If you can max out your 401k or max out your IRA and then save an additional 20%+ of your after-tax, after-retirement contribution, good things really start to happen. If one is looking for earlier financial independence, such as retiring in their 40s or early 50s, it may be a good idea to skew towards more after-tax savings and investments given one has to wait until 59.5 to withdraw from their 401k or IRA penalty-free.
How To Engineer Your Layoff – In 2012, it took me four months of absolute focus and two years of data to publish my first e-book about helping people negotiate a severance. The book went through over 30 revisions by four people. Then I updated the book for 2018 with 50 more pages (150 pages total) using more successful case studies and highlighting more strategies for those who want to break free with money in their pocket. https://i1.wp.com/passiveincomemd.com/wp-content/uploads/2017/03/Passive-Income-Lightbulb.jpg?fit

Writing an e-book is very popular among bloggers, as many have noted that “it's just a bunch of blog posts put together!” You will not only have to make an investment of time and energy to create the e-book, but market it correctly. However, if marketed correctly (through blogging affiliates in your niche, for example), you could have residual sales that last a very long time.

Investing in rental properties: Another form of real estate investment, rental investments (i.e. becoming a landlord) could steer you down the passive income path of steady monthly rent checks that you can use to pay off a mortgage loan on the rental property. After the mortgage is paid off, those monthly checks go right into your bank account -- potentially for years to come. 


Tenants usually move out before the court date but you may have to pay for a removal by the sheriff. All these fees and time delays add up and you can see why it is important to check tenant applicants in the first place. Having a formal eviction procedure will help avoid procrastinating the process and missing out on several months’ worth of rent trying to get tenants evicted.
Betterment – Betterment was the first robo-advisor to launch, almost ten years ago. They’ve automated the entire investing process, so all you have to do is watch your portfolio of assets grow (over the long run, of course). They do charge a .25% annual fee of your account total, so if you’ve got $100,000 that’s being managed by Betterment, you’ll pay just over $20 per month.
My favorite type of semi-passive income was rental property because it was a tangible asset that provided reliable income. As I grew older, my interest in rental property waned because I no longer had the patience and time to deal with maintenance issues and tenants. Online real estate became more attractive, along with tax-free municipal-bond income once rates started to rise.
I own several rental properties in the mid west and I live in CA. I have never even seen them in person. With good property management in place (not easy to find but possible) it is definitely possible to own cash flowing properties across the country. Not for everyone and not without it’s drawbacks, but it seems to be working for me so far. I’m happy to answer any questions about my experience with this type of investing.

Why? Because you’re working a 42 hour week and that’s probably your earnings ceiling unless you add other income streams. 4 hours per week is best for me, since I have domestic responsibilities I’d much rather be addressing: Still, when I get the chance, I love working my socks off on something I enjoy, which is helping and teaching other people to be successful. It’s more fun and more productive to share 🙂

