how to generate passive income
I’m sure that every time you find it hard to make ends meet, the solutions that first come to mind are working more hours to earn more, or asking your boss for a raise, right?
What if I tell you ways to generate passive income there are many more methods with which you can generate money at the end of the month, and also without hardly working?
In this post, I will show you how to generate passive income use this form to grow your income even when you are sleeping or playing with your children in the park as I have been doing for 2 years.
What is passive income & how to generate passive income?
Passive income is income in which you do not need to do anything or work on it constantly to generate it. It is true that you must first create them and work on them to be able to sell them later.
But once you have done this, you will not need to do anything else to get benefits.
A good example of passive income is to publish a book: you work on it for a few hours until it ends, but when you publish it later, you earn money with it every time someone buys it without having to continue working on it.
Now the question is what are the best ways to generate passive income read this post you get your all answers.
Who has not wished to generate money while he is sleeping? This is precisely what passive income is about.
Although you should keep in mind that all passive income starts as an active because it requires an initial effort. However, as you increase your profits, your presence and activity will be lower.
Even to the point where it will not be necessary for you to spend more than a few minutes a day or a month, supervising that everything goes in order while you keep making money making your life.
You just need to know ideas to generate passive income and for this your are at right place.
But, why are you looking for this type of benefits?
To get out of the routine of working hours and financial dependence. Nobody likes to stay 8 hours or more in an office from Monday to Friday, much less working for others when you could do it for you.
And looking for true financial independence is what will allow you to live your dreams and achieve the goals you want. So with this mentality is that you must start to earn money without effort.
This income can be obtained through different activities such as renting houses, cars, collecting royalties (for example from a book), investing in the stock market, selling products over the Internet, etc.
What is the active income?
Unlike passive income, active income is the money you get through your work. You receive this income for the time you dedicate to a task or activity, where you get paid for that.
Most people with their jobs receive active income because the time they work is exchanged for their salary.
The main difference between active and passive income is that with the first if you stop doing the activity that generates the income, you will not get more money. While with the second, this does not happen.
In this type of income, there are employees and all types of people who generate income through an activity, and if they stop doing it, they will not be able to continue charging.
For example a taxi driver. This person charges an amount of money for each trip he or she makes. If you stop doing it, you will stop making money.
Keep in mind that these activities refer to all those tasks that require your presence and that if you are not, they cannot be carried out and therefore do not generate money.
You may be the owner of a company, but you have to introduce yourself every day because if you do not do it, things do not work well. And for that, you have to stay until the end of the day to control that your venture continues to generate money.
In any case, if you hire a manager who is responsible for your work, you no longer have to go every day and work for 8 hours for the company to continue generating money.
In this way, your company would become a source of passive income for you. And that time you previously invested in running your company, now you can take advantage of other activities that generate more money or may have nothing to do with work.
Also Read: Making Money From Freelance jobs in 2018
What are the residual income?
If you have heard about the term residual income, you should know that they are exactly the same as passive income.
This is because they are benefits that are obtained without having to find you working and usually, thanks to the profits that an asset of your property or product and/or service produces.
They are called residual because it is money that enters your account every certain period of time known and usually begins as a supplement to your main income.
For example, when you offer a monthly subscription to a premium service, you know that you will receive that income each month from your users. The same happens when you rent a car or an apartment, you will receive that rent income every month.
As you can tell, they are activities that generate income every so often without the need for you to be constantly working.
Probably some initial effort is needed, but the time-money relationship is much better than inactive income. And maybe as you get better at the activity generated by passive income, this becomes the main source of money in your life.
10 ideas to generate recurring passive income
Investing in the stock market
How to generate passive income with stock?
Currently, online trading has become one of the investment methods to generate more popular passive income.
This is because you only have to choose in which assets to invest your money, and without needing to make another effort, your money will grow if your operations are correct.
For example, you could invest upward in Facebook shares, that is, you think the price of your shares will rise. And each time these actions go up, you will generate money without having to do anything thanks to that operation.
The best way to start in this is by investing online from your home. But beware: not all the brokers there are good and reliable.
It is important that you choose a good platform for beginners if you have never invested before and want to start doing it to get passive income.
