Do you want to earn money while you sleep? If your answer is Yes then this post is for you. In this post, we will understand the best passive income ideas to make money. There are many ways to earn money. We work hard to earn money. I will give you some best passive income ideas to earn money so you don’t need to work actively on daily basis.
First, we will understand what is passive income.
What is Passive Income?
Passive income is the money you get by some intervals without putting the efforts actively to earn it. To be more clear, passive income is the money you get by putting less effort one time or periodically sometimes and you will get income out of it for a long time.
For example, you create one Udemy course to teach one subject, so you put some effort to create this course for some time and once it is created you put some more effort into market/advertise it through your social media or through other media. And that’s it. Now you sit idle and get money when someone buys your course.
Many people have misunderstandings or confusion about Passive Income vs Active Income. There is a difference between Active Income and Passive Income. So let’s get it cleared first.
Whats is Active Income?
Active income is the money you get when you work for it actively. For example, your job as an employee. Your salary gets calculated on the basis of your workdays. If you stop working for your employer then they will stop your salary. That is one example of active income.
Difference between Active Income and Passive Income
Passive Income: You put less effort into passive income and get money for a long time.
For example – Earning money by creating Udemy courses is the passive income source.
Active Income: You need to put effort actively to earn money. Once you stop making an effort or stop working then your income will also get stopped.
For example – Earning money by teaching kids online daily/weekly is the active income source.
11 Best Passive Income Ideas
#1 Write the book or ebook
If you are good at writing then you can write a book on certain subjects or you can write novels. Publish your book and get royalties from publishers. You can also self-publish your book and earn money. If you have the best writing skills and if you market it well then you may write a bestselling book and earn a passive income for a long time. Amazon Kindle Direct Publishing is the best platform to self-publish and sell your book and earn a passive income.
#2 Create an online course
If you are an expert in some skills and love teaching them then you may want to consider creating online courses. There are many platforms where you can create online courses and interested people will buy those courses. You will earn money every time when someone buys your course. Creating and selling online courses on Udemy is the best passive income idea.
#3 Build software and sell
If you are a tech person and you know how to build software products then building and selling them will generate you a passive income. For this, you need to identify the problem businesses or individuals facing and build a software application for them. You can build mobile apps to solve the existing problem. You can even create or build web applications or mobiles apps using no-code tools available.
#4 Rent your property
One of the best passive income ideas is investing in rental property. You can buy the property and rent it. This is one of the best investments in real estate. renting a property will generate money for you each month.
#5 Invest your money into the stock market
Investing in the stock market is a risky way to earn money passively. If you want to invest in the stock market you need to learn or understand how the stock market works. Investing in dividend stocks is also the best way to earn passive income.
If you are not having that much-having knowledge about buying or selling stocks then you can invest in mutual funds. In mutual funds, you can invest a lump sum amount or invest systematically ( SIP ). This is the best passive income idea in which your money generates more money periodically.
#6 Rent your car or bike
If you have a car and not using it often, you can earn a decent amount of money by giving it on rent to drive someone. You can rent out your car for a few days, weeks, or months. If you want to rent out your car in India and want to earn passive income then you may want to check the ZoomCar website.
#7 Sell ad space on your vehicle
If you drive regularly for your work or business then you may want to monetize your daily commute by selling the ad space on your car, van, or truck.
You may have noticed an advertisement on an auto-rickshaw, the same way you can sell the ad space on your car. This is the best way to earn passive income. In this income source, you don’t need to invest your money. You can contact advertising agencies and they will evaluate your driving commute and accordingly they will match the advertiser.
#8 Sell ad space on your website
If you have a blog or website with high traffic then you can sell ad space on your website. You can reserve some space for advertisements on your websites and create one page which says you accept display ads. To get these ads for your websites, you should mention your website statistics, like how much traffic you get monthly, from which locations/cities/countries you get this traffic, etc. Displaying ads on your website will help you generate monthly income for a long time.
#9 Create and sell designs online
If you are good at graphics design then you can use this skill to generate passive income for yourself. You can create the best and useful designs for other blogs, websites, or social media and put them for sale. You can use Canva or Photoshop tools to create the designs. So, start creating and selling designs online to earn passive income.
Related Post – 30 Low Investment Business Ideas in India
#10 Sell stock photos
If you love to catch beautiful photos on your camera then you may want to utilize this skill to earn money. There are many stock photography companies like Shutterstock where you can sell your photos. Whenever someone buys your photo from third-party websites, you will get a share of the profit. This is one of the best ways to earn passive income by selling the photos clicked or designed by you. You don’t need a fancy or costly camera to click photos, you can click best photos from your smartphone.
#11 Get involved in affiliate marketing
Affiliate marketing is one of the best ways to earn money without having your own products to sell. If you have a high-traffic blog or website then you may consider affiliate marketing to earn money through your blog or website. Affiliate marketing involves referring to a product or service by sharing it on a blog, social media platforms, or website. In simple words – You get a commission when someone buys the product/service you have recommended through the unique affiliate link.
These are some best passive income ideas I shared in this post. You can pick up one or two as per your interest and get started with it.
Do you know any other best passive income ideas? Please leave a comment below and spread the knowledge.