Hey guys, it's sasha in this video we're going to talk about seven different ways that you can make passive income and for each of these i'll tell you how easy or difficult it is, how long it will take you to earn money and how much money you Can make from it for me, these seven methods of passive income are currently generating about seven thousand dollars per week. I'm actually currently earning money from only five of these passive income ideas and i'm now working on adding the two other ones, one of them later this year and one sometime next year, and i'm going to explain that in a bit more detail. Each of these seven different passive income ideas can actually earn you money in a few different ways. I'll explain all of these when i get there.

Some of these passive income ideas are a lot more passive than others, and i only really started properly on my passive income journey about a year and a half ago. This sort of time scale is highly unusual and i spent a huge amount of time to build these sources of passive income. I've been working really long hours worked on multiple different projects at the same time, and i think i struck some luck along the way as well. Each of these types of passive income will take months and sometimes years before they earn you any money at all.

So it takes a huge amount of dedication, but with enough patience you can really earn the payoff in the long run. I have done a lot of things. In my past life, i've worked in a lot of different jobs and i had my own strategy. Consulting company for six years, i have recently changed a lot about how i actually run my life and as part of that change, i have switched from earning active income to only earning passive income.

Instead, passive income means that you have the ability to earn money. That is not directly linked to your time. All of my jobs beforehand were the exact opposite. I only earned money for the time i spent working as a consultant.

I literally got paid per hour. On the other hand, passive income lets me earn money over the weekend while i'm on holiday and when i sleep but don't take this the wrong way. Passive income is not some sort of a magic way of getting money without actually having to spend the time to earn it. Passive income sources take a lot of time and that time is spent up front and while you're working on that time, upfront, you usually aren't getting paid anything at all and in some ways it's actually a lot harder than active income.

Where you get your weekly monthly paychecks as soon as you start working in the job, so let's dive right in and talk about these seven different passive income ideas in a bit more detail. First, let's talk about investing in the stock market. If you watched my channel before you'll know that i'm a very passionate investor, so that's why i chose to start with this one and investing is by far the most passive and easiest way to make money out of all of these different options. There's only one catch.

You actually need some money to start investing and the more money you put in the more you'll be able to earn a great thing with investing. Is that anyone can do it and you don't really have to be some kind of investing genius to get started. A very popular way to invest is by putting your money into an index fund. Something like the s.

P. 500 is a very popular example. This way you do not have to pick any stocks, do any research associated with that and your money is just invested in the 500 largest companies in the united states, which is where the vast majority of the total stock market really is. Your investment will be split between all of these different companies relative to their size, and the best bit is that the index fund actually outperforms the vast majority of active investors trying to beat it in the long term.

There are two main ways in which investors earn money. The main way is through the growth in the value of the stocks that you buy, and some companies are also paying dividends to their shareholders and that's the second way to earn the money over time. The stock market has averaged a return of eight to nine percent on average, although that's before you account for inflation. Remember that the eight to nine percent is the average.

That fluctuates a lot so some years like 2019 and 2020, you can make 20 or even 30 returns, but a big market crash can easily wipe 40 or 50 as well, and then there are periods when the market moves sideways and your money doesn't go up or Down, so you really don't want to be putting money into investing that you may urgently need soon. Also, as i mentioned, the one snag with investing is that you have to put money into it in the first place in order to make money, so you'll probably want to start working on the other six passive income streams first, so that you can earn that money. So you can then go and invest it, but the power of long-term investing is that once you get into the habit of investing every single month that eight to nine percent return can begin working, some real magic. Of course, the amount that you can invest will depend a lot based on how old you are, how much you earn where you live, whether you have a family and a whole load of other stuff, but, for example, if you live in the us or the uk, Let's say you start putting away a hundred dollars every single month into investments and keep doing it for 50 years.

Those 100 contributions will end up being worth almost 1.2 million dollars and you have actually only invested 60 000 out of that. So the remaining 1.1 million dollars is that passive income, which is incredible - oh obviously, the more you put in and the earlier you start putting money in the more you can earn from the stock market on average. But you don't have to wait until you can put 100 in you can start even with 10 or even 5. There are now a lot of great free or very cheap.

Investing apps out there in almost every country go and look them up on google. I have some special affiliate links in the description to some of them that i particularly like, and i personally use that are available in different countries, and some of these will even give you a free share when you sign up. If you use my link in the description and make a deposit so feel free to go and check those out if you want to get started also, if you do want to learn more about investing, that is what i talk about on my channel a lot. So please feel free to subscribe.

