Passive income is a term used to describe income that is earned with little to no effort on an ongoing basis. It is often considered the holy grail of personal finance, as it provides an opportunity for individuals to generate money without trading their time for it. In this blog, we will explore what passive income is, its benefits, and some examples of passive income streams.
What is passive income?
Passive income is any money that is earned without actively working for it. This can come in various forms, such as rental income, investment income, or affiliate marketing income. The key characteristic of passive income is that it requires minimal effort to maintain once the initial work is done.
Benefits of passive income
One of the main benefits of passive income is the ability to earn money while you sleep. Unlike active income, where you must trade your time for money, passive income streams allow you to earn money 24/7, even when you are not actively working.
Another benefit of passive income is that it provides a sense of financial security. Multiple streams of passive income can provide a safety net in case of unexpected expenses or job loss. Passive income can also provide financial freedom, as it allows you to focus on the things you love without worrying about money.
Examples of passive income streams for Creatives
Affiliate marketing: Affiliate marketing involves promoting other people's products or services and earning a commission on each sale. This can be done through a blog, social media, or other online platforms.
Online courses: Creating and selling online courses is another form of passive income. Once the course is created, it can be sold multiple times without requiring additional effort. An easy online course hosting is via Teachable
Turning your art digital and selling reprints and more- There are many sites out there now that can turn your amazing art into - Prints, mugs, clothing and more. A different way to give your art more reach. Examples: CustomCat Designs, Printful, Lumaprints and More.
In conclusion, passive income provides an opportunity to earn money without actively
working for it. It can provide extra money, freedom, and the ability to focus on the things you love.