If an investor puts $500,000 into a candy store with the agreement that the owners would pay the investor a percentage of earnings, that would be considered passive income as long as the investor does not participate in the operation of the business in any meaningful way other than placing the investment. The IRS states, however, that if the investor did help manage the company with the owners, the investor's income could be seen as active since the investor provided "material participation." 
Stocks, bonds, 401(k)s, annuities, etc. are great ways to earn passive income. If you're not financially savvy, you'll want to hire a financial advisor who'll help you choose the right investments for you. You may want to take a couple of finance classes to understand what your advisor is speaking about when he/she recommends an investment strategy. Done right, investments can pay off for years.
I’m hoping to have about 10g saved by this time next year, which I know is nothing huge but seeing as I’m at 2.5g right now and owned 3 dollars to my name on Aug.9 I’m pretty happy with my progress :). But at my age, without a stable career, while working part time and having to go to school full time, what is a realistic path I could pursue to create passive income online, or even income that requires effort such as writing, but one that is more flexible than working in a stationary low-paid position for 10 dollars an hour? I need to work for now to show taxable income for the government to get my residency, but after that I know my time could be better served than earning 8 dollars an hour, I’m just not sure where to go from here. I considered flipping domain names, or penny stocks, or sports gambling, but again that’s not passive income and in reality they are more or less just forms of me gambling.
My favorite type of semi-passive income was rental property because it was a tangible asset that provided reliable income. As I grew older, my interest in rental property waned because I no longer had the patience and time to deal with maintenance issues and tenants. Online real estate became more attractive, along with tax-free municipal-bond income once rates started to rise.
But despite his success in real estate, Carson isn't interested in dipping into the market in Ecuador. "[T]here's no way I want to buy anything anywhere in a foreign country. I'm totally a local investor. I like to look at it and understand the market. I can't understand enough here — the political system, everything else — about buying. Some people do, but it's just not my thing," he said.
4) Treat Passive Income Like A Game. The only real way to begin your multiple passive income journey is when you are making active income. The initial funding has to come from somewhere. Hence, treat passive income as a game that has various levels. If you fail to achieve one level, it’s not the end of the world since you still have active income and can restart. Furthermore, a game is meant to be played with integrity. Using shortcuts (non passive income streams), someone else’s income as a supplement (spouse), or one-offs (capital gains) does not count. The primary purpose of any game is to bring enjoyment to the player and beat the boss.
Whether you’re investing for your approaching retirement or beginning your passive income approach well ahead of time, passive investing is for anyone who seeks true financial peace of mind and passive income. If you had $10,000 month coming in passively, what would you be doing today? You don’t have to be an active real estate investor to achieve your goals — but you do need to find passive ways to direct some of your money into real estate.
Another way to generate passive income is to invest and be a silent partner in a business. This is very risky, but with risk comes the potential for high returns. For example, several years ago both Lyft and Uber were looking for private investors to invest in their companies. Today, they are worth billions - but you as an investor would only reap that benefit if they go public via an IPO, or get acquired. So, it's risky.
Consider refinancing your mortgage if you haven’t done so in a while before interest rates go up further. Or consider leveraging cheap money responsibly to acquire hard assets. LendingTree Mortgage has one of the largest lending networks online, and they will contact you immediately with their offers. You want lenders competing for your business, and get hard quotes so you can pit them against each other.
Nonpassive: Businesses in which the taxpayer materially participates. Also, salaries, guaranteed payments, 1099 commission income and portfolio or investment income are deemed to be nonpassive. Portfolio income includes interest income, dividends, royalties, gains and losses on stocks, pensions, lottery winnings, and any other property held for investment
What's crazy is that my book income is more than my SF condo-rental income. Yet I didn't have to come up with $1.2 million of capital (the minimum cost to buy my condo today) to create my book. All I needed to create my book was energy, effort, and creativity. I truly believe that developing your own online product is one of the best ways to make money.
Returns on real estate investing vary and you don’t want to get into the business based on an estimated return but on your own calculation of what is possible for your local market and for specific properties. I have seen pretty common averages between 8% and 12% a year for single-family residential rentals with cash flow accounting for between 0% and 6% of the return.
became $1,000,000 during an 18 year period (about 3x better than Berkshire Hathaway). Five – ten shares, or more, invested in a ROTH Ira and held *consistently* come h..l or highwater, with dividends and splits reinvested, may provide you a very pleasant surprise in 20 years or so. Asset Managers often do better than the assets they manage. Eaton Vance (EV) and T. Rowe Price (TROW) also did exceedingly well over a 25 year period.
The much loved model for bloggers and content creators everywhere and for a good reason…it’s pretty easy to write a 60-80 page ebook, not hard to sell say $500 worth a month through online networking, guest posting and your own SEO optimized blog, and well you get to keep a large whack of the pie after paying affiliates.  Hells yeah!  Continue reading >
Blogging is still going to take work starting out. That path to $5,000 a month didn’t happen overnight but just like real estate development, it build up an asset that now creates constant cash flow whether I work or not. I get over 30,000 visitors a month from Google search rankings, rankings that will continue to send traffic even if I take a little time off.
Returns on real estate investing vary and you don’t want to get into the business based on an estimated return but on your own calculation of what is possible for your local market and for specific properties. I have seen pretty common averages between 8% and 12% a year for single-family residential rentals with cash flow accounting for between 0% and 6% of the return.
In order not to succumb to that, Flynn says it’s important to know your motivation. “Passive income is important to me not just for the financial security but so I can spend time with my family,” he says. “I’ve been able to work from home and witness all my kids’ firsts. I have a one-year-old and a four-year-old, and that's what drives me and gets me pushing through those hard times and why I keep creating new products and why I want to help other people do the same thing.”
Thank you for sharing your article! You did a great job saving and putting your money to work for you. Like you, I share the same financial dream of having 150-200k in passive income and traveling the world stress-free! :) Right now I’m saving about 80-90% of my active income and put it toward ETF funds and value growth stocks because I’m seeking capital appreciation. And I can tolerate a lot of risks because I’m still in my early 20’s. By the time I reach 30 something I’ll start looking into blue chips stocks that pay dividends and REIT. So I want to be where you are by that time lol. Anyways, that the plan and I’m sticking to it. Good luck on achieving your financial dream! https://thecollegeinvestor.com/wp-content/uploads/2018/08/TWFB_PASSIVE-1.jpg
One thing I’ve realized is this: It’s FAR easier to work for an employer than it is to develop durable passive income streams for the average person. Why? Because working for an employer in a place that “needs” you means that it’s possible to show up and give a 50% effort. You can show up, put in your time, go home, have a beer, watch TV, and rinse and repeat all without REALLY having to put in the effort.
Earn rental income. One of the more common ways that people earn passive income is by buying and then renting out property. These can be homes, apartments, land, or even individual rooms within your home. To do so, you'll have to find a property to rent out, determine a fair rental price by looking at comparable properties in your area, and then act as a landlord for your renters. You can convert this income source into truly passive income by hiring a manager to act as a landlord for you. However, this may not be economically feasible until you have several rental properties.[1]
I just started out with Affiliate Marketing (idea # 8) and it is not as easy as people make out to be. For me, the hardest part so far, is learning Search Engine Optimization (SEO) and driving traffic to my website. I’m only 3 months into it, but I am confident that the site will begin to generate some incom., I have to give it 6-9 months, so we’ll see.
The much loved model for bloggers and content creators everywhere and for a good reason…it’s pretty easy to write a 60-80 page ebook, not hard to sell say $500 worth a month through online networking, guest posting and your own SEO optimized blog, and well you get to keep a large whack of the pie after paying affiliates.  Hells yeah!  Continue reading >
Wow! What an awesome list! My favorite is the stock photography because I love photography. I have had some success there, particularly with one photo I make some decent income from. I think the key with stock photography is finding a shot that is high demand. Then, find a new unique way to frame that shot. This is the reason my St. Louis Arch photo is a top 10 on both ShutterStock and iStockPhoto. Thanks for the awesome ideas above!
Amazing that you saved between 50% to 75% living in NYC…I think that is one thing holding me back…the cost of living here. I’d like to invest in real estate, but I can barely afford to buy a place to live. I don’t need a large income to be happy, but I probably do need an income to support living in NYC as we don’t plan on leaving. The only thing I’m doing at the moment is saving in my 401K, IRA and a I dabble in stocks and P2P lending.
Self-publishing has the potential to be a very lucrative source of income. However, it does involve both an investment of your time and finances. It’s very important that you get the right help from the beginning. There are many considerations that may be outside of your expertise. Rory Carruthers, a sought-after book development, book launch, and book marketing consultant, says that six-figure launches require careful orchestration and planning. “Bestsellers aren’t just born out of great talent. They are also a product of thought-out marketing and well-orchestrated book launch campaign. It’s no longer enough to just write a good text. You need to think one step ahead and warm up your audience to the book even before you finish the first draft,” he said. 

