How to Make Money 24/7: 9 Best Passive Income Ideas (2023)

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Who wouldn’t want to make money 24/7, even while sleeping, on holiday, or relaxing on the beach?

There are a variety of side hustle ideas that can become fantastic sources of passive income in the long run. But we all know they require a significant initial time investment to get to that point. However, if you’re short on time but have some money or assets available, the passive income ideas in this post are for you. Here, I’ll cover nine truly passive income ideas with minimal time investment.

What is passive income?

Did you know that millionaires typically have an average of seven different income streams? However, that doesn’t mean they’re juggling seven different jobs. Most of their income often comes from passive sources. So, what exactly is passive income, and how does it differ from active income, like a salary earned through employment?

If you’ve already read “Rich Dad Poor Dad,” you’re likely familiar with the concept of passive income. (NOTE: This book is a must-read classic on financial freedom and building wealth. If you haven’t read it yet, I strongly recommend doing so).

In your typical job, you’re compensated based on the hours you put in. This means that your earnings are capped based on how many hours you can actually work. Passive income, on the other hand, is quite the contrary.

Passive income is money you earn with little to no ongoing effort required to sustain the income stream. While it doesn’t mean you can entirely ignore or forget it, passive income doesn’t depend on the time and effort you put into it.

Why is this great?

Time is more valuable than money (once our basic needs are met, of course). While money can be earned and spent, time can only be spent once. Then it’s gone forever. Being able to freely choose what you want to do with your time is something most of us dream about.
There’s no limit on how much you can earn. Since time is not a barrier to your earnings, theoretically, there’s no cap on your income potential.

9 passive income ideas to make money 24/7

Now that we understand why passive income is such a big deal, let’s explore nine passive income ideas.

1. Invest in property

Let’s start with property income, a tried-and-true passive income source that has been around long before the term “passive income” became a hot buzzword.

When it comes to property investing, many people only think of traditional rental income, i.e., buying a property and renting it to long-term tenants. This type of rental income can be a great passive source of income, but there are also various other property investment strategies to generate passive income, including:

Serviced accommodation or holiday let (such as Airbnb): Renting out a property short-term, through platforms like Airbnb can often generate higher income than traditional rental income.
HMO (house in multiple occupation): Renting out a property room by room instead of renting it to one household, which also tends to provide higher income.
Real estate investment trusts (REITs): Investing in property without having to buy and own physical property assets directly. Any profits are shared with investors as dividend payments.
Property crowdfunding: A form of equity crowdfunding that allows you to own a share of a property.

If you choose a route that requires managing physical properties, whether long-term or short-term rentals, have a plan in place to avoid making it a second job. Automate your property business as much as possible by creating efficient processes and finding reliable suppliers, such as cleaners, handymen, or even a property management company.

Finally, property investing offers not only fantastic passive income potential but also significant capital gains over time. In fact, the average UK house prices have risen by 73% in the last 10 years!

How to invest in property with little to no money

2. Rent out your space and possessions

Renting out your space and possessions is a great way to make extra money on the side. It’s a relatively passive income stream, and there are many different ways to do it. Here are a few ideas:

Rent out a spare room for a lodger or foreign student. If you don’t mind sharing your space, renting out a spare room can be a great way to make passive income. If you don’t want to commit to it long-term, consider hosting an exchange or language student who only needs accommodation for a short term such as a couple of weeks or a semester.
Rent out a spare room on Airbnb. While renting out your spare room on Airbnb might be slightly less passive than having long-term stays due to higher turnaround, the income is also usually significantly higher.
Rent out space for storage. Many people need a place to store their belongings, especially if they’re downsizing or moving. You can rent out space in your garage, basement, or attic to people who need a place to store their furniture, boxes, or other items.
Rent out a parking space or garage. If you have a spare parking space, driveway or garage, you can rent it out to people who need a place to park their car. This is especially lucrative if you live in a city where parking is at a premium or close to a busy events venue.
Rent out possessions such as power tools, clothes, or even a car. If you have items that you only use occasionally, you can rent them out to people who need them on a short-term basis. This includes things like power tools, lawnmowers, party supplies, clothes, and even a car.

3. Rent out your home as a film set

Not a fan of renting out or Airbnb’ing your spare room but want to make money from your home? Consider renting out your home as a filming or photography location. It can be a very lucrative passive business, especially if you live in a desirable location or have a unique or interesting property. Homeowners can typically make between £500 to £2500 per day. However, exceptionally unique or desirable properties – such as a historic mansion or a trendy loft apartment – could potentially earn even more.

Get started by listing your home with a location agency such as SHOOTFACTORY, Scouty, or Lavish Locations. It’s also a good idea to check if there are any location agencies in your local area.

4. Peer-to-peer lending

Peer-to-peer lending (P2P lending) is a type of online lending that allows you to lend money to other individuals or businesses without the need for a financial institution. P2P lending platforms act as intermediaries, matching lenders with borrowers and providing a platform for them to conduct transactions.

You can make passive income with P2P lending by earning interest on the loans you invest in. When a borrower makes a repayment, you receive a portion of the repayment, plus interest. Typical returns on P2P loans range from 5% to 10%, although some platforms offer even higher returns for higher-risk loans. The interest is usually paid monthly or quarterly. P2P lending can be a good way for investors to earn higher returns than they would on traditional savings accounts.

