Sources of Passive Income
Creating passive income streams can be a great way to build wealth. It can free up your time to work on other creative projects. Often, these sources can also help diversify your income and provide emergency funds.
How can I make 20k as a passive income?
While passive income may not be as simple as owning a home or business, it isn’t hard to come up with ways to create a stream of revenue. These can include investing in dividend-yielding stocks, investing in rental properties, and selling physical goods.
Other sources of passive income include putting money in the bank, buying bonds, or earning interest from a peer-to-peer lending website. While these don’t require a large up front investment, they do take a bit of work.
For example, if you own a spare room in your home, you could list it on Airbnb. There are even websites where you can rent out a sofa bed in your living room.
You can also earn money online from affiliate marketing, a form of marketing that pays you a commission for every sale you generate. These are generally flat rate commissions and may be in the form of referral codes.
For those without a car or a home, renting out your assets is a good way to make some extra cash. You can rent out a room in your apartment, list a bike on Spinlister, or even sell your sketchbooks and planners.
One of the most fun and lucrative ways to earn a passive income is to own real estate. Depending on your financial situation, you can use a mortgage to purchase an inexpensive property. You can also rent out the property to ongoing tenants.