Making money is the number one priority in life for many people. How much income a person has translates into their ability to take care of their family. Unfortunately, this often means spending hours upon hours per week dedicated to working, with no time for anything else.
It's good to learn about passive income. This is when you can earn money without actively doing any work. You put passive income into motion, and the dollars trickle in. Traditional investments, stocks, cryptocurrency, and even royalties earned from a product or invention all count as passive income.
It usually takes some thought and creativity to get passive income, but once you have put forth the effort to create this stream of cash, the money will flow in without you having to actively contribute to the work. We'll discuss some of the ways you can earn passively, even cashing in on a life insurance policy.
Life Insurance
Life insurance is one of the ways your family can earn an income if something happens to you resulting in death. You personally can't gain money from a life insurance policy, though. There are many different types of life insurance, such as term life insurance and universal life insurance.
What is universal life insurance? This type of policy covers you throughout your entire life. Some life insurance policies only last a certain number of years. Some people take out a 20-year policy while others take out a 30-year policy. Universal life insurance is through death. This means you will be covered whether you pass away at age 40 or 80.
Your policy price may still fluctuate, but you will know there is money coming back if you die. This form of passive income is important to obtain for your family, but it doesn't pay off in the short term.
You could also use life insurance to passively earn money in the form of a college investment plan, such as the Gerber Life College Plan.
Social Media Influencer
Posting online is something many people do, but not everyone can earn money from it. If you gain enough of a following on sites like Instagram and TikTok, you can start earning passive income because of it. This requires a lot of work in the beginning before you can make passive income, though.
Companies often pay influencers and digital nomads to make posts advertising their products, and there is a royalty for the number of clicks generated from the social media post. Other times influencers get a cut of the money from the product's sales after a certain amount of time.
This is a great example of passive income because you could still be making money from a product you advertised years ago. You do the work initially, and then the rest of the money comes in automatically.
Social media isn't the only way content creation works as a source of passive income. There are other similar ventures, like vlogging and blogging, that serve the same purpose.
Writing Online
There are many sites you can write for that pay you passive income rather than a lump sum for your work, but you have to establish yourself first. This can take a bit of time. You can either look for a full-time writing career or a side hustle. Passive writing income can happen through several different avenues, though. Let's start with money-per-click.
When looking for writing jobs, try to search for one that gives you a certain amount of money for a set amount of clicks, or even money for the time readers have spent viewing the article.
Medium.com is one of the most popular blogging platforms online, and it gives writers money every time someone reads an article from start to finish. This means you can still get paid for something you wrote years ago.
If you aren't a writer at heart, try to combine writing with other interests you have. For example, say you go on a vacation and you want to document it further than just an Instagram post. Starting a travel blog will allow you to reflect on your fun and make passive income years after the journey.
Affiliate ads or marketing is another option for making money through content creation or writing. Affiliate marketing allows you to advertise a product for a company on your blog, and you will get a certain royalty from each purchase. This is once again a simple way to make money months or years later after posting the ad on your blog.
Investing in a Product or Company
Investments are one of the oldest ways of producing passive income. Putting money into a rental property or another form of real estate is something you can do if you have money already.
It is harder to earn passive income through real estate if you don't have enough money to purchase the property. This makes investing in real estate a great option for those in middle or older age because they might have more in savings.
Younger investors might be more interested in cryptocurrency. This is all the rage nowadays because it is simple to put a few dollars into crypto, and then get results without doing anything.
With Facebook turning into Meta, there is even more opportunity for people to invest in online spaces. The metaverse is an online universe with real estate opportunities, similar to the real-life property we talked about above.
There are even celebrities who are investing in online real estate properties. Some of these pieces of metaverse real estate grow in value if celebrities put their weight behind them. Be careful to do your own research and learn about online real estate before investing. Don't do it just because Snoop Dogg did.
Everyone Can Do Something to Earn Passive Income
Hopefully, there is something here that has sparked your interest in earning passive income. It usually starts with identifying something you are interested in or good at. Creating one piece of content and then posting it on an online platform is something anybody can do. You don't need any special qualifications.
If you do have a special skill you think you can teach someone, post your teachings on YouTube. Find a subject that will endure through many years, not just in the moment. You have to be accepted into the YouTube Partner Program before you can monetize your videos. This means you need to put in a good amount of effort to gain a following beforehand.
Everyone should try to find some way to earn a passive income because it takes the burden off a person at their typical job. Passive income helps to make sure there will be something in reserve in case of an emergency.
(Photo : Shawn Laib)
Shawn Laib writes and researches for the life insurance comparison site, QuickQuote.com. He wants to make sure that people start learning how to earn extra money to support themselves.
