Everyone over the age of five wants more money. It’s what makes the world go around. Unfortunately, most of us have to work the majority of our lives, some much harder than others, just to make ends meet. Some people have even been working since they were 12, depending on which generation they belong to.
Whatever age you are, retirement is an important time of your life to prepare for. And without a gold IRA or even a decent savings account, what the heck can we do to increase savings with little time investment? Well, these days, it’s easier than ever before.
What is Passive Income?
Let’s break it down: passive income is money you earn regularly without having to do much work to maintain it aside from upfront management. If you’re not making enough from your 9-to-5 job or part-time gigs, passive income is a great way to make money on the side.
The folks at the IRS say you can get passive income in two main ways. One, by owning a rental property like an apartment building or a house that you rent out. Two, by owning a business where you’re not involved in the day-to-day stuff, like if you were to write a book and get paid every time someone buys it, or if you own stocks and get a share of the company’s profits. But realistically, passive income can also come in a bunch of other shapes and sizes.
An Oldie But a Goodie
When it comes to making a passive income, one of the last things you may think about could be the answer you’re looking for. Pet sitting. Hear me out.
Unless the dog is Cujo or suffers from major separation anxiety, pets can be a cinch to watch over. Feed, water, walk, pet, repeat. While it may not be as minimal as you’d like, these opportunities can be pretty easy to find, and in a lot of cases, you can take care of more than one at a time. Pad that wallet even more without adding any additional work. It sounds good to me.
However, this brings up the point that, just as they do with their childcare choices, you can expect prospective clients to run nanny background checks before they leave their fur baby in your care. So if you have something nefarious in your past, you may need to opt for one of the other ideas.
Share Your Space
Another great way to make some passive income is by renting out a room or your entire home on Airbnb or other rental platforms. If you have extra space, why not make some money off of it? Short-term rentals can bring in a significant amount of cash, especially if you live in an area with high demand for lodging.
Some people even take this a step further and invest in vacation rental properties, which can bring in even more passive income. Plus, you get to enjoy the property yourself when it’s not being rented out.
Dabble in Cryptocurrency
Another interesting way of making passive income is to invest in cryptocurrency. Put simply, it just means you buy some digital money when its price is low and then sell it when the price goes up. It’s just like buying a toy on sale and then selling it for a higher price later. But, remember, the value of cryptocurrencies can rise and fall very quickly, so it’s important to be careful. Just like any other investment, it has its own risks. Hence, don’t put all your money in one basket and be prepared for any outcome.
In conclusion, passive income remains a key part of building wealth with little to no effort, and the digital age has made it readily achievable. Whether you’re pet-sitting, renting out space, or dabbling in cryptocurrency, the key is to diversify your income streams.