As an entrepreneur or self-creator, earning passive income is the ultimate dream. While getting to that point requires hard work, putting in the time and effort now will give you freedom, flexibility, and cash in the long-term.
Just as with any side hustle, the first step of earning passive income is to create a website and put yourself online. After that, you’ll be able to try different strategies to keep the cash rolling in–whether it’s putting affiliate content on your site or starting an online dropshipping business.
Below, we’ll dive into what exactly constitutes passive income–and the top ideas for generating passive income yourself.
What is passive income?
Passive income is a type of income that requires minimal work. Essentially, it means making money without putting in much time or effort (for more details, see our guide on businesses that run themselves). How is this even possible? Think about it–you can earn money as an investor even while you’re sitting on a beach in Hawaii. Other types of passive income–like renting out a property or making money on YouTube–operate on a similar principle. Once your income sources are set up, you can (mostly) sit back, relax, and watch the cash flow in, in the same that you might with a side hustle. The key is to come up with strategic, low-effort business ideas that work with your skills and lifestyle.
Best passive income ideas
Let’s take a look at some of the most profitable passive income ideas, many of which you can do online and from your home:
