How To Make Passive Income Online

If you've ever wondered how to make passive income online, you're in the right place. In this article, we'll explore the feasibility of generating online passive income without investment, discuss twenty top methods, and identify mistakes to avoid on your journey.

Is It Possible to Earn Passive Income Online Without Investment?

The idea of earning passive income online without any initial investment is alluring, but it's essential to manage your expectations. While it's possible to create revenue streams with minimal or no investment, success often requires time, dedication, and the right strategy. While you may not need a monetary investment upfront, be prepared to invest your time and effort to see meaningful returns.

20 Best Ways to Make Passive Income Online

1. Earning Money by Receiving SMS Messages and Selling the Unused Ones:

There exist a few services, including Cash4sms and McMoney, that compensate users for simply receiving text messages on their mobile devices. The underlying purpose of this scheme is to test and enhance mobile network functionality. Some services, such as Cash4sms, Birdchain, and SMSCashback, reimburse users for their unused SMS messages that remain in their mobile network plan.

If you're looking for a reliable and effortless method to earn some extra cash passively, Cash4sms is a top contender. It offers a seamless experience, enabling you to earn money by both receiving and selling SMS messages, without lifting a finger. In summary, Cash4sms is the best app to get free money to consider if you want to earn money without any manual effort.

Cash4sms (Android)

2. Affiliate Marketing:

By promoting other companies' products or services on your blog, website, or social media, you can earn commissions for every sale generated through your unique affiliate link. To increase your earning potential, consider partnering with multiple companies and diversifying your affiliate links across various platforms.

3. Online Courses:

If you're looking for how to make passive income online, share your knowledge and expertise by creating and selling online courses on platforms like Teachable, Udemy, or Coursera. To promote your course, leverage social media, email marketing, and search engine optimization strategies to reach your target audience.

4. Stock Photography:

If you have a knack for photography, sell your images on stock photo websites like Shutterstock or Adobe Stock and earn royalties every time someone purchases your work. To increase your chances of success in the stock photography industry, focus on creating unique and visually appealing images that are in high demand. Research popular trends and keywords to optimize your images for search engines and increase your exposure to potential buyers.

5. Print-on-Demand:

Start a print-on-demand business using platforms like Printful or Printify, allowing you to create and sell custom products without the need for inventory or upfront costs.

6. YouTube Channel:

Create engaging video content on YouTube and earn revenue through ad placements, sponsored content, and affiliate marketing. To grow your YouTube channel and increase your earning potential, it's important to create high-quality and engaging content that resonates with your audience. Additionally, consider diversifying your revenue streams by offering merchandise or sponsored content.

7. Dropshipping:

Start an online store without having to stock or ship products by partnering with suppliers who handle inventory and fulfillment on your behalf. Dropshipping can be an attractive option for entrepreneurs who want to start an online store without the overhead costs and logistical challenges of traditional e-commerce. However, it's important to choose reputable suppliers and carefully manage your inventory and customer service to ensure a positive customer experience.


8. Writing eBooks:

Write and publish eBooks on platforms like Amazon Kindle Direct Publishing, earning royalties from every sale. Writing and self-publishing eBooks can be a highly profitable online passive income stream, especially if you can establish a loyal following and a strong reputation as an author.

9. Mobile Apps:

Develop and launch mobile apps or games, earning revenue through ads, in-app purchases, or paid downloads. Developing and launching a successful mobile app or game can be a challenging but rewarding way to earn passive income. You should also invest in user acquisition and retention strategies to grow your user base over time.

10. Peer-to-Peer Lending:

Invest in loans on peer-to-peer lending platforms like LendingClub or Prosper, earning interest income as borrowers repay their loans. Investing in peer-to-peer loans can be a low-risk way to earn passive income, as long as you do your due diligence and choose loans with low default rates and high potential returns. It's important to diversify your investments and manage your portfolio based on your risk tolerance and financial goals. You should also stay informed about the lending landscape and adjust your strategies accordingly.

11. Blogging:

Start a blog and monetize it with display ads, sponsored content, and affiliate marketing. As your blog gains traction, your online passive earnings will grow. However, it requires consistent effort and a commitment to providing high-quality content that resonates with your readers.

12. Online Surveys and Research Studies:

Participate in online surveys and research studies that pay you for your time and opinions. Websites like Survey Junkie, Swagbucks, or Prolific offer various opportunities to make passive income. Participating in online surveys can be a quick and easy way to earn passive income in your spare time. However, it's important to choose reputable websites that offer fair compensation and protect your privacy. You should also be aware that the payout for each survey or study can vary widely, so it may not be a reliable long-term income stream.


13. Create and Sell Digital Products:

Design and sell digital products like infographics, templates, or graphic designs on platforms such as Etsy, Gumroad, or Amazon Kindle Direct Publishing. However, it requires an initial investment of time and effort to create high-quality products that meet a specific need or solve a problem for your target audience. You should also invest in marketing and promotion strategies to increase your visibility and sales.

