In this video, Stephen going to share with you different way to make passive income.
What is active income?
Active income is essentially when you are exchanging your time for money. That can be at your job, you get paid for the number of hours that you put into your job.
You are essentially getting paid for the service, the time that you are providing. Now, you can make money from active income and a lot of people do.
The challenge with it is that it is not scalable, you are not utilizing a leverage in any way. You do not have any freedom and it can be stressful. If you are making certain amount of money and you stop working, then you will lose that money.
You are not making any more money. The money that you are earning is dependent on the time that you are putting in. There is always an exchange of time and it is not automated in any way, whereas passive income is.
What is passive income?
Passive income gives you the ability to make money on autopilot, to make money while you are sleeping.
You create a product or service, you automated it in some way. Or it could be through the real estate, or investing.
Essentially, you are just putting in the energy, the time of money at the beginning to set it up. Once it is set up, you can continuously makes you money without you having to do anything.
Passive income is not set it and forget it, I do not fully believe in that. I believe in any business or investment you still must keep your eyes on it.
You still must monitor it in some way, to make sure it is still sustainable. It will not require much energy or time required for that if it is truly passive.
There is a lot of passive ways to make money. Now, how do you make passive income, what are the different ways?
There is a lot of different ways to make passive income. I specifically prefer and focus on online business to make passive income.
So, what is the best ways to make money passive income?
Here are the 7 proven ways to create passive income:
Way #1 – Selling Your Own Product
There are different types of products you can sell. There are information products, and then there is also digital products, and there’s also physical products.
Information and digital products are essentially books, video training programs, audio training programs, eBooks, guides.
You are selling information that solves someone’s problems or helps them achieve a certain desire or need that they have. It can be entertainment or humor, or something like that.
Write a book or hire someone to write a book for you. You can publish as a Kindle Book, sell it as a paperback, and an audio book.
You just spending time upfront to create the book to write it and put all together.
Once it is published, you do some marketing. Now it is making you passive income because you can have that product up there on Amazon.
People continue finding it and purchasing it and then you get paid every time someone purchase it.
Way #2 – Digital Courses or Training Programs
You spend the initial time to create a digital course, training programs or even software. You need to make sure there is a market or demand for it. People purchase, they automatically get access to it, they can download the product or watch in the member’s area.
That is automated form of income and you can automate your marketing as well. You can create content and put it on the Internet, attracting people and funneling them into your product. That is a fantastic way of making money with digital and information products.
Way #3 – Sell Product on Amazon
Once it is up, there is not much maintenance that I have to do to continue making that money.
As I recording this video, I am making money from my products that I sell. And I am recording this video right now in Puerto Rico on a Sunday.
While I go to sleep tonight or whatever I am doing, I continuously making money. That is the power of passive income
Way #4 – Affiliate Marketing
Affiliate marketing is where you are promoting other people’s products or services, and you earn a commission from it.
These companies or they have affiliate programs will pay you a commission for every sale that you generate for them.
You can automate these marketing to attract people and then funnel them into someone else’s product through your affiliate link. You can earn a commission every time someone buys.
The company take care of the customer, deliver the product, the service, and do the customer support. You get paid just for your referral. That is an amazing way of making money online.
Way #5 – Online Service Business
You could create an online business related to a service like a web design company. You design people’s website.
What you can do is you can automate that by hiring other designers to do everything for you. Have someone to deals with the customers, and runs and operate an entire business for you.
You can automated that business so you free up your time to travel or do whatever you want to.
Way #6 – Software
You can create and develop your own software and sell that online. There is advertising right now on my YouTube channel. I earned about $2,000 a month just from the ads that show up before my videos. The little ads that show up on YouTube.
Way #7 – Google Ads
You can get paid from having YouTube videos and content online. I have hundreds of videos that are right now at this very moment getting thousands of views.
For example, I can take the next month off doing nothing, traveling the world. The hundreds of videos that have already published that are getting thousands of views a month on YouTube.
I do not have to anything for that. So, I am making passive income while all of this is going on.
Advertising is great. You can have the advertising on your YouTube videos, advertising on your blog, content, some called Google AdSense. That is Google advertising network where people can advertise on your blog or website. You can earn money for that.
Basically, just money for different ads showing up. There is a lot of different ways to make money online, but these are the main ones, the primary ways
The amazing thing about online business is that is does not cost that much money to get started. You can start an online business with less than a hundred bucks, which is amazing.
If you want to spend more, you can. Others maybe a little bit different. The Internet made it possible for anybody to get started anywhere in the world.
There are kids making money online. I know people that follow me. They are 15 years old that have online businesses that are making a lot of money.
It blows my mind; these opportunities were not available for me. I was not thinking about this stuff when I was young. The Internet is really changing the world I think that is the #1 way to make passive income, especially online.