Change your life by Passive Income

Most people struggle in their 9–5 and are getting paid for their 9–5 struggle. They only earn 56 hours of the week for their work. This is called active income. You can’t earn enough to visit any country you want and buy anything you want from this income. You need to earn money even when you are not working, and this earning is passive income. People who earn in 6 figures depend not only on their 9–5 income but also on their sleep. Yes, you read it right, renting your multi-story home in one of the examples.

Sources of passive income

The key to financial freedom and great wealth is a person’s ability or skill to convert earned income into passive income and/or portfolio income.

- Robert Kiyosaki

Dividend Stock Marketing

Many companies in the stock market pay a dividend to their shareholder at regular intervals. The dividend is a part of companies' profit, and companies have a strong track record of paying a dividend. This type of investment is best for people who want a passive income source because it doesn’t require any management. You have to make a diversified portfolio of dividend-paying stocks or invest in some Dividend Yield Mutual Funds. Starting with a low amount and reinvesting it (compound investing) can result in earning dividend payouts of up to 1000$ !! All you need to do is search for a stock with a strong track record of dividend payouts, and you’re good to go.

Property

This might sound boring and involve large money initially, but it’s one of the most popular ways of passive income in countries like India and the US. Buy a multi-storey house at around 25. If you don’t have money, loan it out. Advertise the portion of your house you want to rent out. Make sure the monthly rental installment is at least 40% of your monthly loan installment. If you can’t afford the rest 60% payment, wait for a few years. Collect money through other ways but make “Property renting” your ultimate goal. This is the most effective passive income source that can help you escape your 9–5.

Passion

You become financially free when your passive income exceeds your expenses.

- T. Harv Eker

There must be plenty of thoughts crossing your mind regarding ways of income. “I should make an android app” “I can own a restaurant” “I can open a computer store”. Just pick one idea and give it all you got (sensibly). Pick the one you’re most passionate about; if you don’t know your passion yet, explore. In any business, you can’t do everything on your own. You need a team, and you need to know how to efficiently take advantage of other people's capabilities. People who interact more with people know how society works and can take benefit from that. This is the only way when your passive income can exceed your expenses.

Blogging

Writing on online platforms can help you earn the most among all the ways I have listed. There are plenty of online writing platforms like (medium, WordPress, etc.). All you need to do is sit at your desk for around 1 hour and pour down your views on anything. Your writing can be about literally anything. Maybe someone will like your journals. Most of the popular YouTube vlogger never thought that people would be fascinated by their daily life routine. You can be the next Casey Neistat of Medium 😉. Anyway, it's a good hobby to pursue. You just need to believe in yourself. Initially, you may run out of ideas, but soon after few days of your “creative block”, ideas will automatically start coming on your head as you sit on your desk with a cup of coffee.

Hey everyone ! Happy New Year ! Thanks for reading this article. Do give your feedbacks regarding anything. I’ll soon be back with an amazing article

Cheers, See you soon : )

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FOOTNOTES

I have already published this article at medium.com. I want to republish it at vocal.