Passive income is defined as income that requires minimal effort to earn. For example, if you invest some money and your investment increases in value, that's passive income.
These truly passive income ideas require a one-time investment followed by zero future effort. There's no upkeep, no fuss, no muss, and these are some of the most straightforward sources of passive income to implement.
Some of the more popular alternative investments include hedge funds, private equity, crowdfunded real estate investments, and commodities like wine, geeky collectibles, and even luxury watches.
Passive Real Estate Investing
Many companies give you the ability to invest in commercial and residential real estate projects without being involved in the day-to-day management.
Earn Passive Income with Lending Club
Lending Club allows passive investors to diversify their assets by investing in different types of loans. Lending Club will enable you to loan your money out to people and groups looking for funding.
Invest in Dividend Stocks
Some companies pay dividends regularly, which means that dividends can become a dependable source of income if you amass a significant number of shares over time.
Open a High-Interest Savings Account
The best high-interest banks are online-only, so you won't need to mess with going into the bank to get started. And some pay as much as 0.70% interest per year.
Long-Term Index Fund Investing
Over the long run, index investing has proven to be a very successful method of portfolio growth. And if your portfolio is growing, you can skim off some of the profits as passive income.