i) How To Make Money As An Investor

 

Invest In Bonds and Stocks- This is among the most popular forms of passive income investment. All you need to do is purchase a bond or stock and see your investment grow. For instance, for over four decades, S&P 500 investors in the US amassed an 11.7% annual ROI. Bonds are a safer investment than bonds because they offer reliable payments via coupon payments, unlike stocks, which have no guaranteed returns for returns.

Invest in ETFs and Funds- Exchange-traded and mutual funds are a basket of various securities. You trade them through a stock exchange or brokerage firm. You’ll only earn once your traded funds’ net asset value improves.

Stock Dividends- Dividends are a distribution of some of the company’s profit to its shareholders. Investors are paid dividends depending on the number of shares they hold. For instance, suppose a company pays $10 per share, and you have 10 shares, you’ll receive $100.

Invest In Collectibles and Coins- Spiderman comic novels and buffalo nickels are great examples of collectibles and coins, which may increase value, hence offering a chance to make yourself some passive income. First, assess your collectibles or coins to determine which options are likely to generate a higher price sale at a future date.

ii) How To Make Money Online

Become A Salesperson- Buy products for less and sell them at a higher price on sales sites such as Amazon, eBay, and Get Report.

  • Create & Sell Content Online- A lot of people use the internet for learning purposes. You can profit from creating online courses, i.e., coaching programs, marketing programs, etc. and selling them on sites like LinkedIn and Udemy.
  • Sell Stock Photography- As more and more businesses, organizations, and individuals create and solidify their online presence through content creation, there’s a rising demand for stock photos. If you are a talented photographer, you can reap off your talent big-time by selling your photography on sites such as Getty Images, Almay, iStockPhoto, and more.
  • Develop A Mobile App- Do you have a clever idea for a mobile app that makes submitting assignments easier or helps navigate directions better? Develop a mobile app and market it on Appstore to generate some passive income.
  • Join The Affiliate IndustryAre you a blogger or website owner wondering how to earn money online? – Join the Affiliate business. As an affiliate, you reach out to mlm companies and offer to market their services and products for a commission or fee per lead or sales generated. Preferably, you can join affiliate sites, i.e., ShareASale or Shopify, which offer affiliate marketing opportunities.

iii) Work From Home

Customize T-shirts- Many people love rocking t-shirts because they suit nearly every occasion. Maximize on this by customizing t-shirts with unique demographics and marketing them on sites like SellMyTees, SpreadShop, etc.

Start A Small Business- Opening a local business, for instance, a grocery store or car wash, can be a good investment. Automate your venture in such a way that you don’t have to be present unless you’re collecting cash. But never go into business blindly, do your research on the best investment opportunities in your area.

Sell Advertisement Space On Your Car- Instead of having their car pool, companies today are marketing themselves using privately-owned cars. Get in touch with an international or local company on sites such as Wrapify to make your car a rolling billboard and earn from your drives.

Earn Cash-Back Rewards- Generate passive income from your credit card through cash-back rewards. For instance, Chase Bank awards you 50,000 points, valued at $500, once you spend $4,000 in 3 months using the Sapphire Preferred Card. Adding a verified user allows you to earn even more.

iv) Other Passive Income Opportunities

Real Estate Investment- Real estate has been booming for a while now, making it a great passive income opportunity. Nonetheless, it’s riskier than investing in bonds or stocks, especially since you’ll need loads of cash to start purchasing a home.

Invest In Rental Houses- This long-term investment falls under real estate investment whereby one becomes a landlord. The regular monthly checks are a reliable passive income source you can maybe use to settle your mortgage loan (if any). Once settled, these checks will go right into your account.

Invest In Business- Regardless of how small, investing in a promising business in return for a share of their profits is another great way to generate passive income. Research extensively on the businesses’ potential before putting your money on the line.

Peer-to-Peer Lending- Earn money by lending individuals, small companies, and organizations who fail to qualify for conventional financing, but meet the set P2P lending platforms’ (i.e., Lending Club) standards.

Develop A Website or Blog- The traffic generated by blogs and websites makes them great platforms for making passive income through subscription sales and advertisements. If you cannot start your blog or site from scratch, buy one on broker sites such as Flippa.

The 5 Best Courses to Make More Money Online With Training

1-Click Bank

2-12 Minute Affiliate

3-John Crestani

4-Commission Hero

5-Jonathan Montoya

How Does the IRS View Passive Income?

As expected, the Internal Revenue Service takes a special interest in the passive income generated from the most popular ventures, including the stock market, private business, and real estate investment. The IRS views any income generated from businesses that you are not actively taking part in as passive income. You have to report your earnings, but if the IRS sees all your earnings are passive, you might be lucky not to end up paying federal taxes.