in this article, I'm going to rate seven passiveincome ideas based on, firstly, how hard it isto get started and, secondly, how hard it is tomaintain and make money from it so whether you'reworking a 95 and want some passive income on theside or you're. Looking to start a side, hustle thatare, two main ways you can do this: the first is bybuying physical property and making money throughrental income. For this, the barriers to entry, arequite High. You need money for a down payment, youneed a good credit score, and then you need toSource the property and find a good tenant soin terms of getting started. I'D give this a threeout of five and in terms of Maintenance, you canchoose how passive you want this to be so, if youwant, to manage your properties yourself, it willcost you your time or if you want to hire someoneor, give it to a property manager to handle It willcost you money, and so, if that sounds like a lotof work, the second way you can make money throughrental income without actually needing a depositor managing the property, is through investing in areal estate investment trust.
A Reit is essentiallya company that invests in different types ofproperties. It could be hotels, warehouses, shoppingcenters and then it rents those properties outand from the rental income. It receives it'slegally required to pay 90 of that income to itsshareholders in the form of dividends. So in termsof getting started and investing in a read. I givethis one.
It'S far easier to do and you could buypublicly traded REITs through a brokerage. Accountlike, like you, would any other stock and in termsof Maintenance and how much you can make I'd givethis a two, because you do not have the hassle, ofdirect ownership, but you do need to invest a fairamount of money to make a decent return. Becauseyou'Re not relying on any leverage so for examplesegro, which is a reach that invests in propertyaround. Europe is offering a 3.4 return so to beable to make the equivalent of around 140 a monthyou would need to invest fifty thousand dollars ofyour own money, but because these REITs generallyhave long leases where the Brew chip tenants, therental income, you can make - is relatively morereliable in Various market conditions, numbertwo, is being a Creator printer.
This is being acontent creator, but I've called it. Createdpreneurto emphasize that to make this a passive incomestream, you need to think about content. Creationas, an entrepreneur - and this is a middle groundthat - isn't really tapped into so on one side: youcan love creating content, but if you don't thinkof it as a business, it's just a hobby, whereas ifyou solely focus on the business side of ityou're going to burn out before Even makingit into a passive income Stream, So you want totie both of these together for a platform likeYouTube in terms of getting started. Anyone coulddo it. You literally need a phone and an internetconnection.
So I'm going to give this a one to getstarted the harder part and what makes this into apassive income stream is actually how long you cankeep this up for without seeing the returns. Andthis is where the entrepreneurial side comes. Insetting up the process, hiring Outsourcing, so thatyou can concentrate on producing quality contentfor as long as possible. It took 10 months ofmaking no money through YouTube for me to finallybe eligible for the partnership program and nowI make hundreds of the day from YouTube AdSenseand. Most of that is passive because it's comingthrough my older article, another example, is Aliwho.
Last year, made 405 million from YouTube. Andhe spends a couple of hours a week on it. He alsohas a YouTube course on how he's built this up. Andthe systems he's put around it are link it belowif. You are considering it and want to check itout, but the hardest part of this income stream isputting in the time and staying consistent, so I'mgoing to give this a four in terms of Maintenancebut.
If you can get through that initial phase, youcan make a lot of money through YouTube and thisis one of the best passive income streams in myopinion number three, an online course I'm a bigfan of this one, because, firstly, as a consumer itgives, you so much access to Information that youwouldn't otherwise have and from a passive incomepoint of view, it's a great place to make scalableincome an example of someone who has done reallywell from this is cat Norton, who started a ticktock profile around tricks and tips of using Excelthose articles blew up and evolved Into her teachingothers about Excel through online courses and inher first year from doing this full time she madeone million dollars in sales from air and now ona good day. She makes over six figures a day, fromher courses which are completely passive. She madeit once and now she sells it again and againso. How hard is this to get started? The realthing or the real difficulty here is to identifywhat value you can bring and what you can teachto other people that they're willing to pay foronce you've got that bit.
Figured out it's aboutcreating the class and putting on a platform likeskillshare or udemy, which doesn't really requiremuch in terms of Maintenance, or you can host iton your own website and make sure you're drivingtraffic to it. So in terms of Maintenance, that'sthe easier part, and I'm going to give that a twoout of five, the fourth way to make passive incomeand, this is the truest form of passive income outthere, and that is through dividend. Investingthe way to think about this is when you buya share of a company, you now own a little pieceof that company, and so, if it's paying dividendsthat means they are taking part of their profitsand, giving you a percentage in terms of gettingstarted I'll. Give this a three because buyingindividual stocks for the dividends requires alot of research. If you don't want to be spendinga lot of time reading through all the financialstatements and the accounts, then a better wayto make passive income through dividends.
