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How to Create Passive Income

By Edited Oct 27, 2013 2 8

There really are several things you can do to create passive income. If you have access to a computer, you won't need so much as a single cent to invest before getting started. By earning extra money each month you can quickly improve the quality of your lifestyle. If you want to know how to create passive income, it may actually be beneficial to know just what it really is.
Passive income is something you can create on your own. It is really money that you make, even if you're not currently involved with the specific source. Simply put, it's money you make when you're not doing anything to make money. This could include things like royalties from a book or licensing agreement, residual income from sales, or in some cases, writing articles online and providing advertising space on them.
There are many sites out there that will allow you to create passive income by simply writing articles. In fact, your reading an article on one of those sites right now. There are several other sites out there like eHow, Suite 101, and Constant Content, just to name a few. While the names are different, the basic concept is essentially the same. You make money based on your advertising.
Just about anything is fair game in the world of blogging. odd ball topics are a great way to create passive income. If you can think of a way to write anything into an article or blog, there's a good chance you can monetize it. For example, you could write an article on how to replace a specific belt on a specific vehicle. When someone searches the internet to find the information, they may view your article, and allow you to make some money.
You really should take the time to learn how to create passive income online. Search engine optimization (SEO) will help more people find your articles or blogs. By using keywords, you can really improve the number of views you get, and the amount of money you make. You can find plenty of information on the use of keywords, and their density levels, by simply searching online for the information. There are plenty of books out there for purchase on the subject, one of which I purchased, that can assist you. If you prefer to gather up the information on your own, you should be able to find enough out there for free to get started. If you really want to create passive income, online writing and blogging is the best way to go. You can literally write a single article, and then never pay any attention to it again. If you post your work on a strong, financially secure site, the article will continue to make money for years after you publish it. This is the first step to create passive income on your own.
Here's some basic info on how to create passive income online by writing articles or blogs. Keyword density, while not an exact science should be anywhere from 2%-5%, depending on which article you read. For the purposes of this article, the words "how to create passive income" should appear 2%-5% of the time. Try using Wordtracker at freekeywords.wordtracker.com. Simply type in any word and you'll see how often the word, along with phrases that contain the word are searched. The higher the number, the greater the search volume. I'm a far cry from being an expert, but I have some articles on popular topics that are the number one result on Google, and several ranking on the first page. If you want to learn how to create passive income online, these are just a few of the things to keep in mind.
Of course online blogging and article writing isn't the only way to create passive income. Some people have realized the benefit of owning rental properties. This falls into the definition, but any landlord will tell you that there is plenty of involvement. Still, it's a viable option, and you will make extra money. Even if you spend 20 hours per month on the rental property, you've only invested 5 hours per week. This is how to create passive income, because you will be earning money even when you do nothing but cash the rent checks for the month. Of course, something like this is a big investment, so if you decide to create passive income this way, you'll take on a large debt.
We've all noticed those vending machines at the stores, right? Little kids get candy or some type of small toy for a quarter or fifty cents. This is another way to create passive income. Generally speaking, the machines only need to be filled, and money collected about once a month. The rest of the time it's there, even when you're watching television, you're making some extra money. Once again, there is some additional work involved, but it still falls within the definition. You make money when junior puts his quarter in the machine, even if your at home watching the news. Now that really is how to create passive income the easy way.
You may very well be creating passive income without even knowing it. Stocks and bonds that pay dividends or interest are within the definition. Basically, you are making money on your money, without really doing much of anything. Of course, with the stock market as it is now, the mental toll it takes may be too much for many people to consider this a viable option.
If you begin to do some more searching on how to create passive income, you will undoubtedly run into a few scams. Use caution when you give any website your credit card information. No legitimate writing site will make you pay to post articles on their site. Don't fall for a scam when you are desperate to find out how to create passive income. Legitimate writing sites, like Info Barrel, eHow and Constant Content will not require any type of payment from you at any time. Keep this in mind when you look for other avenues to make money.
As you continue to learn how to create passive income, you'll find that it's one of the best ways to make money.

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Comments

Sep 1, 2009 2:35pm
ladybella248
This is very helpful article on how to create passive income.
Nov 19, 2009 5:30am
eileen
Another great article. Only one problem Can you help old people like me.
It is hard to read as it is all close together, If you had a space inserted between paragraphs it would be a lot easier to read for me anyway as eyes are not as good as twenty years ago. Sorry do not mean to critisize your writing in any way. Thanks again
Nov 19, 2009 8:37am
jcmayer777
Thanks for the comment. I cannot get spaces between the paragraphs on this article. I'm not sure why. I've tried to edit with several spaces between paragraphs, but it just resets like this.
Nov 19, 2009 9:16am
eileen
Thats Weird, and your others are not like that either. Oh well cant be helped eh
May 29, 2010 10:24pm
Carrie
Again, jcmayer777, helpful information. Thank you for sharing.
Jul 10, 2010 4:22pm
x3xsolxdierx3x
Great article, Jason!

Still having trouble with the spaces between articles? hm...maybe it has to do with the browser you are using?
Jul 19, 2010 2:29pm
HealthFitnessTips
Another great read JC! Thanks!
Oct 25, 2011 8:50am
Hypersapien
Thanks, this will be extremely helpful to me in building my own passive income stream.
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