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With or without a global pandemic threatening our economy, personal income, and household earnings there is a need to have more than one source of income. For many reasons like to get out of debt, live debt-free, become financially free and live that dream life. Hence, the need for more passive income streams arises.
However, not every income stream is passive, some are active. With an active income stream, much work is needed and you might have to be available most time to make money. But whatever, way you decide to make extra cash in 2021 make sure the paycheck is worth it at the end of the day.
20 passive income ideas
Every passive income idea I’m going to be sharing with you is super easy and can pay you well. It’s something you can do alongside your full-time job until you grow it and decide it can replace your job. For instance, I own this blog, is it earning me a few hundred boxes? Yes, but I haven’t grown it to the level where it can be my full-time job. It is still a side hustle for me so are all the ideas you are about to see.
1. Monetize your hobby
We all have what we are passionate about and those hobbies we just do for fun in our free time. But what if you could turn it to a source of extra income. Nothing too tasking just something you do when you have time and you could make money from it.
Even though not all hobby can be monetize but a lot can be which yours could be it. Photography, crafting, writing, arts are just a few example of the many hobbies that can be monetize.
2. Selling crafts
Selling crafts alone is a hot cake in the online market. People own online stores purposely just to sell their crafts and even if you can’t create one from the scratch online platforms like Etsy makes it easy for people who want yo sell their crafts online.
Hence, if you are good with creating crafts of all form and you don’t mind making it another source of extra money then you can do it. However, if you want to make it a full time business it involves a lot of hard work.
3. online courses
Before I will say anything about online course creation something needs to be made clear. Course creation is not only for bloggers or for people who own a website. It’s for anyone who has good enough knowledge on an area of need and would love to share what they know to a targeted audience.
Hence, all you need to be an online course creator is a platform to create your courses then you promote it to your targeted audience on any social media platform of your choice or through targeted ads.
4. YouTube videos
YouTube is a good source of extra income with little but strategic efforts your channel can start making you some extra cash. It allows different types of video content and even quality to thrive. So it’s not always about high quality but demand.
So your videos can be a comedy, travel, food, tutorial, beauty, fashion, entertainment, gossip, and The list can go on. You can grow your subscribers on Facebook or any other platform you think will work for you.
5. Publishing e-books
Just like creating online courses, you can self publish an e-book and sell them on any platform of your choice and through targeted ads.
You will need a platform to keep up with some legal online policies and even to be more professional and trustworthy. But all this are not time consuming or money consuming. Coming up with the right and quality e-book for your audience is the big task.
6. Selling videos
Another unique passive income idea is selling videos. It is different from YouTube. This works like selling photos which we will be seeing next but instead of photos this time you are creating videos for the purpose of selling it.
7. Selling licensed photos
There is a growing demand for photos online as content creation keeps taking a new dimension and so can your income too. People are willing to spend a few good dollars for unique photos and there are business dedicated to making those photos available.
Don’t leave your photography skills to waste even if it’s just a passion or hobby, there are places you can sell them and make money.
8. Create an app
This one is definitely for the tech savvy ones with software programming skills and all that. But it doesn’t change it from being a passive income stream.
Thousands of apps are created every year and people are making more than a decent amount of income from it and you too can.
9. Drop shipping
The idea behind drop shipping is you create an e-commerce website, you display merchants products on your online store with your own price. Someone sees a product in your store, they place an order, you get your cut and the merchant gets theirs too. The best part about drop shipping is that you don’t handle the orders or deliveries.
This requires expertise as people are in desperate need of coaching in different areas of life. But before you can make this a business or a side hustle you need to be a professional in the field you hope to coach people in.
They will trust you and do as you say so you must make sure you are giving what works not what you hope will work. They see you as an expert and you have to meet up with expectations.
You book clients at a convenient time for you and they pay for your services. That’s basically what makes this an easy passive income stream.
11. Start a Business
Do you have any small business Idea you are not sure if you should go ahead with it? You feel it is not unique enough for you to put it out there. Well, you are wrong except if you don’t need the extra money that comes from it. Perhaps you need concrete reasons why you should start a business.
Even though a business is lot different from side hustles, there are businesses you can run along side a full-time job.
12. Graphic designing
Graphic designers are making so much money that calling it an extra income will be undermining. All the cool images you love and animations are graphic designs and if you have any of that skill it can make you money.
If you have that skills or a natural ability put it to use and let it make some money for you.
13. Rent a room
It can be a room, a barn, a warehouse, or even your garage. Renting out space to me is one of the easiest passive income ideas anyone can try as long as you have an available place.
Aside from maintenance and trying to get the word out there, there is really less work in making this a passive income stream as rent payment comes in monthly.
14. Freelance writing
Whether you are a writer by expertise or just passionate about writing. You can get paid to write. Freelance writers can make up to or even over $200 with one good written article.
There are websites constantly in need of content and are willing to pay a good amount for it. Hence, freelance writing is one of the best passive income ideas for writers like yourself.
15. Virtual assistance
My simple guide to becoming a virtual assistant is by listing your services on social media and platforms like Fiverr. Virtual assisting might sound like a lot of work but it is not because you get to choose the number of clients you worked with at a time.
The best thing about this side hustle is that you get paid hourly and you work with the time that works best for you. Plus you determine your rates.
There are so many ways to make money be it online or offline and one good way is through investments. In today’s world, there is so much to invest in that can grow your income gradually but steadily.
There is the stock market, real estate, foreign exchange, cryptocurrency, business investment, gold, oil, and the list can go on. Find the market you are comfortable with and put your money to work.
17. Rent out equipment
Just like renting out a room, renting equipment is an easy passive income stream. If you have tools, gadgets, or pieces of machinery you use but others are also in need of, you can rent it out.
This might not bring a steady monthly income but it will bring in extra cash from time to time. Remember to have your policies for use so you don’t end up using the money made on maintenance again.
18. Affiliate marketing
As a blogger the first $200 I made was with affiliate marketing and the best part about this source of passive income is that you don’t need a blog/website to make it work for you. I make money directly on Pinterest using affiliate marketing without writing a single blog post.
So can you too, join affiliate programs or networks and promote your unique links on your social media accounts. All you might need is a sales funnel that converts.
19. Savings account
As far as making passive income is concerned this is the simplest but the slowest in returns. You open a savings account and start saving little money in it and as the money grows your interest grows. But we all know how the banks are not generous when it comes to adding interest.
The idea behind having a savings account as a passive income stream is that you get to save money and you can put the money into good use in the future.
20. Start a website
If there is one thing that makes starting a website or blogging as it’s commonly known to appear on every list of passive income ideas. Is the fact that you can monetize it in so many ways. You can monetize it with ads, affiliate links, sponsored posts, and selling your own products. Those are just the major ones but there are many other ways to make money from your website.
Yes, it takes a lot of work at the beginning but the hard work pays. If you want to blog alongside a full-time job then all you need is the $1k blogger. It set me up for blogging success and it can do the same for you.
Conclusion on top passive income ideas
There are endless possibilities of making money out there and anyone can become financially stable if they are ready to put in the hard work.
These are just but a list of passive income ideas to guide you and give you ideas. When you find what works for you dig in and do more research. I would like to know what passive income stream has made the most money for you, or that you might want to try.