Passive income is an income which comes even while you are sleeping. It makes you feel financially secure.
• Anyone can create sources of passive income through online platforms and through investments.
Key Note #1: Benefits of Passive Income
1. Nobody should be depdendent on earned income i.e job income ; since that income is not sufficient!
• Nobody can become rich if that person depends on job income.
• We need to earn that much passive income which should beat our daily expenses to achieve financial freedom.
2. Invest in multiple income assets
We need to check various options and invest our money into following assets to get passive income ;
• FD
• Mutual funds
• Shares
• Real estate
3. Hire experts to manage your finances & investment
Anyone can consult to a high skilled expert in finance field on how to diversify and increase passive income through investments in stocks & mutual funds.
4. Wealth create wealth
It is also called the Power of Compounding
– the 8 Wonder.
For example:
• When anyone throws a snowball the more it rolls downwards the bigger that snowball becomes ; this is called snowball effect.
• Similarly, if you invest Rs. 20,000 per month at an interest rate of 12% for 20 years in a mutual fund, then after 20 years, your investment will be Rs. 50 lakhs and its corpus value would be around Rs. 2 crores.
• So, you have created a wealth of Rs. 2 crores.
5. Security
Passive income will not only help to achieve financial freedom but also it provides alot more security since we can calculate that how much money we will get as a passive income through which we can plan our goals easily.
6. It helps to deal with unexpected situations
if any unexpected situations occur, than we are atleast assured that we will be able to tackle and handle situation successfully since we are getting pasive income.
7. Enterpreneurs and businessman/woman pay less tax than job people
Charge on compensation (or acquired pay) is more than the assessment on the business since financial specialists get different tax cuts.
Nobody can save salaried money as TDS would always be deducted from salary.
Key Note #2: How to Generate Passive Income?
Passive income can be generated in this 2 ways:
1. Skill-based
• At early stage of life i.e between 14 to 21 years , people have time but they donot have money so
• There are many skills based on which you can generate passive income.
2. Fund-based
• When you are 50 or 55 years old, you have spent almost all the working time of your life.
• If you have a corpus of Rs. 2-5 crores and you don’t want to work further, you can generate passive income from this money.
key Note #3: Expertise based Automated revenue - Models
1. Publishing content to a blog
•In the event that you like composition, perusing, sharing stories, or have Topic Skill (SME), then, at that point, you can make your own online journals.
•You ought to go to research, make your online journals, and add Google AdSense in it.
•At the point when individuals read your articles and snap on the Google AdSense, then, at that point, a revenue stream will be created for you.
•This is awesome and basic method for producing automated revenue.
In this way, you ought to begin a little blog, foster it, compose great articles in it, and request that individuals add to it by composing articles on the off chance that they need to.
2. Make an Application
•Recognize an issue around you that doesn't have an answer, and afterward you can make an Application for tackling it or beating it.
•Today, it's exceptionally simple to make an application and market it effectively, so that individuals can utilize it.
3. Selling a web-based course
Be it Bada Business, Byju's, Clincher's, Vedantu, and so on, this large number of organizations are selling their courses on the web.
During the Coronavirus times, when individuals couldn't go to their classes or educational costs, online courses have been high sought after. Organizations like Bada Business which makes great Critical thinking Courses got an exceptionally high development.
You should recognize the subject wherein you have the mastery and make online seminars on it.
For instance:
• One of the members of Bada Business needed to give online seminars on AutoCAD and Design.
• Along these lines, he began creativedesignworkshops.com, made a few little courses, and put them on this web-based stage.
• Today, he is effectively selling these courses on the web.
Essentially, you want to recognize which courses you can show successfully like on the off chance that you know how to instruct Succeed, MS Word, or PPT, you ought to foster a basic seminar on it.
In the event that you don't have the compass and you would rather not make your own site, then, at that point, you can utilize various stages like Skillshare and Udemy to distribute your courses. These stages work with you and sell your courses.
On the off chance that individuals like your course, these stages will give you an offer in the income.
Thus, you can produce recurring, automated revenue by selling on the web courses.
For instance:
• On the off chance that you are selling 5 courses consistently and the cost of one course is Rs. 500, then your each day pay will be Rs. 2500 (= 500 x 5) and each month will be Rs. 75000 (=25000 x 30).
