One of the problems with passive income is that it can take so long to get going. Investing in something like dividend stocks is great – but it takes a huge amount of capital to earn anything decent. Some people spend decades building up a portfolio of dividend stocks.
So I wanted to come up with 5 ideas that can either start generating a decent amount within months, or can be started for very little money.
Here are my top picks:
My number one way to make money online is with blogging. It's what I do to earn a full-time income. These days starting a blog is super easy. I use SiteGround. You can get a money making blog setup for less than $100. Now blogging isn't truly passive income to begin with. It does take work. But once you've got it setup, it will earn you money while you sleep.
Unlike a 9-5 job where you need to be at work, or you won't get paid. With a blog, it doesn't require you to put in a fixed number of hours.
Earning Interest on Crypto
Did you know that you could be earning interest on your crypto. If you own some Bitcoin, Ethereum or other coins you could be making money from it. It works just like a high interest savings account.
There are a couple of services that I've been using. Dharma.io lets you earn interest on StableCoins. Stable Coins are tied to a currency like the USD. So you don't need to worry about the price of bitcoin crashing. But if you are holding Bitcoin and want to earn interest on it, then I recommend BlockFi. They lend crypto to institutional investors. Both Dharma and BlockFi pay way more interest than the less than 1% you earn from a bank account. So it's actually a legit way to grow your wealth.
You'll never be able to earn a huge amount of money (unless you have a huge amount of capital) using this method. But it's a good way to make a little extra passive income without having to do any work!
The problem with dividend stocks is they require lots of capital. In the U.S you can trade stocks for free. But in other countries unless you're using a CFD platform, the fees can be quite high. And so you need to have a lot of capital to make a stock purchase worthwhile.
The good thing about micro-investing is that you can invest in a diverse portfolio of stocks and bonds with as little as $5. And yes you do earn dividends! I use Acorns. I've found that the dividend payments aren't huge and are dwarfed by the stock price appreciation. But it all adds up. And thanks to compounding, overtime I'll earn more and more.
So if you've wanted to earn dividends from stocks but have been put off because of the high costs involved, don't be! You can get started with as little as $5.
Run a Minecraft Server
Here is one method that many people have never heard of. Did you know that you can make money by running a Minecraft server. The top servers can make over $50k each month.
To make this method work, you'll obviously need to know how to play Minecraft. This is not something that someone who has never even touched Minecraft could pull off. But if you already play Minecraft or have played it in the past, then this could be for you.
Getting a server setup will cost you less than $10 a month to begin with. And you'll be able to earn money from a multitude of ways including donations, advertising, selling digital items and more. Over 100 million people play Minecraft every month. So there is a huge potential, even though Minecraft has been around for a long time.
Write a Book
Anyone can write a book and upload it to the kindle store. In fact Amazon encourages independent authors. The good thing about writing a book is that once it's complete it can continue generating profits for months on end. The top independent authors on Amazon make over $50k per month. But getting to that level requires a huge amount of work.
But you don't need to write hundreds of books. I know some authors who have written just a couple of short “how-to” type books on Amazon and earn hundreds of dollars each month. It's a reliable income source that you can build by adding new books every year.
If you want to get started I'd recommend checking out the KDP page on Amazon.