You would receive $9,500 and make 60 scheduled monthly payments of $204.64. Origination fees vary between 2.41%-5%. APRs through Prosper range from 6.95% (AA) to 35.99% (HR) for first-time borrowers, with the lowest rates for the most creditworthy borrowers. Eligibility for loans up to $40,000 depends on the information provided by the applicant in the application form.
A passive income stream is one that, once put in place, earns income for the owner without needing much more additional effort. Passive income streams are a good way to supplement your income because they are inexpensive to create, low risk, easy to duplicate and make money any time of day. You can earn passive income on money you invest or property you rent out, but many people earn it over the Internet.
Repackage your products. If you've already created successful content on a blog or website, you can convert that information into another form and sell it. For example, you can compile what you've written into an ebook and sell it on one of the ebook markets like Amazon or Barnes and Nobles. Alternately, you can use it to create an online course to sell on a website like Udemy. Reworking your content can earn you additional income streams without requiring you to actually produce new content.[13]
In order to build an audience, you need to have a platform. You need to have something worth following and sharing; something that’s valuable to others. And that, of course, takes time. That’s not to say you can’t build a huge audience in a short amount of time. But as much as we hear about the people who’ve succeeding at doing this, we don’t hear about the millions of others who are struggling every day to get just a few more fans and followers.
where “value” is defined as some benefit that people are willing to pay to receive. Seems really basic, right? But most people don’t seem to get this basic step. Any time anyone makes money in any way, value has been created and exchanged. In a way, we are all value-creating assets. It’s how we make money. Nothing wrong with that. The problem is how most of us create value.
I just can’t seem to get my head around creating my own online product. When you talk about it, you make it sound like its mostly just about putting in the time and plugging away at it. Problem is I can never seem to come up with any ideas for a site or product that seem remotely unique or compelling or that I have any special knowledge about. The stuff I do know about is pretty commodity type knowledge that can mostly be found on thousands of sites on the internet already. Any tips on discovering what your “unique angle” is? I mean, you have a pretty compelling and somewhat unique personal story of working on wall street and then walking away at a young age.
A Risk Score of 10 means no risk. A Return Score of 1 means the returns are horrible compared to the risk-free rate. A Feasibility score of 10 means everybody can do it. A Liquidity Score of 1 means it’s very difficult to withdraw your money without a massive penalty. An Activity Score of 10 means you can kick back and do nothing to earn income. To make the ranking as realistic as possible, every score is relative to each other. Furthermore, the return criteria is based off trying to generate $10,000 a year in passive income.
I've now only got an SF rental condo and a Lake Tahoe vacation rental in my real-estate-rental portfolio. Although I miss my old house, I certainly don't miss paying $23,000 a year in property taxes and another mortgage, and dealing with leaks and managing terrible tenants. I drove by the other day and couldn't believe how much noisier and busier the street was than where I currently live. I wouldn't be comfortable raising my son there.
For those of you who don’t want to come up with a $220,000 downpayment and a $900,000 mortgage to buy the median home in SF or NYC, who don’t want to deal with tenants or remodeling, and who wants to not do any work after the investment is made, check out Fundrise. They are my favorite real estate crowdsourcing company founded in 2012 and based in Washington DC. They are pioneers in the eREIT product offering and they’re raising an Opportunity Fund to take advantage of new tax favorable laws.
Rental properties are defined as passive income with a couple of exceptions. If you’re a real estate professional, any rental income you’re making counts as active income. If you’re "self-renting," meaning that you own a space and are renting it out to a corporation or partnership where you conduct business, that does not constitute passive income unless that lease had been signed before 1988, in which case you’ve been grandfathered into having that income being defined as passive. According to the IRS, "it does not matter whether or not the use is under a lease, a service contract, or some other arrangement."

