6 Ways To Make Money In Your Sleep3 min read
Here are a few suggestions for Filipinos who want to earn passive income.
Passive income is money that one earns regularly with little to no participation in its generation and growth. It is important to know, however, that there is no such thing as 100% passive income.
Building a passive source of income normally takes a lot of hard work at first, until it no longer requires so much of your effort to regularly generate money. It may also require huge capital, straight out of your savings or through a bank loan. In the end, the risk of possible losses is usually overcome by huge gains, from all your initial effort and set up.
There are four popular ways to earn passive income:
1. Stock market trading, or passive income through dividends.
2. Mutual funds, or passive income through appreciation of stocks and bonds.
3. Life insurance, or passive income through growth in investments and security in the event of illness and/or death.
4. Bank deposits. Passive income through interests earned in a time deposit or savings account. This generates the least passive income growth because more often, low risks equal low interest rates.
Earning money even while you’re asleep is not limited to financial institutions. Below are the best and most effective ways to build and earn your own passive income.
Don’t have a two-story apartment? No problem. You can simply put the things you already have for rent. Post your spare room on AirBnB, rent out your car for carpooling, rent out a space for parking are just some ways.
For instance, if you happen to live at a place people frequent, use your space for pay parking or put up a billboard stand.
You can also opt for subletting. If you’re renting an apartment or house, some owners will allow you to rent it out if you’re not staying there anymore.
More people are starting their own blogs because it not only serves as an outlet to express their thoughts and provide insights to a specific niche (e.g. travel, beauty), it also generates passive income. Blog experts recommend that if you’re serious about blogging and earning money, you will need to set up a .com website instead of being linked to WordPress or Tumblr. You’ll also be able to do more SEO customization when you’re a .com instead of a blog site.
One of the popular ways to earn money in blogging is by placing advertisements on their site. Signing up for Google Adsense, for one, lets Google post ads that are relevant to your content. There are also ads where you get paid a fixed amount based on the number of clicks on the ad.
If you’ve pinned down your area of expertise, write an 80- to 100-plus-page eBook and sell it online. It takes a lot of time and effort, but when the book is posted on websites such as Amazon, iBook, or eBay, the flow of income will just keep coming. Compare your price to the same types of eBooks being sold online.
It would be even better if you already have a large number of followers so you can easily advertise the eBook on your blog and social media pages.
4. Stock photography
If you’re a photographer, then this is a perfect side-job slash passive money generator. Take your creativity to another level by taking stock photos and upload them on popular stock photo websites such as Flickr, Shutterstock, and your own website.
The advantage with stock photo websites is that you don’t need to market your own photos because most people do their research through these websites.
5. Investing in a business
You can opt to be a silent partner of a business. One example is investing in a Venture Capitalist company. Venture capitalists provide funds for startup businesses. The risks are high, but the rewards are bigger if the business becomes successful.
6. Selling items through a consignment
Consignment is a form of selling arrangement where you leave your goods to be sold in a business establishment. As the consignor, you will receive the total amount or a big percentage earned from your sold goods. Consignment shops also earn a small percentage from the sold goods.
If you design shirts, mugs, tumblers, paint, or want to sell some of your work, you can have it consigned to a physical or online store. There are also stores that sell your pre-loved clothes, and sell or rent out books and comic books. –Kristel Serran