Passive income is any regular income you earn from a source other than your regular employer or contract-based jobs. It is more about generating income by initially putting in some additional effort. Then the revenue is generated over some time. For example, passive income can be from a rental property or dividends from your invested stocks.
However, there are other avenues through which you can generate passive income, mostly through another engagement that keeps bringing in money at regular intervals but does not require the same level of involvement as your regular job. It is something you can do when you have some additional time, yet it can be something you can include in your resume.
It is highly erroneous that passive income means one does not have to put in any work. Of course, it always requires a degree of labor to ensure that the money keeps flowing, but it’s not as rigorous as showing up for your regular job. It is more about creating a strategy that generates income without you having to work for it continuously.
What Cannot be Considered as Passive Income?
Some things cannot be considered as passive income.
- Your regular job cannot be considered passive income because you have to be involved with it continuously to ensure you get your salary.
- A second job cannot be considered passive income because you still need to be involved with it regularly to ensure your pay.
- Non-income producing assets like non-dividend paying stocks cannot be considered passive income because you do not get any interest or dividends.
Passive Income Ideas that Also Look Good on Your Resume
Here are some passive income investment ideas that will require little work on your part but will also look good on your resume. Once you create a clear strategy, you can excel in these ideas with ease.
1. Investing in a Business
While running a business takes up your entire time, investing in a business involves far less involvement. However, you still get to earn an income from the profits that the business generates. The business can be of any kind- a family-run business where you have stakes but are not directly involved in the operations. Or a local business in your community that already has the labor and staff but needs investors.
As an investor, no matter how small or large your investment is, you will also get a percentage of the profits as per the arrangement. The degree of involvement you have can be clearly stated initially. You could also choose to be a silent partner in the business if you want.
While there are some risks in investing in a business, the rewards can also be very promising when the business does well. However, it would be best if you considered long-term while thinking about this form of investment.
2. Becoming an Influencer
If you have a prominent presence on social media, becoming an influencer can help generate passive income. To become a noticeable influencer, you have to put in some work at the beginning regarding the niche you want to create content on. The more unique your content is, the better it does not get lost in the sea of posts that flood the social media handles every second.
Being an influencer is all about building relationships and gaining followers. The more engaged you are with your followers, the more noticeable you will be. The risks are that this could take some time, but once you get noticed and some of your content goes viral, you could be earning sponsorships from big names in no time.
With social media, one sponsorship leads to another. You could quickly have a source of passive income once you have a sizable number of followers.
Bonus Read: In-demand Digital Marketing Skills in 2023
3. Teach a Course
Is there something that you are good at and want people to know and learn about? You can create a video or audio course and let people know about it through social media. They can sign up and buy your tutorials for a fee, and you generate a steady source of passive income.
You may either choose to venture out on your own or go to third-party websites specializing in skill sharing. Not only will it generate income for you, but it is also something that you can put on your resume. Taking on a teaching role is a huge plus when applying for managerial positions. These courses are very handy when it comes to languages or advice on stock markets.
Once you have put in some time and effort into creating a detailed and researched tutorial, you can easily generate income and make your mark as well. You can also teach the course over YouTube by creating your channel. Over time, you may start getting ads, and you get a percentage of the company’s revenue.
A successful YouTube channel can have thousands of subscribers. Once they start signing up for the paid course, you will end up making a substantial amount of money.
4. Writing an E-Book
If words come naturally to you, then writing an E-book can open doors of passive income for you. Of course, the initial exercise of writing a book can be grueling- it has to be good so that people would want to buy or read it. But once your book is published, it can generate a stream of passive income as it becomes available to millions of online buyers around the world.
E-books are highly in demand as people have started reading on their Kindle, mobiles, or tablets. Your book can be either fiction or non-fiction- it doesn’t matter as long as it is gripping. Once you have made a mark as a writer, you can keep writing books at your own pace. You will automatically get the income as your books sell.
Being a published author always has its merits, and it will definitely add value to your CV. There is no monetary investment. All you need to invest is your time, focus, and effort, and you will have opened a new door of income.
5. Creating a Blog
Generating income from features like Adsense on blogs has been around for a very long time. Writing a blog in your spare time can create a steady stream of income. You can create a blog and write on various topics, or you could choose a niche and try on it, too. From the latest invention in space technologies to traveling to far-flung areas of the country, from new recipes to DIY hacks, there are several areas on which you can create a blog.
Once it has gained a sufficient number of followers, you can add an email list that will draw more attention to the blog. You can connect it to your social media accounts for greater visibility and connect it to other blogs and websites. You generate passive income when a visitor clicks on the link and makes a purchase from a third-party affiliate.
Yes, it could take a while for you to generate a substantial income, as it is mostly dependent on the traffic that comes to the blog. Still, if your blog can catch on and makes a mark, you will have a steady stream of people who might come and click on affiliate links to buy something.
6. Creating an App
If you are good with coding and know-how to create an app, you can be sure of making an excellent passive income over time. In addition, with a wide range of activities conducted online, there is a scope for creating a wide range of applications.
You could develop an online game, or your app could help users perform some function that is usually hard to do. Suppose you manage to design an app that people find fun or useful. In that case, you could soon have millions of downloads that will generate a remarkable amount of passive income for you.
The time and effort that you invest initially will generate a remarkable amount of passive income over time. Then, all you have to do is fix the bugs from time to time and make any improvements based on customer feedback. A well-designed app is a winner, and it would also be a great addition to your resume.
Generating passive income is not as easy as it sounds, but it can still be worthwhile. The chances of failure are very low if you stick to what you have set out to do and be patient during the process. Once the income starts, it is a gradual process, and it is up to you how much time you want to invest in the project further. Most importantly, it can help you develop a new skill set. The better you get at the work that is creating passive income for you, the more likely it is that you will use it again in the future to generate more income.
You can also include it in your resume. It could be an additional factor that ultimately helps you land your dream job as employers are always looking out for those who think out-of-the-box. Moreover, the extra income will improve your quality of life and make you a happier person, contributing to your mental health. Hence, go for it with all you have got, and it will surely yield results.