Isby, invest testing in index funds. This is thepath that I take and it's a safer way to earndividends than only individual stocks, becauseyou're diversifying what you have exposureto so, instead of being focused on one companyand its dividends, you now have pieces of lotsof different companies that will pay dividendsin terms of getting started. I'Ll give this oneit's really easy to do: set up a brokerage accountinvest in index funds, but in terms of Maintenanceand making a lot of money through this I'll giveit a three, because, although you don't really needto, do anything with your Investments, if it'san index fund to really Reap the benefits, youdo need to keep investing and also reinvest thedividends to buy more shares of those index fundsand. Then the real passive income will be throughthe appreciation and the capital gain side of itthe fifth way to make passive income is throughselling digital products, so this includes ebooksdownloadables presets website themes. What I reallylike about digital products is that it takes timeto, create them, but the costs are so low and it'spretty much passive thereafter.
So one example ofsomeone who has done really well from the S isSteve shoga, who has packaged up all the knowledgehe, had learned through his day job about designtips and bundled it up in an e-book and accordingto an article online. He made a 2.3 million dollarsfrom it. We all think we have to create somethingrevolutionary to make a lot of money, but that ideamay just come from what we do day to day. Most ofus go to job daily as an expert in our field, butnever think to turn what we know into an ebook andthat's.
Exactly what he did in terms of startingI'd give this a two. You really don't need anymoney to get started, but the harder part againis actually coming up with the idea that peoplewill pay for and in terms of Maintenance and beingable to make money from it. I'M going to give thisa three out of five because you can either put iton sites like Etsy and people can search for itor. You could spend more time creating an audienceand, creating content and use that to boost yoursales even further, but the most important thingis being able to provide something valuable thatpeople are willing to pay for the sixth passiveincome method is affiliate marketing. So this iswhen, you promote someone else's goods or servicesand, get a commission or a small percentage fordoing.
So so, for example, if you see the links, inmy description, those are affiliate links and so Iget a percentage of that sale and it doesn't costyou any more money for buying that product throughthe link according to an article online thenational average amount. An affiliate makes is 55000 per year and for me, through that and YouTubeAdSense combined in the last week, I made nineteenthousand dollars. So how easy is it anyone cansign up and join the affiliate program that takesliterally five minutes, so I'm going to give that aone in terms of getting started, but the hard parthere is actually driving traffic. So whilst I sayI made x amount in a week, actually it took me ayear to build a platform and build an audience. Toget me in a place where I can make that passivelyand.
So the affiliate side is almost a byproduct ofthe amount of work that you'd put in to grow thataudience in the first place and so to really scaleand make this passive. You do need a lot of trafficso. You can put it on your social media. Websiteyour blog your Twitter and the amount you makefrom, it is really dependent on how much you'reputting it up front to grow those Avenues. Sowith.
That said in terms of Maintenance, I'm goingto give it a four, because it is a lot of workto. Keep that traffic coming through organicallyfinally idea number seven of this passive incomestream article is productized service. This is ahybrid between a product and a service. Makingmoney through a service is one of the easiest waysto make money like editing, articles or one-to-onecoaching, but these are limited, they're cappedbecause. It requires you to trade time for moneyso it's hard to scale.
There'S only one of youso. A productized service then, is turning thatservice into a product and you're automatingthe process so that you can eventually takeyourself out of the equation and that income canbe made passive. So, for example, one of my friendsis, a personal trainer and she used to before thepandemic, do one-to-one classes and charged by thehour. Then she built it into a product High serviceso. She offers subscribers 30 workouts per monthfor 18 per month and she has about 4 000.
Peoplethat are subscribed and she's making monthlyincome from that, so she has ultimately made apackage service she's built an app she starteda subscription service and hired a team of peopleso. She spent a lot of time building this up whichis. Why I'll give this a four in terms of gettingstarted? It'S not easy, but now she has other peoplethat have stepped in and run the day-to-day soother personal trainers who record the workoutsand, upload them or the marketing, and she basicallyoversees it all. But it requires the skill set.
Tobe able to get there and make sure that valueis consistently being provided, which isn'tsimple to do, and so even on the maintenance Sideand being able to consistently make money fromthis. I would give this a four out of five, so thoseare some passive income streams to give you someideas, if you have done any of these already I'mcurious, to know what your experience was willthere and if you'd recommend it yourself or ifyou, have other passive income streams that Havereally worked for you I'd love to hear aboutit. If you did enjoy this article, you may alsoenjoy another article that I have and I'll linkit up here and there on things that I no longerbuy. Even though I have built up my passiveincome streams and I hope to see you there,
