How to Make Passive Income in 2023?
Is it still possible to make a passive income? Many people work online. There is more and more competition, and the number is growing every day. Some people started working remotely due to lockdowns. Others have chosen to do it because they want freedom. Time freedom, location freedom, and financial freedom. And although financial freedom is indeed easier to reach online. It’s not always the case. It’s starting to become much harder because it’s much more saturated. So what is the best way to do it?
Start investing today. Don’t wait. We as humans have a few bad habits that are stopping us from achieving big things in our lives. And there truly seems to be a lot of people that have these habits. One of them is waiting. We always wait for something. We wait until the pandemic is over. We usually wait until the new year to start over. We wait until we make enough money so we can invest properly. And that is the main reason many people never do anything big in their lives. They always wait for something to happen so they can start doing something.
The truth is different. You don’t wait for things to happen so you can start. You start so you can make things happen. And it’s easier to say it than to understand this sentence. Once you understand it, you’ll realize that you’ll always have everything that you need to be successful. So don’t wait. Take that first step. It doesn’t have to be a big step, but you need to take a step forward. And the best way to take a step forward is to educate yourself and learn new skills.
To invest properly, you need to learn about it first. That doesn’t mean that you should read every single book and watch every online course on investing. Learn the basics and start doing it. And this applies to every skill out there. Learn as much as you need so you can start working, then start and learn the rest while you work. Don’t fall into trap of wanting to know everything before you start. It’s good to have that energy because it will keep you interested. But don’t let it become your enemy.
The best way to do it is to have two periods during the day. One period will be dedicated to learning. That can be an hour in the morning or an hour before bed. Whatever fits you the best. The second period will be dedicated to working on your passive income. Even if you have a job. You can do it for at least an hour a day. This is important because it will keep you disciplined. Even if you only do it for an hour a day. Don’t skip a single day. This is how you’ll get better at it. If you do it, you’ll be able to quit your job very soon, and you can focus on your passive income full-time.
Passive vs Automated Income
What’s the difference between an automated and passive income? The main difference is that passive income needs to be passive. And 99.9% of them are not. So, automated income would be the most accurate name of it. You still need to manage your staff and watch out for a few things. So it’s never entirely passive. You could have a YouTube channel that pays very well or something like that. You can stop working on it and leave it there. You’ll still make money out of it for a long period. Now that’s a passive income. But the problem is that if you stop working on it, it will stop growing. So you never know how long you’re going to earn money from it.
Why is this important? Well, you need to know the difference because you need to start with the right mindset. Don’t expect to lay on the beach while money comes by itself. Yes, you can lay on the beach with your laptop if this is your thing. But you still need to put in the work. Especially when the money starts coming in. The biggest mistake people make at that moment is that they start spending more, and work less. This is why most people fail.
Don’t overthink this. You don’t want to fall into that trap either. Many people overthink the entire process and they never start working on it. They are focused on steps 2, 3, 4, and 100. This is why they overthink everything. They worry about what will come when they come to step 4, instead of focusing to get there. Start with step 1 and do the work. Worry about step 4 when you get there.
If your budget is low, you can always stat for free. It depends on what you’re doing, of course. You can’t possibly start investing in the stock market for free. You need money. But if you want to invest in a YouTube channel, you can start making videos today. You don’t need money to invest in it. It helps if you want to automate the process, but you don’t need it to start. What about investing in stocks or crypto? The same thing applies. Save some money and start small. If you want to invest in Bitcoin, start investing in Bitcoin. Even if it’s only $50 a month. Start small, and increase as you go.
What are the Most Common Ways?
Many people start by getting high-paying jobs. Or even decent-paying jobs. They invest 10% as they get paid. After that, they pay the bills, buy food, and do other things that they need. They don’t spend money on stupid things that they don’t need. At the end of the month, they invest again. This time, they invest what’s left. And the biggest mistake people tend to make is that they usually only invest what’s left. But that’s not how this works.
There are many different ways you can do this. You can invest the first 10% and then invest again what’s left at the end of the month. If you suddenly get a big amount of money, do you spend it on expensive dinners, or do you invest it? Maybe your friends called you to go get a beer with them, and you put $50 on the side for drinks. Do you invest these $50 if they cancel? So, there are many situations where we can find money that we can invest. Now, that doesn’t mean that you shouldn’t take your spouse to a nice dinner and invest that money instead. It’s good to have investments, but if you only focus on that, you’ll burn out. Don’t forget to enjoy along the way. Life is meant to be lived.
Offline Passive Income
Offline investing is usually much more expensive. And it’s getting harder every day now that everything gets digitalized. Everything is automated and many jobs are replaced. But shouldn’t that make our lives easier? Good question. And the answer is yes. We are the ones that make everything more complicated than it should be.
The most common example is real estate. It’s the first thing on most people’s minds whenever you mention investing. Like there’s no other way to do it. But if you don’t have at least one property you can rent, maybe it’s better to focus on something else. Unless you want to become a real estate agent, of course. In that case, you can always make a profitable business. That’s not even close to having a passive income. But it’s a good way to make money if you genuinely want to start investing in real estate later on.
Online Passive Income
There are indeed many different ways to make a passive income online. To be more accurate, there are too many ways to do it. We have an abundance of options. Indeed, the internet is maybe getting too saturated. But there will always be creative people that will find a way to make money using it. So where to start if you want to do make a passive income online?
Start with your budget. Do you have money to invest or are you going to start without investment? If you want to invest in stocks or crypto, you need to learn how to do it, but you also need money. In that case, you’ll need to save some money first. It’s much easier than it used to be. You can do everything using your credit card and a free app. But be careful. It’s better if you understand how they work before you start. You’ll save yourself from possible losses in the future.
The same thing applies here. Start small. If it’s $50 a month, so be it. Don’t complicate things. Do what you can, and increase as you go. If you don’t have any amount of money to invest, you can always invest your time to make some. There are truly many different ways you can make money online without investing a dime. It all comes down to your skills and how creative you can be. You don’t have to be a serial entrepreneur to do it. You don’t even need to have a high school degree anymore. There are too many opportunities today, and they are available to everyone. That’s the power of the internet that we have today.