6 Passive Income Ideas that You Work Once But Earn Forever in 2023

Discover the Secrets of Building Passive Income Streams: Learn How to Earn Money with One Time Effort. Start Your Journey to Financial Freedom Now!

PASSIVE INCOME

7/9/20234 min read

Passive income is money that comes in without you actively working for it. It is not recurring income, like a salary. Instead, it is money from investments or side hustles that you put effort once and then watch them grow over time.

Passive income can be used to fund a comfortable retirement or to provide an extra boost to your savings account. With the popularity of generating passive income, it is becoming harder and harder to actually find out how you can earn real, legit passive income. We normally use Google to check out if people have pasted their “insider” secrets, but most of the time, these so called “secrets” are not worth our time.

You may already be earning some passive income, but are looking for ways to expand your efforts. Or perhaps you're starting from scratch and looking for ways to build some extra cash flow. Today, there are a few proven methods of generating passive income. By building a business model and applying proper marketing techniques, you can definitely earn a living without having to clock in at the office.

Below are some ideas on how to create passive income.

1) Invest in stocks

Income from stocks and bonds. When you buy stock in a company, you're buying a small portion of the company's overall value. As long as the company does well, your investment increases in value too.

Buy-and-hold investing is passive because once you buy a stock or bond, you don't have to do anything else with it besides watch it grow over time and get dividends.

For more details, check out Generate Passive Income with 6 Investment Types by Knowing Their Pros and Cons.

2) Buy a property

Income from real estate. Renting out rooms or apartments isn't the only way to make money from renting out space — there are also options like becoming a landlord or doing short-term rentals on sites like Airbnb and VRBO. The key here is creating a revenue stream that doesn't rely on one-time transactions like home sales.

That way if you need to take time off for an extended period of time (or suddenly find yourself without an income), your finances won't be as precarious as they would be if all your income was tied up in one property or transaction.

If you are interested in this passive income, find out more from 4 strategies and-5 factors you must know before earning your passive income from real estate.

3) Create a blog

Here are some ways you can make passive income through your blog:

a) Affiliate marketing: You promote products or services that you believe in and get a commission when someone buys through your link. This is often done through platforms like Shareasale, Commission Junction or Affiliate Window.

b) Pay per click (PPC): You set up ads on Google Adsense, Facebook Ads or other platforms and pay when someone clicks on them.

c) Pay per view (PPV): You charge users a fee to watch videos or read articles on your site. The most common type of PPV is video streaming sites like YouTube, but it can also be used for audio or image files as well.

There's plenty ways to monetise your blog, but how should we start? Read this 15 Simple but Useful Steps to Create A Blog for Passive Income.

4) Write books

One of the most effective ways to generate passive income is by writing books. A well-written book can become a valuable asset that continues to generate revenue for years to come. When you write a book, you create multiple income streams from various formats, such as paperback, E-Book, Kindle, and audiobook. By repurposing your content, you maximize your earning potential.

To get started, read 10 steps to start creating and distributing your e-books for passive income.

5) Compose Songs and Earn Music Royalties

If you possess musical talent, composing songs can be a lucrative avenue for generating passive income. Popular songs have the potential to generate substantial royalties for the songwriters, even decades after their release. For example, the Christmas song by Slade, which continues to earn the band over £500,000 annually in passive recurring income.

While songwriting may not be for everyone, it is worth considering if you have a passion for music and the ability to create memorable compositions. Explore platforms like TikTok and music streaming services to showcase your talents and potentially earn royalties from your creations.

To get started, read 10 Steps to Use Your Songwriting Skills to Generate Passive Income.

6) Sell Online courses

Create and sell online courses provide an opportunity for passive income. While you invest time and effort upfront to build the course and set up a sales funnel, you can enjoy recurring income for years to come.

Once your course is established, you can sit back and let the money roll in without actively promoting or updating it. A few weeks of hard work can lead to a lifetime of automated income.

By offering a premium product like an online course, you can maximize your efforts and generate substantial revenue. Ensures that you are providing value and positioning yourself as an expert in your niche.

To kick start your online courses business, read 11 steps to create and sell your online courses for passive income.

It's important to note that while these income streams can be passive, they often require significant upfront effort, time, and resources to set up. Additionally, ongoing monitoring and occasional maintenance may be required to ensure the income stream remains reliable and optimized.