If you’re in your golden years or working to eliminate credit card debt, any extra income probably sounds like a dream. But when you’re already stretched so thin, how could it be possible to do even more? That’s where figuring out how to create a stream of passive income is key. Passive income is extra cash flow to your budget that requires little to no effort on your part to garner. Let’s look at some ways you could gain a stream of passive income.
Creating Passive Income
Your budget could probably use a little breathing room. Depending on your financial situation, some of these options may work better than others. Everything is a balance of time and money. For any retired folks, you may have some extra time on your hands and are looking to add some money to support your retirement. For others, maybe you have just gotten out of credit card debt, and want to bring extra income into your home. So, let’s dig in!
Different Streams of Passive Income
- Rental properties. If you’re in the position to rent a spare property or even a spare room in your home, you could gain thousands of extra dollars into your income with little to no effort on your part. As long as everything is up and running, and you can make yourself available to minor repairs, renting is an easy way to garner passive income. Just make sure you are prepared for the legal side of things!
- Rent your stuff. Similar to renting a space, you can also rent some of your things to make extra money. Consider renting out things like lawnmowers, power tools, bikes, grills, or other household items that you own that some people don’t want to buy but still need to use.
- Rent your time. This is a great option for retirees. If you’re an expert in any given field, rent out your time! Become a consultant or adviser of sorts and offer your expertise to those who could benefit from your years of industry knowledge.
- House sitting. Many people will pay out of pocket to have a neighbor or trusted individual keep an eye on their home while out of town. House sitting doesn’t require much effort on your part, so it’s a great stream of passive income. With any luck, you can advertise on local Facebook groups, get recommendations, and have a little side-gig!
- Pet sitting. Just like a home, pets need proper care if an owner is busy. Hiring a pet sitter can be cheaper and less traumatic for animals. It’s also a fun activity for animal lovers. You don’t have to spend 24/7 with the pet, either. Take Fido out for a walk, give him or her their food and water, and have some play time! It almost sounds too good to be true.
- Blog. Have something to say? Start a blog! This venture will take some time, but many people end up making a good living off of their blogs and websites. Hopefully, over time, your blog will be a success. You will start to make money via your online platform selling courses or books as another form of passive income.It might now even have to be a full-time commitment.
- Investments. This one is old faithful. Before jumping into an investment, it’s important to figure out your investment personality. Once you do, you can decide to invest some of your money that will grow without doing any work. Depending on your age, the risk level and length of investment may vary. Some people leave their invested money untouched for years and reap the benefits of its growth. Now that’s passive!
Any other ideas for passive income? Let us know!