct Publishing. Most of them, which are available on Amazon, are self-published books.
You can either publish it as an e-book or as a paperback. Select a way like a story, guide, or self-help book and write about the topic of your interest.
It is an easy and fast way to publish e-books and earn royalty as your passive income. Besides, you can do the marketing of your books to speed up their sales.
3.Sell Photos Online
Everyone uses smartphones to click a picture and upload it on social media. So naturally, they are happy if they get the most number of shares.
You can share photos of nature, plants, animals, etc., on the selling platform.
Upload the best photos on selling platforms to earn the royalty on the sales of the photos.
Clicking photos for an event is active income. Whereas clicking photos during your leisure to sell for a commercial purpose is passive income.
You require a digital camera or a simple smartphone with at least a 10 Megapixel camera to start earning from the stock photos.
You can get more tips and tricks about photography from the youtube channels available.
4.High Yield Cash Deposits
High-yield cash deposit accounts are an easy way to start passive income.
These are best for first-time investors as they are less aware and apprehensive about the investments.
It earns less interest than the other investments in the market. There is also less risk in this form of investment. The earnings are small, but over time will make a difference to your passive income pool.
Bank deposits will not make you rich overnight but will add up to your passive income pool.
The opening balance and the interest-earning differ for each bank.
If you do not remove the interest earned from your account and allow it to grow over the years, it will increase interest earnings.
You can also add a gift in the form of cash and bonuses to this kind of accounts to earn more interest.
Few banks which offer high interest are CIT Bank, Capital One, and Discover.
5.Start A Blog
Blogging is the easiest and steady way to build your passive revenue stream. It will take some time to generate revenue but will start.
It is the most popular income stream. In addition, you can monetize with affiliate programs, courses, products, advertisements, and books. Thus, one blog can generate income in many ways for you.
You will have to own a website to publish your blog posts, and website building has become super easy at present.
With the help of Bluehost and WordPress, a medico like me has built this website. Yes, I have set up this website from scratch.
Blogging will take a bit of time to research and write great content. However, it will help you build a loyal audience for your blog.
The most popular blog niches which are trending at present are
- Food
- Finance
- Fashion
- Lifestyle
Your viewers should get the information they are looking for and build trust in your brand.
Blogging will not fetch you overnight income. But be patient and build blogs so that success can reach you shortly.
6.Affiliate Marketing
Affiliate marketing will work for you only if you are blogging or have a website.
You share the third-party product link on your website. Viewers will buy the product on your website by clicking a link.
You earn a percentage of sales on a product or service made on your website.
Make sure to promote a high-quality product you have known. Your knowledge about the product will influence the audience. Viewers trust your recommendation on that particular product.
The commission earned depends on the number of page views you have and the sales made by your audience. So the sales depend on you.
How you present this product to your audience will motivate them to click on the buy button.
Millions of users are spending time online.
They are looking for products to buy. Similarly, there are also millions of companies trying to reach their audiences. They need an audience to improve their sales.
You can bridge this gap and help companies make sales.
For each sale from your website, you earn a commission of 5% to 30 %.
The best affiliate marketing platforms available are
Check the programs before you signup for the affiliate market.
7.Digital Files Sales
This idea is best if you are good at planning, graphic designing, and painting.
You can create planners, graphic designs, templates, clipart, wall arts, etc., and sell them online.
Online platforms like Etsy and the Creative market sell these digital products. Thus many consumers are buying these products for their projects.
Create and upload digital products to these platforms to earn passive income.
Upload often and have many quality products in your store to earn more returns from the online store.
Use building and designing applications like Canva and Procreate to create the products.
8.Start A Youtube Channel
Millions of youtube viewers search for information on the topic of their interest.
Share tips and tricks about a topic you are good at by making a video about it.
Influence your viewers and monetize your youtube channel. For example, you can promote a product or run advertisements.
Create a youtube business account today. Then, start to upload the videos to attract your audience and earn passive income.
9.Social Media Influencer
People are gaining popularity on these platforms. Popularity is for their content sharing and media presence.
Few social media influencers have millions of followers. And many of their follwers dream of having a life like an influencer they follow.
If you have vast followers, then you can monetize it. Start by sponsored post, affiliate marketing, and coaching.
Facebook, Instagram, TikTok, Pinterest, etc., are social media platforms. So you can start to earn passive income here.
11.Dropshipping
Arrangement of the direct delivery of a product to a consumer from a manufacturer with your involvement is dropshipping.
You will receive the order and direct the manufacturer to deliver the product to the consumer.
It is the most profitable passive income stream. The customers are from around the world, and you can also have products from different niches to sell.
There is not much running cost to start dropshipping as it can be managed from home.
You can do market research to know which product is trending in dropshipping.
Passive Income Tips
- Run thorough research about the kind of passive income stream you choose to start.
- Do check on the industry pioneers and competitors in the area of your interest.
- It is wise to have a business plan and vision for your passive income stream.
- Have a budget planned for your new business.
- The ideas are not get-rich-quick plans, so be patient while it starts to earn. I made $20 during the first month. It made me feel at the top of the world since I started to earn passive income.
Conclusion
Passive income increases your earnings and fills the gaps in your financial plan or budget. It will also help build your emergency fund sooner.
Pick the idea which will suit you well.
Without a further duo, get started today. You can build your passive income stream and have financial comfort.
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