It goes without saying that we’re living in tough times. Even if you’re actively working on improving your business, it still pays to have multiple streams of income, considering how unstable various industries are at the moment.
As mentioned in our ‘Strategic Thinking to Prepare for 2021‘ post, it’s important to be smart about your financial strategies now to secure your financial freedom. One of the best ways of doing that is by earning passive income. So here are some ideas to help get you started:
Open a high-interest savings account
Perhaps the easiest way you can earn money in your sleep is opening a high-interest savings account. ABC Money notes that this will allow you to increase your savings without lifting a finger.
However, you should also keep in mind that the accounts with the best rates typically have rules surrounding you actual access to the account, so you will have to be careful about calculating the money you will be putting away into these accounts. This way, you will still have accessible money should you need it in case of any emergencies.
Suited for people who have the patience to run a blog and website, affiliate marketing is a passive income technique that involves promoting certain products or services on your website, for which you will be paid either a fixed fee or a percentage of the amount of the sale completed through the link. With hundreds of thousands of companies selling their products online, this method isn’t as hard as you might think. Then again, success doesn’t happen overnight and you will need to read up on the best affiliate marketing strategies to keep abreast with the industry as a whole.
At the very least, you can expect to earn a good passive income every month if your website establishes itself within your chosen niche.
The international currency market works around the clock. And forex is the largest, most liquid market in the world. FXCM points out that forex trading provides investors some exciting trading opportunities unavailable to other investment vehicles. It gives you the chance to trade currency pairs and earn money in the process, regardless of where you are located. All you have to do is pick a reliable broker, plan out your strategy, and then you can begin trading. If you play your cards right, your first £100 could be the start of a solid passive income stream that could last you a lifetime.
Create an online course
If you happen to be an industry expert, you may want to monetize your knowledge and passion into an online course. A great way of earning passive income online is selling online courses, and only your only investment would be the time it takes for you to put the course together along with any required dev work.
You can create informative and engaging video lessons, e-books, or audio files that you can sell on e-learning platforms. Once you have done that, it can work for you while you sleep.
Clear any debt
While paying off debt isn’t exactly a passive income technique, paying off debt frees up cash for you to use or invest in other things. Shondaland highlights how reducing a fixed expense is the financial equivalent of creating passive income. If you’re not paying interest on credit cards and loans, you’ll have much more money available. Even if you don’t have the capacity to actually pay off large debts just yet, you’ll be able to refinance them at a much lower interest rate.