They've delegated, automated, streamlined, systematized, etc. Not with the intention of sitting on some beach somewhere for the rest of their lives and watching the checks roll in, but with the intention of freeing up their time to create even more value that they're inspired to create, either by leading that business to the next level of greatness and service to greater audiences, or by starting a new business.
Another way to generate passive income is to invest and be a silent partner in a business. This is very risky, but with risk comes the potential for high returns. For example, several years ago both Lyft and Uber were looking for private investors to invest in their companies. Today, they are worth billions - but you as an investor would only reap that benefit if they go public via an IPO, or get acquired. So, it's risky.

CD Interest Income: I only have one CD account left in the amount of $185,000 paying 3%. It expires at the end of 2018 and I’ll have to figure out what to do with it. After selling my SF rental house in mid-2017 for 30X annual rent, I’m left with about $500,000 in cash after investing ~$2,200,000. The best CD today is the CIT Bank 12-month CD at 2.5%. That’s pretty darn good because just a couple years ago, such a CD was less than 0.5%. The yield curve is flattening, meaning folks should take advantage of shorter duration CDs.

So many readers have asked me “How do you invest your money?”.  And so I’ve shared my thoughts on building a smartly diversified portfolio for long term returns.  Of course, this is great when you have a large capital base and 30-40 year time horizon.  For example if you are compounding at just 5-10% but doing it over 40 years and from a large starting base, plus you are topping it up monthly with new funds, you can enjoy ridiculous returns.
Real Estate: I currently own one rental property in San Francisco which I bought in 2003 (2/2 condo), one vacation rental in Squaw Valley, Lake Tahoe (2/2 condo), and my primary residence. Real estate is my favorite asset class to build wealth because it is easy to understand, tangible, provides utility, and rides the way of inflation. I recommend individuals try and get neutral inflation by buying their primary residence as young as possible. The power of inflation is just too hard to counteract.

Creating passive income is one of the most important steps towards retirement. Passive income is money that comes in without any work from you. Stock dividends, rental property income, interest on notes are all forms of passive income. Truly passive income is almost impossible to achieve, because every investment involves some sort of work. Stocks are fairly easy to buy, but still require research, while real estate is more difficult to buy, but can produce much higher returns.
eBay is, of course, the biggest and most popular auction and shopping site out there. You pay a small insertion fee to list your product (starting from 10 cents) and a small portion of the selling price (10%) if your item sells. Currently, insertion fees for your first 50 listings per calendar month are free. Also, if you are planning to sell on regular basis, you may want to consider setting up an Ebay store. Among other things, this will allow you to list your products at reduced rates.

Thanks for your ideas I love them, also agriculture investment can be nice like tomato hothouse with half the produce for the grower and the sales profit for the grower The genocide against the international Japanese community some 2 million in the European Union at least can break the world economy and leave the One Sunrise War for True Japanese Survival the only alternative
One of the great parts about the online world is that a website and its domain name is like real estate - It can go up in value over time. In fact, sometimes just the domain name without the developed business can be worth quite a lot to some people. Of course, like almost anything mentioned here, the necessary know-how is required. If you’re willing to put some time into it, then you can earn a nice online income. So far I sold 4 domain names with an average price tag of a couple of thousand dollars. Nice income, considering I bought each domain for around $10….If this income stream interests you, check out flippa.com - It’s one of the best marketplaces I know for selling websites or domain names. 
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