We all want the dream life where we can just sit on the beach and watch our money grow. Well, it’s not quite that easy, but what if I told you that you could make passive income by day one? Say what? Yes, such a thing exists.
The traditional ways of making money are fading away, and fast! You need to get updated with the times.
From earning money with your website to even starting a stock marketing, here are 5 ways that can make you passive income in 2022 with no/little money.
What is Passive Income?
Before diving into the topic, it is important to understand what passive income means.
Passive income means earning an income without actively working for it. It is an income earned with little effort after initial setup.
Making passive income is a key concept for achieving financial freedom. It is the act of making money while you sleep and so on.
It’s often very time consuming to build a passive income online. But once you’ve got it going, there’s much less maintenance involved.
According to surveys by researchers at Stanford University, the younger generation is more than ever interested in passive income with no or little money.
Top 5 Best Passive Income Ideas in 2022 to Make Money
Yeah, passive income is a great idea, but how to do it without funds or savings?
I agree that not everyone can just fold their hands and wait for the cash to appear. And that’s why we’ve prepared a list with 5 ways you can make passive income in 2022 with no/little money.
After reading this post and trying even only one of these methods in 2022, you should be able to transform an extra $1,000 into a passive stream of income!
Whether you are a student or professional, investing in stocks is one of the most common ways to make passive income.
Dividend stocks can be much more lucrative than your average stock.
While you may not be familiar with the topic, dividend stocks are an essential part of creating passive income.
The idea behind dividends is plain and simple – profits go directly to the shareholders.
For example, Apple’s annual dividend in 2021 was $0.88, means every shareholder of Apple receive $0.88 per share in 2021.
Since you don’t have to work for them; the only thing you need to do is buy the stock and wait until the dividends come rolling in.
You are a hungry wolf in the woods, you want to earn passive income but don’t have money to invest in stock market, cryptocurrency or real estate. Don’t worry!
One of my most successful passive income strategies has been creating content. I’ve been doing it for years now and it’s still going strong.
Steps to become successful content creator
While there are a lot of things that go into creating a successful piece of content, here is my How-To-Guide to help you get started.
- Select a niche – eg. Fitness, photography, finance, etc.
- Create roadmap
- Follow 70:30 Formula – i.e. 70% informational and 30% transactional content
- Frequency – Decide the frequency of publishing content. It may vary from daily, weekly to monthly.
- Provide value.
- Stay consistent
Monetization option for content creator
- Affiliate marketing
- Selling digital products
You want to create a killer content but are having difficulties creating it? Learn the secrets of creating content at Skillshare.
Have you ever heard that Affiliate Marketing is a great way to make passive income? It’s true.
In fact, I’ve been making an additional income from home for almost 3 years now. That’s an extra few thousand dollars each year put into my bank account!
It’s also a great way to learn about different industries, understand how companies make money, and learn about online advertising, copywriting, and other business tools.
Affiliates can receive payments in three ways:
- Non-recurring Affiliate: Non-recurring affiliate programs are those that are one-time only. The affiliate receives a fixed amount when he/she refers someone to the merchant’s site. This type of payment is typically used when the merchant wants to reward affiliates who have brought in significant sales volumes.
- Recurring Affiliate: Recurring affiliate programs are those that pay you each time a customer makes a purchase. This type of payment is typically used when the merchant wants to reward affiliates who have brought in regular customers who make multiple purchases over time.
- Performance pay: The affiliate receives commissions based on performance metrics such as sales volume or average order value (AOV). This type of payment is typically used when the merchant wants to reward affiliates based on their overall performance instead of just one specific action taken by each individual visitor that came from their site.
Various Affiliate Programs/Networks you can join
- Amazon Associates
- Affiliate networks like: Shareasale, CJ, Impact among others.
Different Ways to generate Affiliate Income
- Review website
- Coupon sites
- Build community
What are the benefits of affiliate marketing?
The benefits of affiliate marketing include:
- You don’t need to create your own product – Simply promote someone else’s product to earn income.
- You don’t need to spend any money on inventory, or advertising.
- You can get started with little or no startup costs.
- It’s flexible! You can work from anywhere in the world – As long as you have an internet connection, you can work remotely as an affiliate marketer.
- You don’t need any experience! Just sign up for an affiliate program like Amazon Associates and start promoting products right away.
Sell Digital Products
If you’re looking for a way to generate revenue without putting up with the rigors of running a traditional business, then selling digital products may be just what you’re looking for.
Digital products are items that have no physical form and are typically intangible in nature. Examples include e-books, music and pictures.
They are often produced using software platforms or purchased from third-party providers.
Digital products can be sold over the internet through sites like Amazon and eBay or directly through your own website.
They can also be sold via social media platforms such as Facebook, Instagram and Twitter.
The beauty of digital products is that they do not require inventory or shipping costs because they are delivered electronically via email or download links on your website.
Benefits of selling digital products
- It only costs you once.
- No inventory or shipping cost.
- Easily accessible to customers all over the world with ease.
- Less time consuming because digital products are often automated.
- Cause less strain on the environment than physical items.
Things to consider before selling digital products
If you’re interested in selling digital products as part of your passive income strategy, here are some tips for getting started:
1) Don’t start from scratch—you should already have some writing or photography skills if you want to sell digital products. If not, take some time to develop those skills before starting your business!
2) Create something unique—the more unique your product is and the better it fits into an existing market niche (or creates one), the more likely people will buy it from you rather than someone else who sells something similar!
Angel investing refers to the collective efforts of individuals or organizations who provide capital for a business start-up, in the form of equity capital or loans.
Angel investing is a great way to invest your money while receiving passive income!
Investing in technologies before they reach the market can make you really rich as you have limited competition, better knowledge and lesser risk.
Things to consider before investing
- Understand startup
- View roadmap
- Analyse team
I am sure you are reading this article, and wondering to yourself, “Is this for real?”. The answer is a great big, “YES!” with capital letters. If you follow these steps I can guarantee that you can make passive income regardless of your personality type, education level, or familiarity with technology.
However, making money is not an easy task at all. And making passive income is not an easy approach either. It takes a lot of dedication, hard work and of course, some luck. So, in the end you need to commit about 3-4 hours a day to make this happen.