If you want all the detail, so let's now do the scores. Investing can get very sophisticated, but in truth for most people it can be an incredibly easy option compared to the others that doesn't really take any effort. So i'm going to give it the maximum score for being easy. Investing gets the best results over the long term, but you can also start earning money right away, which is quite unusual when you start investing so on balance.

I'll probably give it a three out of five for the amount of time it will take you to earn the money and because you need a lot of money up front and the return is so volatile with potential market crashes and stuff, like that, i'm gon na Give investing a two out of five for how much you can actually earn from it. So, let's move on to the next passive income idea and seeing as you're watching this video, let's make it the obvious and talk about youtube. I started my youtube channel about 18 months ago in march 2020 and in that time i've grown to 30 000. Subscribers youtube can be incredibly rewarding and it has a lot of unique upsides that no other platform really offers a lot of unique ways of making passive income the way that platform and the algorithm works means that you can grow faster over time.

I've been adding about 100 subscribers per day over the last few months, while it took me maybe a month and a half to get my first 100 subs on the channel, but youtube is also incredibly hard. Don't get that bit wrong? You have to put in a lot of time and a lot of effort to make it work, and most people never make it through the ghost town over the first few months, when literally nobody is watching your videos. When i first started out, i knew nothing about making videos so naturally enough, my early videos were really bad and for most people, that will be the same situation. But youtube is a game of perseverance.

If you don't make that first video that really sucks and the second video that also sucks, then you will never make the 200th video that might actually be kind of good. There are two ways to make passive income on youtube. Really. There are other ways as well, but mainly there are two you can earn through ads and that's the main source of income that people often talk about ad gets shown before during sometimes after people's videos, and you can earn affiliate income as well.

If you have products or services that you can recommend and people go and sign up using your link, that's how affiliate models work, you'll get some kind of a commission payment in return. That's why i have all of those affiliate links for investing apps. In my descriptions on every video, there are other ways that you can also earn money from youtube. I will actually get to some of these later on in this video and some others exist as well.

That are not really passive, like, for example, doing sponsorships, so they don't really count as passive income about books and we're not going to be talking about them. It takes a long time to get monetized on youtube. You need to reach 1 000 subscribers and 4 000 watch hours before you can start earning money from ads and based on a lot of surveys and lots of data out there. That takes the average youtuber about 100 videos.

That's about two years. If you make one video a week or one year, if you make two videos per week every single week and each video takes a lot of time to make far more than most people realize it might not seem like it, but the whole process from coming up With the topic thinking through the structure, scripting doing the filming editing, adding all the different overlays doing the thumbnail description, blah blah blah. It takes five to six hours for me to do a quick video and it can take a few days to make a longer or more complicated one. I've actually had a video that took me 10 days to make not that anyone watched it anyway.

I managed to get monetized at the beginning of august last year and it took me just over four months, which is really pretty fast and, as i talk about personal finance and investing, i also get to earn more from ads than the average. A typical youtube channel will earn about two to three dollars per thousand views from ads. My channel earns about thirteen to fourteen dollars per thousand views. That's after youtube has taken their cuts, so that's actually pretty good, and you can see that in august i earned about four thousand dollars from youtube ads, which is really good.

Summer is the low season for personal finance channels. It is the lowest point for views out of the whole year, so you get a lot less views and that's still pretty good and comes out about a thousand dollars roughly per week from these ads alone. But they actually earn a lot more from affiliate links. And many creators on youtube do as well.

I get paid in free shares or a fixed amount per account. Every deal is different, but on average the affiliate revenue is about three to four times as much as the youtube ads revenue. So about 75 to 80 percent of my youtube income is coming from those links in the description. That's why they're there all right, let's do the scores youtube, takes a lot of work.

I had to learn a million different things that i had no idea about before and then once you start you just have to keep on going. Although the income is passive, you still have to keep the hamster wheel, spinning to continue growing and building your channel. If you stop, your channel will start decaying, so i'm gon na give youtube a two out of five for how easy it is. It will take a long time to grow the channel and many many months and many many years will pass before you actually start earning from it and then so i'll also give it two points on the time score, but because the incredibly powerful platform exists, which gives You the ability to grow the channel and income in a non-linear way.

I'm gon na give youtube a four out of five on how much money you can make with it. So let's now talk about the third passive income method and that's building content websites. It's something that i've done before and i've tried a lot of different courses and approaches. But last year i started working on a different strategy that i've developed and that's working a lot better.