14. Domain Flipping:

Buy and sell domain names for profit. Purchase domain names with potential value and resell them at a higher price to interested buyers. Domain flipping can be a lucrative way to make passive income if you have a knack for spotting valuable domain names and negotiating with potential buyers. You should also be prepared to invest in domains for the long-term and wait for the right buyer to come along.

15. Invest in Dividend Stocks:

Invest in dividend-paying stocks or exchange-traded funds (ETFs) to receive passive earnings through dividend payments. You'll earn money as the value of your investment grows and when the company pays dividends. It requires a sound investment strategy and an understanding of the risks involved in the stock market. You should choose companies with a history of stable dividends and a strong financial track record. You should also diversify your portfolio and invest in a mix of stocks and bonds based on your risk tolerance and financial goals.

16. Create an Online Community:

Build an online community or forum around a specific niche, and monetize it through membership fees, sponsored content, or display ads. As the community grows, so will your passive earnings potential. You should focus on building a strong brand and engaging with your audience to foster a sense of community and loyalty. You should also be transparent about your monetization strategies and prioritize the needs and interests of your members.

17. Real Estate Crowdfunding:

Invest in real estate crowdfunding platforms like Fundrise, RealtyMogul, or CrowdStreet, allowing you to earn passive income through rental income and property appreciation without direct property ownership. These platforms typically pool investors' funds to purchase a share in real estate properties, such as rental apartments or commercial buildings. You earn passive income through rental income and property appreciation. The return on investment can vary depending on the property's performance and the crowdfunding platform's fees.

18. Utilize Cashback Apps and Credit Card Rewards:

Earn passive income through cashback apps like Rakuten or Dosh, and credit card rewards programs. These passive income apps provide cashback or rewards points for everyday purchases, which can add up over time. Similarly, credit card rewards programs can provide cashback, travel points, or other rewards for using your credit card to make purchases. Over time, these rewards can add up to a significant amount of money.


19. Rent Out Your Assets:

Make money by renting out your unused assets, such as your car on Turo, your parking space on JustPark, or even your camera gear on ShareGrid. It is a great way to make passive income if you have high-quality equipment that you don't use all the time.

20. Sell Stock Video Footage:

If you're looking for how to make passive income online and you're skilled in videography, sell your stock video footage on platforms like Pond5, Shutterstock, or VideoHive, and earn royalties for every download. The key to success is to create high-quality video content that is in demand by clients, such as aerial footage, time-lapses, or lifestyle footage. With the right skills and equipment, this can be the best way to earn passive income in the creative industry.

Mistakes to Sidestep as You Begin Your Passive Earnings Journey

As you begin your journey of how to make easy money online, it's essential to avoid common pitfalls. Avoid spreading yourself too thin by focusing on one or two strategies instead of juggling multiple methods. Research and choose a niche with a proven track record and demand. Additionally, prioritize quality content and consistently engage with your audience. Finally, be patient and persistent, as generating passive earnings typically takes time and effort.


Making passive income online is a viable and attractive option for those willing to invest time and effort. While some methods require little to no monetary investment, the key to success is choosing the right strategy, avoiding common mistakes, and remaining persistent. By following the guidance provided in this article, you'll be well on your way to creating a sustainable and profitable passive income stream.

Frequently Asked Questions

How can I make $1000 a month in passive income?

Making $1000 a month in passive earnings requires finding a reliable and sustainable source of passive income. Consider investing in dividend-paying stocks, starting a blog, or renting out your assets through platforms like Turo or JustPark.

What is a passive income?

Passive income is income earned with little to no effort on an ongoing basis. This can include income from investments, rental properties, or online businesses that generate revenue through advertising or affiliate marketing.

How do I make passive income ASAP?

Consider starting with low-cost options like online surveys, cashback apps, or selling digital products on platforms like Etsy. Once you have established a reliable income stream, you can explore other more lucrative opportunities.

What are the easiest ways to make passive income online?

The easiest ways to make money online include participating in online surveys, credit card rewards programs, passive income apps such as Cash4sms, and peer-to-peer lending. You can also sell digital products, such as eBooks or graphic designs, or create an online course on a topic you are knowledgeable about.

How to create passive income with no money?

If you are looking for how to make money online without paying anything, you need to know that creating passive earnings with no money requires a bit of creativity and resourcefulness. Consider starting with low-cost options like participating in online surveys or renting out your unused assets. You can also develop your skills and create digital products to sell on platforms like Etsy or Amazon.

How to find a source of legit passive income?

Finding a source of legit passive income requires research and due diligence. Look for reputable platforms and businesses with a track record of success and positive reviews. Be wary of any opportunities that seem too good to be true or require a large upfront investment.