There are many ways to make money besides a standard 9-to-5 job. In fact, you can even generate passive income so you don’t have to work for money again.
Unless you want to, of course. There are several ways to make money passively, by investing your time and money in something that will pay you back over time with no additional effort on your part.
Passive income streams won’t make you rich overnight but they can help relieve stress and allow you to focus on other things in life. Check out our list of passive income ideas that are easy to start and could become a secondary source of income in the future.
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What is a Passive Income?
Passive income is the term used to describe a stream of income that does not require any additional effort for the person earning it.
Passive income can be earned in a number of different ways, but the most common forms of passive income available today include rental property, royalties, and stock dividends.
There are many different types of passive income opportunities, but they all have one thing in common: they do not require any additional effort on your part to generate income. With this type of income, you can set your financial earnings free and clear while you focus on other things in life like paying off debt or taking care of responsibilities at home.
As passive income grows over time, it can become increasingly important for retirees to make sure that they are taking steps to ensure their financial well-being. One way to do that is by remaining engaged in the world around them and looking for opportunities for passive income.
One example of a passive income opportunity available today is a rental property.
By owning rental property, you can earn a steady stream of passive income from monthly rent checks every month without having to spend any extra time or money on the property itself.
Another way to earn passive income is through royalties.
If you create a product or service that other people use and enjoy, then you could potentially earn some extra money by licensing your creation and allowing others to profit from it as well.
How I can Earn Extra Income in Singapore?
In Singapore, it is possible to generate passive income in a number of ways, including through the rental of property and investments. One way to earn passive income in Singapore is by purchasing a rental property. This is an excellent way to earn a passive income because it allows you to collect rent from your rental property throughout the year.
This type of income may also include other sources of passive income such as interest earned on savings accounts and investments, or dividends from stocks and bonds.
Read also: Best Fixed Deposit in Singapore
Here are some ways how you can earn passive income in Singapore.
Investing is another great way to make passive income. Investing your money could also be used as an emergency fund in case you lose your job and need to make ends meet.
You can invest in stocks, bonds, real estate, and cryptocurrency. Investing in stocks is a good option if you have a lot of money to put into the market. You should only put what you are willing to lose into stocks.
Bonds are safer than stocks but don’t offer as high of a return. Real estate investing is a good option if you want to put less money into the market right off the bat and instead slowly build up your portfolio over time.
When investing, it’s important to know your risk tolerance and to have a plan for when things don’t go as planned.
Read also: Top 6 Best Robo Advisors in Singapore
If you want to make money with eCommerce but don’t want the hassle of dealing with inventory, then dropshipping may be a good option for you.
Dropshipping is when you sell physical products online but don’t actually hold any inventory. Instead, when a customer purchases a product from you, you purchase the product from a third-party supplier and have it shipped directly to the customer.
There are lots of great apps and tools that make dropshipping easy and efficient.
Blogging and dropshipping go hand in hand. When you have a blog, you can write posts about your favourite or most used products and then link to the products you use on your site. You can even partner with brands to become an affiliate and receive a commission from sales.
Becoming an affiliate
If you don’t have your own blog, you can also make money by becoming an affiliate for other people’s products or services. You’ll need to find a company that has products or services in your niche and then apply to become an affiliate.
You’ll then place links in your posts or on your site that will redirect users to buy the product or service. If someone clicks the link and purchases the product or service, you’ll get a commission on the sale.
An easy way to make money as an affiliate is to find products that have a high commission rate.
Let’s say you have a fitness blog. You can find fitness products with high commission rates and place links to them in your posts. When someone clicks the link and buys the product, you get a commission on the sale.
Peer to Peer Lending
If you don’t want to put your money into stocks or bonds, you can also make money by lending money. Peer-to-peer lending websites connect people who want to borrow money with people who want to lend money.
This is an easy way to make passive income and build your savings account at the same time. There are some risks involved with peer-to-peer lending. The borrower could default on the loan and you could lose money.
There are certain websites that are safer to use when lending money through peer-to-peer. Be sure to do your research before investing in peer-to-peer lending.
Read also: An Easy Guide To Unsecured Loan In Singapore
Real estate investing / Rental Income
If you’re willing to put in some effort and can stand dealing with some risk, then real estate investing is another good option for making passive income.
There are many ways to invest in real estates, such as buying properties and renting them out or buying shares in a real estate investment fund.
Real estate investing takes time and effort but could turn out to be a very profitable investment in the long run.
Renting out your Items
A great way to generate passive income is by renting out some of your items such as your books, cameras, and even a bicycle. Rent them out at a reasonable price and you’ll get passive income.
To start generating passive income with this idea, all you just need to do is post it on social media and various renting platforms.
Make sure that you create some terms and conditions when renting out your things to ensure that your item can be returned without damage.
The Bottom Line
There are many ways to make money passively. Dropshipping, becoming an affiliate, investing, peer-to-peer lending and real estate investing are five ways to make money passively that don’t require a lot of time or effort.
If you want to make some extra money and have a little bit of extra time, there are lots of ways to make it passively. Now it’s time for you to choose the passive income idea that you like best and start working towards making money from it.
Remember, passive income doesn’t happen overnight, it takes time and lots of effort. But the effort up front will pay off over time.