For me, content websites are basically the same thing as youtube, except in written form. They work in a completely different way. So you need to make sure that you understand the difference. You have to make very different types of content on websites compared to youtube.

You can't just write down the same thing. You say in a video and you can't make a video out of an article. It just won't work, but i have some content websites that i am growing and i'm actually spending a lot more time at the moment. Scaling up and optimizing that process websites are far more passive than youtube.

You put out a good article and it can go and get views for years and years in the future. Whether you go and put up more articles or not the passive income sources are pretty much the same as youtube as well. You earn money from ants and you earn money from affiliate links. A typical big website will earn about 10 to 15 dollars per thousand people who come to that site from just ads alone and again, it depends on your niche, which countries your readers come from and all those other factors some websites will learn far more and others Will earn a lot less? Some people make most of their website income from ads.

That's how my sites work as well, but some can also do very well with affiliate deals which can, in some cases double your money or even earn more websites have a relatively linear income model. The more content that you put out there, the more money you'll make over time. You do have some non-linear benefits. As your website gets more established, you can target bigger keywords and you might rank faster all these kind of things, but the real way to scale this type of passive income is to build a team that can then scale up the content production rate, my biggest site At the moment is making about six thousand dollars per month, so around 1400 per week, or something like that, but just like youtube.

You have to put in a lot of work. In fact, websites actually take a lot longer to grow than youtube, but you benefit from it being more passive in the process. So i'll give you websites a score of two out of five for being easy because of the amount of time it's going to take you to build the site and wait for the results, and all of that i'm going to give it a one for speed. And i'm going to stick a middle-of-the-road score of three for how much money you can earn is good, but the growth has its limitations.

The next passive income option is a little easier and far more passive. It will usually also not make you as much money, but it can be a little nice side earner. So this is creating stock photos, stock, music and stock video. The industry is growing like crazy, when i write blog posts, for example on my websites.

I need to go and use photos to break up the text. You know put some nice images in there to make it more interesting and because i don't have all of those photos to hand, i often go and get those photos from stock photo websites, and i pay to license them. When i make videos, i also sometimes use stock photos as well as stock, video and stock music, and all of these come from these paid stock websites. I use shutterstock for photos, story blocks for video and epidemic sound for music and sound effects and on the other end of these platforms are people who have created those stock images, stock, music stock, video.

Each time i go and download one of those stock photos. The person who uploaded them gets paid a commission and over time that can really add up and most people can go out there and make stock photos. It is super easy. You can literally start with your phone, although having a camera definitely helps with making better images, and i don't mean the sort of stock photos where actors pretend to be business, people drawing charts, it can be literally anything photos of sites in the city where you live Photos of plants, animals or just some kind of interesting scenes things that you think people will want to use for their projects for their content.

Things that maybe other people haven't created, particularly good photos for people need a lot of these and there is still a massive opportunity out there. I often struggle to find good photos if you can take good photos, make good music or film some good b-roll video. You could earn money from people using those for years in the future. It is very easy to do so.

I'm going to give it a 5 out of 5. For that. It's also very fast. You can start right away and you can have some of your content up on those stock websites literally later that day, so another five out of five on the speed.

But although you can earn some money from it, you probably won't earn the same sort of cash that you can do from these other things on my list, so i'm actually gon na score at a one for how much money you can make now. Next up, things are getting a little bit more complicated, we're going to talk about digital products, and these can be incredibly good for earning revenue now by digital products. I mean anything that can generate repeat sales over time through a digital platform rather than some kind of physical product or a service that you deliver. It can be an excel template for something that people value or it could be video editing lots of presets that people use in order to get all their colors right or you could have a tool in your website that provides some kind of service that people will Be prepared to pay money, for i have done digital products in the past, but i don't have any right now, although i am planning to launch a big one on my travel website.

Probably sometime next year. Digital products have two big drawbacks. In most cases they need to have built an audience somewhere else in order to sell them sure there are online platforms where you can sell them too, but that's unlikely to earn you a lot, because it is very difficult for people to go and find your digital Products and you won't sell any expensive digital products that way, because people need to build that trust and that trust is usually built by building your audience somewhere else, and so realistically, digital products are a stage two sort of passive income. After you have built a website or a youtube channel, or something like that, digital products are also going to take a lot of effort.