It’s important to note that P2P lending is not without risk. However, P2P lending platforms typically lend your money to multiple people or businesses. This is known as diversification, and it helps to reduce your risk. If one borrower defaults on their loan, you will not lose all of your investment.

5. Invest in high-dividend stocks

Dividend investing is a long-term passive income strategy that can provide investors with two potential streams of income: income from regular dividend payments and capital appreciation of the stock over time.

Dividend stocks work by distributing a portion of a company’s earnings to investors on a regular basis. The vast majority of companies pay dividends twice a year or quarterly, but there can be some exceptions. There are many stocks that have a long history of paying dividends, and that offer higher than the average dividend yield. But it’s worth noting that there is no guarantee that these stocks will continue to pay high dividends in the future.

With dividend investing, you don’t need to sell the stock to generate income. However, you will often need to buy a significant amount of shares to see a healthy stream of revenue. If you are a beginner, start small and build up your portfolio over time while keeping an eye out for high-income-producing dividend stocks.

Although dividend investing is appealing to investors looking for a relatively lower-risk investment, it is still important to do proper due diligence before investing in dividend stocks.

6. Invest in funds

ETFs and index funds are two types of investment funds that follow a group of stocks or bonds. So, similar to stocks, funds can be a good way to generate passive income, as they can provide investors with a steady stream of income from dividends and capital appreciation.

By simply matching the strong performance of the financial markets, funds can turn your investment into a healthy nest egg over time. The other good news is that you don’t have to become a stock market expert to do it. Investing in funds is one of the easiest and most passive yet effective ways to build wealth.

Most indexes include various (even hundreds) of different stocks and other investments. This means that fund diversification leaves you less likely to suffer significant losses if something happens to one or two companies in the index. Funds are not an answer for short-term passive income but they can be the best bet if you are looking for a low-risk investment that can grow steadily over time.

7. Sell your photos or videos

Selling photos or videos as a passive income is a great way to make money on the side. There are a number of different ways to do this, but some of the most popular methods include:

Stock photos: Stock photo websites allow photographers to upload their photos for sale to businesses and other individuals. When someone purchases a photo, the photographer receives a royalty fee. Stock photo websites typically pay photographers a royalty fee of 20-50% of the sale price of each photo. popular stock photography websites include Adobe Stock and iStock.
Video stock footage: Video stock footage websites allow videographers to upload their video clips for sale to businesses and other individuals. When someone purchases a video clip, the videographer receives a royalty fee. The royalty fee is typically 20-40% of the sale price of each video clip. Some popular video stock footage websites include Pond5, Videvo, and MotionElements.
Selling prints and digital downloads: You can sell prints and digital downloads of your work directly to consumers through online marketplaces like Etsy.

You don’t need to be a professional photographer to make money from your photos or video but it’s helpful to have some photography and video skills. To be successful in selling photos or videos as a passive income, it’s important to create high-quality content that is in demand.

8. Buy an established blog or website

Many articles discuss starting a blog as a great way to earn passive income. However, they often omit to mention that it can be a slow and challenging process. It can take months or even years of work to earn any money!

A quicker option is to buy an established blog or online business. Established blogs and websites typically have established revenue streams in place, such as advertising, affiliate marketing, partnerships, and digital product sales. This means that you can start generating revenue immediately after you purchase the blog or website.

Website marketplaces, such as Flippa, can be a great place to start. They have a wide variety of websites listed for sale, including blogs and online stores. However, it’s important to note that buying a website can be expensive and can be risky for inexperienced buyers. You need to make sure that the blog or website is generating enough revenue to justify the purchase price and that it is in good standing.

If you have built and run your own website or blog in the past, you may have an advantage in being able to further optimise an existing site. However, it’s essential to do thorough research before making a purchase.

#1Marketplace to Buy & Sell Online Businesses

9. Affiliate marketing

Affiliate marketing is a highly effective low-effort way to make money. In practice, you will promote brands’ products or services and earn a commission on sales. Affiliate marketing is often a primary source of income for many social media influencers.

Although you don’t necessarily need to be an influencer to be successful, you will need to generate enough traffic and sales to generate a significant passive income. For example, this can work if you have a significant following on social media, a blog or a newsletter.

If you don’t have the audience yet, building it can take some time and effort, in which case the strategy is not passive from the beginning. However, the startup costs for affiliate marketing are very low as affiliate programs are free to join. Additionally, since you’re not the product owner, there’s no financial risk if a customer doesn’t buy.

There are multiple different affiliate networks that host different brands, products and services to promote. Some popular ones include:

Awin
Adsterra
Amazon Associates (Amazon products only)
CJ Affiliate
Sovrn

Conclusion

Passive income can help you achieve your financial goals and live the life you want. It can provide a steady stream of income that you can use to supplement your salary, save for retirement, or even quit your job altogether.

The ideas in this list require minimal time investment after the initial research, so they are compatible with a full-time job. And with a little effort, you can start generating passive income today.

So what are you waiting for? Start exploring your options and take the first step towards making money 24/7!

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