What is Passive Income? Passive income is the money you earn in a way that requires little to no daily effort to maintain.
You also won't need to sell the stock to generate that income. However, you will need to buy a significant amount of shares to see a healthy stream of revenue from whatever dividend stock you end up selecting.
Is there anything better than making money while you sleep? Credit: Getty Royalty Free Getty I know this concept sounds crazy, but passive income is more than a pipe dream. Forbes contributor Brianna Wiest calls it an infinite potential income stream for a reason. First, passive income seems to be insanely controversial for some reason. Whenever I write an article or post YouTube videos about the prospect of earning money passively, people in the comments go insane.
Do the proper research and due diligence on finding the right dividend stocks. You don't need to start out by knowing everything, but you do need a desire to learn and understand.
Passive Income: How I Make $7,200 A Month (5 Ways)
Start small and build up from there while constantly keeping an eye out for high-income producing dividend stocks. Many of these sites have accurate algorithms that will predict risk, taking much of the guesswork out of the equation for you.
The average millionaire is estimated to have seven streams of income.
Clearly, this will require some upfront investment. If you have some money stashed away, this might be a good avenue for investment without having to rely on low-interest-producing CDs at banks or high-risk stocks.
Do the research and judge for yourself on whether this passive income idea works for you. Locate a good company that will allow you to place their ATMs at various businesses and earn a small percentage of the income that these generate.
On volume, this can amount to a lot of money. Clearly there is some maintenance involved in this and it's not fully passive, but it is a great resource for earning a respectable amount of monthly cash flow depending on the volume of ATMs you're able to setup. Popular industries include insurance, credit cards, the make money niche, diets and weight loss, amongst many others.
Find something that you know and ensure that you source the right relationships with the right companies to sell your leads, or make sure that people are referred to the right products or services that will allow you to earn a commission with each subsequent sale.