Each year, the Internet explodes with brilliant new passive income ideas that promise to pave the way for new trends for decades to come—and each year most of these fail. One of the problems with these types of passive income ideas is that once one person has success with them and word gets out, everybody and their mother jump on the idea, thus saturating the market.
What’s even worse is that these passive income ideas are normally put across as “turnkey” operations, meaning that they are all setup, packaged and ready to go—all you have to do is pay a fee to use the idea, “turn the key” and then start making money. But once again, the market is saturated—you’re not the only one with the keys to the engine so everyone is trying to start it at once which means your vehicle is going nowhere.
Passive Income Ideas that Work
Of course, this can be fixed with just a little bit of work. Altering your passive income ideas and platforms just enough to bring a unique twist to the table is often the edge that you need to set yourself apart from the competition. Then again, most people who are looking for passive income ideas are only doing so because they want to work less, not more—it’s really a paradox.
To help you solve that paradox, earning more money for yourself without working that much harder—we’ve gathered up some of the best passive income ideas for the upcoming year. Some of these are new trends that will certainly take off due to the economic landscape and technological advancement of the Internet. Others on this list are tried and true passive income ideas that are virtually guaranteed and fool proof. Choose the one—or ones—that fit your business best and then get to work!
- Get Better Interest Rates on Savings. One of the safest passive income ideas of all time is to move your savings into a higher yield bank account. While the investment environment is fairly low right now, interest rates are expected to continue to rise. Plus, there is zero risk in this venture, making it a great passive income idea for those looking for financial security.
- Build Up a CD Ladder. CD ladders are great ways to get a higher yield with a little more diversification. Break up your savings into small chunks and purchase a series of one-year high yield certificates of deposit.
- Put Your Money in Dividends. Stocks or funds that pay off dividends are a great investment for those looking for diversified portfolios via passive income ideas. This gives you a way to get income on a regular basis. Before you invest in dividends, be certain that you’re keeping a close watch on the S&P Dividend Aristocrats as these are the companies that historically have proven themselves to pay out consistently higher dividends.
- Become a Peer-to-Peer Lender. There are some amazing opportunities for lenders out there nowadays, specifically on the Internet. Lending clubs on social network platforms allow you to play banker, splitting up your money between different people or just one person. There are all types of gradation to the loans, ranking from the safest to the riskiest, so you can expect to earn between 5.49% and 13.55% in annualized returns.
- Switch to Cash Back Reward Programs. With credit taking a huge hit in favor of the more financially sound debit cards, credit companies are implementing some very attractive offers to bring people back to their way of thinking. Of course, this means this method isn’t for the financially at risk—if so, look for other passive income ideas. But if you’re good with your finances, you should certainly switch to cash back rewards programs. With some companies offering as much as 5% cash back on all of your purchases, depending on how active your credit cards are, you could earn hundreds, even thousands of dollars each year.
- Search for Money. There are more and more sites popping up that offer you monetary compensation for using their search engines. Of course, this is shameless self-promotion on their part and you’re essentially a guinea pig for market researchers, but if you don’t mind that, you can still make money for doing something you’re doing everyday anyways. Not exactly passive income in the pure sense of the word, but certainly worth mentioning.
- Invest in Real Estate. With the housing market back on the upswing, 2014 looks like a great year for real estate investments. Consider some cheap rental properties or if you’d like, holding onto some land and then flipping it for a profit.
- Write an eBook. One of the best passive income ideas ever, writing an eBook cashes in on the information boom. While information has been a top selling commodity for almost all of the human era, it’s never been so easily monetized and accessible as it is right now. Anybody can write an eBook, put it on a website and then let it sell itself. Of course, this is provided you have something of value to speak about, but let’s assume that you do. There’s nothing left to do but sit back and collect residual income. You can also get some affiliate partners and leverage income, making this passive income idea the best of both worlds.
Finding the Best Passive Income Ideas for You
As you can see, there are tons of passive income ideas out there, waiting for you to take hold of them and personalize them. Regardless of which method you finally wind up with, the important thing to remember is that choosing passive income ideas based on your current situation is going to net you the best results. That means if you’re super busy, choose a low-maintenance passive income stream—if you’re looking to do this full time or are already retired, choose passive income streams that require more work—they perform better in the long run. For help choosing the right passive income ideas for your business, click here right now.