By choosing the right type of passive income, you can invest your time the way that you want to. There are so many opportunities out there to make residual income.
These are legit ways for you to make money while you sleep with something that fits your passion, experience, or skill-set.
First of all: Get Out of Debt
The less money you’re paying in interest to creditors, the more money you have in your pocket each month. Getting out of debt quickly can increase your income even more because you’re no longer paying interest to creditors each month.
Open a High-Yield Account
Are you looking for a low-risk way to make income passively? Then look at opening a high-yield savings account with an online bank.
Rent out a Room in Your House
Do you have an extra room that you rarely use? Why not rent it out to someone looking for a short-term rental on Airbnb. Millions of people use Airbnb to find a place to stay instead of staying at a hotel, sometimes even for months at a time.
Write a Book
Once the initial work of creating the book is done, selling books can be a great way to produce some serious residual income. Once your book is available on a site like Amazon, you could receive a check each month for doing “absolutely nothing”.
Note that spending some time developing an effective marketing plan is vital. Obviously, the more time you spend marketing your books, the more money you’ll make.
If you have a website already then this is a no-brainer. Some people are making over $50,000 per month. If you don’t have a website, you can start one for less than $3/month or start a free blog on Blogger or WordPress blogging services.
Get Paid For The Time You Spend On the Web
Did you know you can get paid just for being on sites you’re already on? UpVoice will pay you to spend time on sites like Facebook, LinkedIn and more.
All you have to do is sign up via Facebook. Once you’re approved, you can install the UpVoice browser extension on your Chrome browser. It’s a safe extension that won’t affect your browser performance.
As you visit participating site, you’ll earn daily tokens. Participating sites include:
You can earn more tokens if you choose to take surveys. Then you can use your tokens to purchase gift cards–including VISA prepaid gift cards.
Sell Products on Amazon
Do you shop on Amazon? Most of the world does too. Did you know that you can sell your own products on Amazon and have them even ship the products for you?
Create an Online Store with Drop Shipping
With the explosion of eCommerce, drop shipping has become very popular. Here’s how it works: you create an online store that offers products from certain manufacturers.
A person visits your site and orders a product, and then your system sends the order to the specific manufacturer. The manufacturer then completes the order by shipping it directly to the customer.
One of the cool things about this type of business is that you do NOT need to order inventory. The customer pays for the product; you collect the profits, and the manufacturer stores and ships the products to the customer. It’s as simple as that.
Create an Online Course
Online courses can be a great source of passive income. Here’s how they work: you create a value-packed online course that helps solve a problem or fills a need.
The course can include videos, e-books, and emails with pertinent information. Customers sign up to purchase the course, and your system automatically emails them everything they need to access the materials.
You get money for the price of the course that you created.
Create YouTube Videos
Everyday regular people like you and me are making money on YouTube. Each time someone watches one of your videos, ads can appear, and you can make money from those ads. The key to becoming successful with YouTube is building a large enough subscriber and viewer base.
It can take a lot of time up front, but once your videos are live there is potential for you to make passive income from each video indefinitely.
Start a Business and Have Someone Else Run it
Owning a business can be a good passive income source. The key is in having the right people running the business for you. Whether it be through the purchase of an existing business or opening a new business, your great business idea can be a viable source of passive income.
Buy a Vending Machine Business
A successful vending machine business can be a great way to make passive income. The key is to find the right places to install your vending machines. Check with smaller brick and mortar businesses. Contact those that have over 100 workers in the building on a daily basis, and see if they need vending machines.
License Your Photos
Have you ever wondered how you could make money taking pictures? Do you have an eye when it comes to taking good photographs?
If so, check out a site like Shutterstock. You send your photos to Shutterstock and if they are approved, each time one of Shutterstock’s clients downloads one of your photos you’ll get a paid a royalty.
Create a Mobile App
If you are a bit techie and can come up with some unique ideas for mobile apps, or improve upon an existing app that will help people make their lives better, you may land yourself a great source of passive income.
Every app on your phone is making money for somebody, somewhere, and won’t even talk about the ridiculous money that Angry Birds brought in.
Rent Your Car for Ad Space
How would you like to make money just for driving your car and not have to pick up any passengers? By allowing companies to place advertisements on your car windows, you can earn a few hundred dollars each month simply by driving your car around town.
Buy an Existing Online Business
The beauty of an online business is that most will allow you to work from anywhere. Starting one from scratch can take a lot of time and resources. Why not consider buying an already established online business?
Another way you can make passive income is by designing t-shirts and other products – even with no prior design skills. There are sites which allow you to upload your witty design ideas and then create t-shirts, coffee mugs, laptop covers, etc.
Rent Your Stuff
Thousands of people every day are looking to rent any variety of items. Craigslist can be a great place to advertise your items for rent.
Products that you could rent out:
- Extension ladders
- Party tents
- Tables and chairs
- Utility trailers
- Log splitters
You can even rent out your car when you are not using it. Just make sure that you have a proper rental agreement signed by both parties. Also, get paid in cash beforehand, and get a current photo ID and secondary proof of address from renters. This will help you to protect the property you’re renting out. For extra peace of mind, consider requesting a security deposit as well.
Invest in Real Estate
Real estate can be a great way to make money while you sleep. Since it costs so much to purchase a home, this is not the easiest way to start without enough savings.
Dividend income is money paid to shareholders of stocks in the form of cash. Dividend-paying stocks are especially enticing for those wanting to make a living with passive income, as they will get payouts each quarter or so. Even Warren Buffet historically is a fan of dividend-paying stocks.
Peer-to-peer lending is when you loan other people money who don’t qualify for traditional financing.
There are a ton of ways that you can make passive income. Hopefully, this list has helped you narrow down which source of income is best for you.
So if you’re tired of the traditional way of making money, implement a few of the passive income strategies above so you can start working less and making more money while you sleep today.