If you want to make some serious Money, then you have to stop trading your time for money. The fact is, there are only 24 hours in a day. If you want to start making real money, then you have to find ways to earn Passive income.

With passive income, you make an investment – or perform some upfront work – and then you earn a passive or residual stream of income over a prolonged period of time. So how do you get started? Here we are going to take a look at 10 common passive income streams. We’ve saved the latest and greatest for last, so be sure to read them all:

1). Invest in Dividend Stocks

One of the most common streams of passive income is to invest in a dividend Stock. A dividend stock pays you every month or every quarter. Here’s a look at some of the top dividend paying stocks available:

• AT&T (T) – Top communications company pays a 7% annual interest.
• Income Realty (O) – The commercial real estate company pays a 4.50% dividend with payments every month.
• Coca-Cola (KO) – One of Warren Buffet’s favorite stock pays a 3% dividend

Pros:

• Dividends can grow over time and build your wealth
• Dividend stocks are easy to buy and sell
• There are many different dividend stocks to choose from

Cons:

• You need significant upfront capital to get respectable dividend income
• It takes a while for dividends to pay you significant returns
• The stock may go down

Our next blog will focus on high yield stocks in the energy sector that consistently offer higher returns, so stay tuned! 

2). Rent out a room on AirBnb

If you have an extra bedroom in your home, then you can turn that room into passive income. Simply rent the room on AirBnb and that room – in your home – can earn you an income each day. Average daily revenue on a room can run anywhere from $25 to $100, depending on where you live and the time of the year.

Pros:

• No significant upfront investment
• AirBnb provides the customers and the marketing
• Steady stream of income

Cons:

• Requires dealing with guests
• Revenue has to be shared with AirBnB
• You have to clean and maintain room

3). Dropshipping

Dropping is a low cost way to potentially create a six figure or seven figure business. With dropshipping, you set up an online store and source products from a wholesale side such as Alibaba.com. Then you market those products for sale at a higher price. When you make a sale, you keep the difference between the wholesale price and the retail price.

Sites such as Shopify can allow you a free 14-day trial to open your Shopify store.

Pros:

• Low cost to start
• Potential to make six figure or seven figures
• Many product opportunities

Cons:

• Requires some learning
• Can become time consuming
• Very competitive business

4). Buy a Rental Property

If you have some money saved up, then you can consider buying a rental property. You can secure a rental property with as little as 5% down. In the right market, you can acquire lots of properties for little cash. From there, you rent out and maintain the properties. You not only make money from the rental income, you also profit from the appreciation in the property. You can also take advantage of many tax breaks that come from owning rental properties. Many people have built significant wealth through buying rental properties.

Pros:

• Can use lots of leverage
• There are a number of tax advantages
• Chance to build significant wealth

Cons:

• Must find and maintain renters
• Rental properties can suffer in down markets
• Must maintain property

5). Invest in REITs

If you don’t want to buy a rental property – and still want to invest in real estate – then take a look at a REIT. A REIT or Real Estate Investment Trust pays out 90% of rental income back to its investors. There are a number of REITs available that you can purchase on the stock market.

Here is a look at some of the top REITs that you can purchase today:

• American Tower Corp (AMT)
• Crown Castle International Inc. (CCI)
• Prologis Inc. (PLD)

In addition to these REITs, you can own a basket of REITs in one exchange traded fund (ETF):

• Real Estate Selector SPDR Fund ETF (XLRE) – Represents the real estate sector of the S&P 500.
• iShares Cohen & Street REIT ETF (ICF) – Represents a basket of 30 mid-cap and large-cap REITs
• Pacer Benchmark Industrial Real Estate ETF (INDS) – Tracks the Industrial Benchmark Real Estate SCTR Index.

6). Affiliate Marketing

Affiliate marketing is one of the few ways that you can generate a passive income with no start-up capital. With Affiliate marketing, you place affiliate links in your Youtube videos or other social media accounts. Anyone who clicks on your link and makes a purchase triggers a commission to your account. To make affiliate marketing lucrative, you will need to have a large social media presence:

Pros:

• Can start with no money
• Very passive
• Many affiliate marketing opportunities

Cons:

• Need a large social media presence
• Affiliate commission rates can change
• There are more lucrative passive income opportunities

7). Peer-to-Peer Lending

Peer-to-peer lending is a unique passive income stream where you loan money to someone and are paid back with interest. With peer-to-peer lending, you can earn anywhere from 5% to 12% per year. There are a number of peer-to-peer lending sites including Lending Club, Upstart, Yield Street, SoFi and more. Be sure to carefully check any peer-to-peer lending company before making an investment.

Pros:

• Really passive
• Excellent potential annual return
• Can start with small or big capital

Cons:

• Risk of capital loss
• Yields may change
• Must watch out for fraudulent sites

8). Advertise on your car

Looking for a real simple way to earn some extra money? You can advertise on your car. That’s right, companies such as StickerRide, Wrapify, and Carvertise can offer you the chance to earn money with your vehicle.

Pros:

• Very passive
• Easy to start
• No capital needed

Cons:

• Make a small amount of money
• Requires a lengthy time commitment
• Can affect appearance of vehicle

9). Sell your expertise with information products

If you are an expert on any particular subject, then you can sell your expertise through an information product. With the internet, you don’t need to create booklets or sell physical DVDs. You can create videos and eBooks which can be sold digitally. Sites such as Udemy and Techable allow you to sell just about any information product or course.

Pros:

• Small start up capital needed
• High margins
• Potential to make big returns

Cons:

• Competitive
• Must market your product
• Much upfront work required creating the course or information product

10). Forex Trading

Forex trading involves the trading of currency pairs. Thanks to the high level of leverage offered by Forex brokers, there is an excellent chance to make lots of money with small start up capital. However, Forex requires a certain level of skill. If you are looking to get into forex trading, then getting the right Forex training is a must. Top Forex education companies such as CFX Group can give you the foundation to become a successful forex broker through easy-to-follow instructional courses.

Pros:

• Little start up capital needed
• Potential to make a high return
• Can be done 24 hours a day

Cons:

• Requires training*
• High level of risk
• Requires the right psychological mindset

You can now join CashFX as an affiliate and either learn to trade, or let the brokers trade for you in which case no training is required.  This investment currently pays up to 15% per week!

Earn money while you sleep

With various streams of passive income, you can begin making good money at any time of the day. With the right amount of dedication and time, your passive income ventures can be earning good money round the clock.