Sometimes you'll need to hire people to do the tech, graphics or whatever else your product needs, and it might take up a lot of your time before you can launch it can take months for you to actually go and build a thing, and the problem is that Often these products turn out to be a flop, even though you've put in every effort that you can you've tried really hard. It's just so hard to predict how well they will do so. You could spend all that time and get absolutely nowhere, but they can also be some of the most powerful some of the best long-term passive income streams. If you get them right, so i'll score digital products at one out of five for being easy, and i'm also going to score them a two out of five for speed, but i'll give them a solid four out of five for how much you can earn from Them the one point deducted for the relatively high risk of earning nothing.

Now, let's talk about building a paid community. This is a more recent trend with things like patreon and youtube memberships coming online. I started my youtube membership a few months ago, although i haven't actually promoted it at all. So i only have a tiny handful of members that i actually really appreciate, but it's a very small number.

I do have some really cool plans for what i'm going to be offering to my members, starting in october, because i just haven't actually provided any real value. Yet and the paid community lets members have a more direct access to the content creator, there's usually a place for people to discuss different topics like discord or some other forum like that and i'm gon na be starting one up for my community soon as well, and Then there's some other perks like dedicated content for members and i'm gon na be doing a monthly video for my channel members and announce some things ahead of time to the community before they go public on youtube. For example, plus i'm planning to offer member only discounts to some of the other products that i plan on launching and hopefully the combination of those things is what makes people want to be a member with a typical membership. People pay a few dollars a month and the objective is to provide people with so much value that they feel that it is worth it that there is a good value exchange by the way.

If you can tell me whether you prefer patreon or youtube memberships, please tell me in the comments below uh, because i'm trying to figure it out and it would really help me make that choice. A community is very easy to set up. You can do it all in an hour, but again you have to have that audience first, because unless you have an audience that is big enough to start with, there will be absolutely nobody in that community, so i'm gon na give it a score of three for Ease of use and three for speed, the community can provide a really good way for making revenue consistently, but you probably won't be earning as much from it as from some of the other sources, so i'm going to give it a 3 4 potential on earnings. So, let's move on to the next great passive income stream and that's making courses.

Now courses are similar to digital products in lots of ways, but courses also include elements of the community. Building and really great courses are not just a set and forget type of product. They evolve over time. I do not have any courses at the moment, but i am planning to launch my first one later this year on personal finance and investing, because i think that i would be able to provide value that i can't provide through my youtube videos and like the previous Options that i mentioned courses really do need an audience.

First, some people do pretty well by just making a course and sticking it up on teachable, and it does sometimes work just like that. Some people do perfectly well with that model, but most people who do really well with courses have that audience elsewhere to start with, on the website on youtube on other places. That audience may then be actually interested in buying the course and courses do suffer from a problem at the moment, because there is an abundance of scams, rip-offs and really bad value. Courses out there there's a whole industry of people creating worthless courses on how people can become a millionaire while doing absolutely nothing, and that has cast a very negative shadow over other, genuinely useful content out there and it's a difficult industry to navigate.

But i think it is also incredibly interesting. These courses are often priced somewhere between 100 and 500, and some of these can provide so much value that people will feel that that is an incredibly cheap price, putting together a good course takes a huge amount of time, though it is incredibly difficult. You have to plan out the whole course outline and structure individual chapters figure out how you're going to mix the whole delivery of video written audio content. Whatever else you're doing, then you have to go and create all the additional sheets you have to go and make the videos for good courses you'll probably have to make a lot of videos we're talking months of full-time work, to produce one good quality course.

So, on the scores, i'd say, courses get a one for being easy and a one for how long is going to take you to put it together. It is definitely a very tough one to do well, but, having said that, these courses can also do really really well in terms of revenue once you have put them together and maintenance is not all that bad, so courses get a solid 5 out of 5 on The potential income, so that's the seven passive income streams i wanted to talk to you about. You - can see all the scores for each of these on the screen right here. There is a big mix here and you'll naturally notice one common theme, the things that earn you the most money or that could earn you.

The most money, will usually be the most difficult ones and take the most time and vice versa. Some people have the time, dedication and the drive, but some people just have too much going on in their normal lives and jobs. Some people have families that require a lot of their time and attention. I would definitely recommend that everyone consider building some kind of additional passive income sources on top of money that you earn elsewhere.

Maybe money you earn from your job. A few hundred dollars per month can make a huge difference, and if you build those passive income streams enough, you might just want to eventually switch to working on those full time. I hope you guys found this useful. If you have, please don't forget to smash the like button for the youtube algorithm.

Thank you so much for watching. I really really appreciate it and, as always i'll see you guys later.