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Why Passive Income Is Important

Why Passive Income Is Important

June 4, 2021

One fine day, I asked my friend how do you increase your income?
His answer was, I will ask for a hike in my current job or change to a job that pays me more.
A very common answer in all middle-class households in India. One thing it proves here is we are not introduced or less introduced with the concept of passive income. ( A income from various sources). How do you think Rich keeps the cash flow constant? It is because they have more than one source of Income.

We Mangopeople are never taught to look beyond more than one source of income. This model has to be changed.
In order to achieve financial independence, you should look beyond the concept of one source of income.
During the COVID-19 pandemic lockdown, many people came to know the importance of passive income. The thought struck people who were dependent on one source of income. To avoid such a situation in life it is very necessary to build other sources of income.

So what do you start with ?

Side Hustle

It is the most common way of making an extra income. Keeping your day job and finding extra work during your weekends will find you ways to make some extra cash. There are many freelancing sites which provides you the opportunity to work from home. You can sell your existing skill to make some money
Turn your hobby or a passion into a money-making machine is the easiest way to create a passive income.

Rental Income

Rental income from the property comes with a huge investment, it requires large capital. But there are other rental incomes that can be generated from things you already own like renting your car, bike or other useful gadgets.

If you have an extra room under your roof, a backyard or a hall which you can rent. You can list it on Airbnb and get paid when it is booked. You need to work a little to make the place arranged and clean once the guest leaves.

That’s interesting, right? If you have an idle place and you think you can list it and make money Sign up today and make an easy income.

Interest Income

Interest income comes from bank deposits. It depends on economic conditions and federal rates. I advise you to invest in deposits after checking the interest rates at the various bank and postal departments. Interest income from the bank is a safe, lesser risk and lesser returns.

Stock Trading

Stock trading is something you can start with low investment and make money through buying and selling of stocks. You can do this online, and this is where money makes money. It requires a few hours of study on stock and fundamentals before investing. You can also avoid trading of stock and invest in a good stock which will generate dividend income.

Dividend Incomes are generated by investing money on the good dividend-paying stock. Sometimes the returns are more than a fixed deposit. But identifying a good stock is a tough task. If you want to be on the safer side mutual funds are also a good option, but I personally suggest you start knowing about the stock market and invest in shares with a good return.

Peer to Peer lending

In India Peer to peer lending was happening in a traditional way outside the legal forms, but now few internet-based application has been introduced with respect to RBI guidelines.

Peer to Peer lending Apps are common in the United States and China, and its slowly picking up in India. You can check few sites listed below for your information .( Kindly check the guidelines and verify before venturing)

  1. LenDen Club
  2. i2Ifunding
  3. Rupeecircle

Content Creating And Video making

In the era of the internet, there are many people who have showcased their talents via You Tube channels and made money out of it. Do you think you can create content and entertain people, it can bring you a considerable income from viewership and advertisements.

Sell Images

Are you a creative person who enjoys photography. You can click amazing pictures and sell them online. It will be used by many magazines and websites to publish their article. Upload your images and get paid whenever someone downloads your photo. Signup on Shutterstock to start with.

Start a Blog

Starting a blog is easy, you can do it in less than 5 Mins if you have a decent knowledge of computers and the internet. But there is hidden truth in blogging which no blogging sites would point out. Making money from a blog is not instant like other freelancing jobs. It takes considerable time and effort on posting content continuously.

If you are passionate about writing and you are looking to monetize the site in a logger run, then it is a good source of passive income.

Buy And Sell

After the boom of an E-Commerce site in India, like Amazon, Flipkart, eBay, and Shopify it’s easy to buy and sell something online. You can create your store or brand on these sites, make your own product, and sell online.

There are many hands made products and reselling products listed on these sites. The number of women Entrepreneurs and work from home women have acquired the services from these sites

Quick Note : Keep exploring the ways to make some extra money and thus creating a constant cash flow will bring your financial independence.

One Reply to “Why Passive Income Is Important”

  1. Hey vani , thanks for connecting and i wish you all the best , but can i say one less known truth ??

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