Income Series: Passive Income – Your Next Source of Income

10:53:00 AM Rhea Mocorro 0 Comments

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Wouldn’t it be nice to earn with so little effort required? Wouldn’t it be nice if you can just sit back and relax knowing you will earn at the same time? Wouldn't it be nice if we were older then we wouldn't have to wait so long? Ok, erase the last line right there. That’s Beach Boys song Wouldn’t It Be Nice.

Singing aside, it would really be nice to indeed earn money without pouring all of our time and resources in there. And many refer to it as passive income. It simply is an income that one can receive on a regular basis with little effort required to just maintain it.

So did I get your attention now? I hope so yes so you would read on.

Passive income is considered the most desirable type of income. Imagine having money that’s working for you instead of you working for it. You can be able to use your time to things that matter rather than working to earn it. It is no wonder that most people you know could earn so big yet have all the time in their hands. I am certain this is your dream too as it is mine.

However, before I even suggest great passive income ideas let me burst your bubble right here. It has been defined that this kind of income requires little effort. Let me stress the LITTLE (all caps for emphasis). When you decided to jump in the bandwagon of passive income, you need to shell out work still. Not to mention, with that work, you need to allocate time, resources, money and such.

Aside from that, passive income doesn’t come in an instant. Hence, you won’t be able to earn after one second or after a day. It takes time to build it. If you are still starting out with this mode of income, dedication is important to put everything into place. You don’t need to worry as such will be repaid greatly.

Hence, here are a few passive incomes with varied degrees of simplicity and money requirement.

Blog/Website. Creating a blog or a website is one of the simplest passive income mode. You can earn via ads and affiliate. To date, there are already many sites you can resort to such as Adsense, Nuffnang, Amazon Associate and Infolinks. Bloggers can in fact earn from their sites. It can be labor intensive especially if you are starting up your niche however the monetizing part that goes with it runs in the background. You might not know it but your blog is already earning for you. You can earn by the number of clicks or views. Other business might also contact you for collaborations and ad placements in your blog.

Savings. Another way to earn a passive income is via savings. You can deposit your money through your most preferred banks and it will grow depending on the interest percentage of the bank. Varied banks have different interest rates. It would be good to check on this one and inquire. Since I want my savings to yield a much greater interest in the long run, I tend to deposit a lot in a local cooperative bank here. They provide the highest interest rate as compared to the commercial banks. You may want to consider this for your future savings.

Investment/Shares/Dividends. I already discussed before MUSTor the Mutual Funds, UITF, Stocks and T-Bills that are good investments to undertake. Mutual Funds, UITF and T-Bills will be managed by the bank’s money managers hence the only thing you need to do would be to deposit money to them. With stocks, you can earn through dividends. Dividend is a payment made by a company to its shareholders. Since you are already a shareholder, they will give you such percentage on a yearly basis. This is also the beauty of cooperative banks since they give dividends to their members. You simply deposit your share amount. For instance last year I have a share amount of 50,000. Last year the cooperative percentage was at 10%. Hence they were able to give me 10% of my shares. I was able to get 5,000 in the process. Your money can appreciate in value without you doing anything.

Selling photography. This is ideal for our photographer friends out there. You can in fact use such skill to sell your images. A good site to begin is IstockPhoto.com. Become a contributor of the site and upload your works. If other individuals would be interested to have your photos, they need to buy it first. Hence, with that you can be able to earn passively.

App creation and template creation. For our programmer and designer readers out there, this one is for you. You can in fact create a mobile app and upload it in the Apple Store or Playstore. You can earn if other individuals would download the app. For the templates, simply partner yourself with a good template site and upload your Wordpress, Blogger or what not template there. You can also earn if other people would buy and download the template. If your app or template is good, this has great potential for continuous income stream. A good example for this one is Instagram.

Business. Considered as the most basic example of passive income, business is one great way to venture. If you have a business, you can simply hire people who would run it for you regularly. With such, you can be able to sustain your passive income flow. How much more if your business is doing really good in the market.
Real Estate. With this, you can buy properties and have it rented! You may also park the property to sell in the future. No wonder, apartments are sprouting today because it is a good source of passive income. If you have the resources, you can build living spaces and even commercial establishments for rent. There may be some maintenance work and cost involve however the income generated here is great.

Books. If you are an avid writer, you can use such talent to write a book and sell it. You can earn a percentage of what you published. To date, publishing a book is easy thanks to Amazon and E-junkie. For instance, Amazon has a good and inexpensive publishing platform in which you can earn royalties as high as 80%. Writing and marketing a book can be labor intensive however the rewards outweigh the cost. You may even become the next bestseller author out there.

Passive income is truly the trend nowadays in earning. It is but right that you also get to venture on one in the future given the right resources, time, money and knowledge. So that sooner or later, you will get to realize the sitting down and relaxing while earning.


P.S. To those doing the 52 Week Money Challenge and 52 Week Money Challenger Version 2, it is Week 3 already! Did you deposit the next amount yet?

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