One of the best brokers that exist right now for this is IQ Option.
This was the online investment platform with which I started operating, and today it is generating me $ 1,362 every month on automatic pilot without having to do hardly anything.
The best thing is that you can start investing with only $ 10, and also have exclusive video tutorials for your clients in which they teach you how to invest from scratch with winning strategies.
Also Read: future of 3d printing all you need to know
Using social trading
Do you want to generate passive income by investing, but you do not know anything about trading and do not have time to learn? So your best option is to use social trading.
Social trading is like a community of investors, where each trader has his own investor profile that shows all his information related to the operations he performs. Things like what assets you have invested in, how much profit you have made, losses, followers, etc.
At the same time, it allows you to copy the movements of other investors so that, if you do not have any idea of investments, the task will be easier and you will only have to make a couple of clicks to start earning money.
You can imitate the movements of a single asset or of the entire series of transactions that the trader you are copying has performed.
I have tried several social trading brokers, but the only one that I still use so far because it has given me better results is eToro.
It is a broker specialized in social trading, which makes the platform work as a social network.
Your minimum deposit is $ 200, but by being able to make more capital investments by copying others, the profits are also much higher.
You just need to find the investor that suits what you are looking for, choose how much money you will invest in copying their operations and confirm the operation. In a few clicks, you will already be making money taking advantage of the knowledge of the most experienced.
It also has an education section to learn everything you need about regular and social trading, which will allow you to open new perspectives for investment.
And along with its news section, you can be aware of the news in the different financial markets, so they do not take you by surprise.
Selling photos online
If you like to take pictures with your mobile phone or have the right equipment for it, you can earn good money by selling your images. Especially if you get good quality photos.
You do not need to be a professional photographer, just know how to make well captures and you will be ready for this.
Nor do you need to invest a lot of time, since you can be walking and taking pictures and then upload them to a sales network like Fotolia.
This is an online platform where you can upload your best photos to sell at a very good price.
This page acts as an intermediary, since it allows you to reach people or companies interested in acquiring your photographs, and they simply let buyers pay you directly.
The good thing about this method is that it’s a really easy (and fun) way to : you’ll just have to work a bit to make good photos, and then upload them to different image sales pages.
Then you will not need to do anything else: every time a photo of you is sold, your earnings will be automatically entered into your account without having to do anything (passively).
Another way to generate passive income is writing books or e-books. Most people go online to look for information about something in particular, and if you can make it reach them easily and understandably, they will be willing to pay for it.
Now readers prefer to see and read content that is specifically about the subject they are looking for, without deviating too much and coherently.
In addition, thanks to technology, physical books are ceasing to be striking. The convenience of having hundreds of books available on your mobile at any time makes them attractive.
With all this in mind, you can start writing a book on a topic you know, that you master to perfection and that you think people would pay to know.
For example marketing strategies, coaching, self-help books, finances, novels, etc. Any topic or subject that you think people might like.
The best way to sell your e-books is through Amazon Kindle, which is Amazon’s online reading platform. Here you can publish your books for free in any language and place the price you think is right.
Yes, Amazon is very demanding with the guidelines to make the publication on its website. Therefore, you must follow the demands of them to the letter to achieve publication.
This may seem a little difficult, but with the help of the KDP Formula, you can publish your books without a problem and get very good benefits thanks to the guide they have.
It is an infallible formula to learn to publish your books through the Kindle network and succeed with sales, to achieve financial freedom while copies of your e-books are sold 24 hours a day, 365 days a week. Year.
If you like to write and always wanted to publish your books, the KDP Formula will help you make money by selling them on the Amazon Kindle platform.
Rent your house
Do you have a free house or a room that you hardly use? Instead of letting the dust accumulate on it, a great idea would be to rent it to generate passive income with it.
This is a method that many people have used for decades: invest in properties such as apartments and then rent them to others, or use the room they have left free in their own homes to rent it temporarily.
The best way to get it today is through the popular Airbnb page.
It is a worldwide platform for the temporary rental of spaces, can be rooms, apartments or houses. Travelers, above all minimalists, can find any type of space according to the filters they choose.
Airbnb allows you to register your home safely and quickly, with all the details of the property and the rules for good behavior and care of the space you rent.
It allows you to contact interested parties, once they have written to you, and provide extra information. Also, you have a calendar that indicates the days in which your space has been rented and those that have not.
In addition, you can set a price according to your criteria.
Payments are very secure, through the Airbnb platform. You will not receive the rent payment until the first day that the tenants stay in your home. You must bear in mind that the platform will keep 3% of the total rent.
Similarly, the platform ensures you get an income in case potential tenants cancel at the last minute.
It is a very good way to monetize your property and make it an additional source of passive income.
Creating a podcast
A podcast is an audio or video program that deals with a specific topic, such as a radio broadcast. Normally, it is published on a regular basis in a series of episodes to talk about a more general subject.
This type of content is aimed at a specific community, not for everyone.
So, if you want to create a podcast, you must first segment your target audience, to make sure you reach the right people.
So how can generate passive income with a podcast? Well, having a solid base of listeners, you can charge a subscription to your podcast, which deals with a particular niche, such as mobile applications.
That subscription is a monthly cost that you receive on a recurring basis and helps maintain the quality of the podcast.
There are also other podcasts that are sold because they contain very special and valuable information for people. Both are good ways to generate passive income with this digital medium.
As you can see, its format is simple and you can enjoy the content while doing other things. You can also download it to listen to it when you go on the transport, to the gym, go for a run, etc.
Nothing better than a podcast to share valuable information with your users.
Doing affiliate marketing
A good alternative to earn passive income is with affiliate marketing; however, to be a profitable activity, you must either have a medium with a large number of followers or invest in online advertising to generate sales.
What is affiliate marketing based on? Here you will not have to create an ebook or a digital product from scratch, you will simply promote someone else’s product and earn a percentage of the sales you get.
Therefore, the income you receive will depend on the size of users who follow your means of communication, such as a blog or your social networking page.
Of course, the quality of the product also influences, so you should make sure to promote a good product.
You can either team up with other bloggers, or use affiliate platforms like Amazon or Clickbank to find the product your audience would buy. On these platforms, you will see what the commission percentage you will receive for each sale will be.
Affiliate marketing is the one of the best way to generate passive income nowadays, become e-commerce is growing very fast.
Vending machine business
Everyone has used a vending machine once. It’s like a store that does not need employees or rent a large space, without mentioning all the bureaucratic process involved in opening one.
These machines are an extremely profitable business, and at the same time, an excellent way to generate passive income. However, they require a higher initial investment for the purchase of the machines. You also need to find those ideal places where to install your machines, make agreements with your suppliers and owners of the space.
Another associated cost would be maintenance and the staff that is responsible for maintaining the stock, in case you do not want to do it yourself.
Start looking for where would be a good place to install these machines, you can start with companies with more than 100 workers or buildings containing offices, etc.
Selling digital templates
Many people need different templates every day for their projects or jobs. Whether web design templates, blog, excel format, etc. The market is very broad.
Of course, it requires an initial effort to create each template, but with its sale over time, the rewards may be greater. And you will continue to earn money with the sale of these jobs you did once.
If you do not consider yourself an expert, you can hire someone to do it and create a digital business with this. The possibilities that the internet offers you are endless and the entry costs are not that high.
You will have to create a website where you will place the templates you wish to sell. I recommend you start by focusing on a niche market, for example, you can focus on selling templates to plan and measure marketing through social networks.
There are also web platforms that give you the option to sell this type of format. This way you get to reach more interested people.
With the rise of Uber and taxi applications, there are many people who rent a car to provide this service and generate extra income.
If you have one or own the capital to invest in the purchase of one (or several), you can rent it and earn a residual income for it.
It will depend on your location and the offer that you have, you should investigate how long you can recover your investment and the cost associated with the maintenance of the car.
Even if you have the possibility, you could rent several cars and increase your profits. And all this without the need for you to work, since your vehicles will be the ones that work for you.
Car rental can result in a very lucrative business if calculations are done well. The best thing is that it does not require a lot of investment of time.
These are all best ways through which you can generate passive income which one you like, comment below.