• For this pay, you need to put forth no additional attempt as you have previously made the course.
• You could need to contribute Rs. 10000-25000 on showcasing or advanced advertising of the course.
• Be that as it may, the remainder of the Rs. 50,000 (= Rs. 75,000 - Rs. 25,000) will come in your pocket as benefit.
4. Affiliate Marketing
Today, individuals need to sell their items through subsidiary showcasing.
For instance:
• On the off chance that you have great information on shoes, you can make a blog and prescribe shoes to the perusers.
• Like, in your blog, you can perceive the perusers that a specific Nike shoe is great and furthermore give a connection to get it from Amazon.
• At the point when an individual purchases the Nike Shoes subsequent to clicking this connection, you will get an offer from this deal. For example, assuming the expense of the shoe is Rs. 6000 and you are guaranteed 10% for each purchase through your blog then you will get Rs. 600.
Hence, the more you suggest or instruct individuals about an item, the more will be your automated revenue.
Thus, subsidiary promoting is one of the most outstanding techniques wherein you suggest the result of different brands and create pay from it.
5. Independent Business [i.e freelance business]
• Assuming you're enthusiastic about something or great at something, you can list your administrations and their charges on sites like Upwork, Project4hire, Specialist, and so on.
• While involving such stages as a consultant, you ought to likewise put your tasks that you have effectively finished. Additionally, take criticism from clients on these tasks and offer it on the site with the goal that you get more ventures and your business becomes further.
6. YouTube Channel
Today, the YouTube channel is an extremely popular method for creating recurring, automated revenue.
In a YouTube channel, you can teach individuals about:
• Wellbeing and nourishment
• Finance
• Business
• Shoes
• Tea, and so forth
Subsequent to teaching individuals, you can acquire them your selling channel and can sell your courses or items or become an associate.
7. Internet business store [i.e ecommerce store]
You can make your own internet business store and the best stages for it are Shopify and WooCommerce.
On the off chance that you work on these two stages, you can make your own web based business site or entries.
Source your preferred results like crafted works, watches, or any item where you assume you have an edge and sell them on your internet business store.
Outsourcing
• You can likewise do outsourcing wherein the site will be yours yet the item will be of the maker.
• When you get a request from the client, you illuminate the producer, he conveys the item, you credit him the cash, and you will get an offer.
• In outsourcing, you don't need to keep a stock and there is no gamble.
• You simply need to bring the lead, convert it and pass it to the maker to finish the exchange.
8. Distributing [i.e publishing]
• You can undoubtedly distribute your digital book on Amazon assuming you are attached to composing and have extraordinary thoughts.
• You get the entire organization of Amazon to distribute your book.
• You can produce a decent automated revenue from this source as you can get a sovereignty of 25-30% on the digital books.
Key Note #4: Riches (Asset)- based Recurring, automated revenue - Models
1. Put resources into stocks
At the point when you put resources into stocks, you will get profits.
For instance:
• In the event that you contribute Rs. 10 lakhs in stocks/shares, then you can get a profit of Rs. 50,000-1 lakh in a year.
• A free pay doesn't need a lot of difficult work or exertion.
2. Interest pay
In the event that you have given a credit to somebody or put resources into a FD, bonds, or debentures, then these can give you great automated revenue.
For instance:
• At the point when organizations like Dependence and NHAI need reserves, they acquire their debentures the market and give month to month revenue on them.
• A few debentures/bonds are tax-exempt and give you 6-7% returns.
3. Income by means of property pay
• In India, pay from private property isn't generally so valuable when contrasted with business property like shops, workplaces, and stockrooms.
• Putting resources into such properties will give you a decent recurring, automated revenue through rental.
4. Turn into a business quiet accomplice
You can put a modest quantity of cash in a business and become its quiet accomplice. Along these lines, you are assisting the business with developing.
For instance:
•Individuals who contributed Rs. 1 lakh in Flipkart in its beginning phase took an exit with Rs. 100 crores following 13-14 years.
5. Rethink
• You can likewise take a gander at reevaluating organizations like BPO(Call Center) and Lawful Interaction Re-appropriating (LPO).
• In Lawful Cycle Reevaluating, you can do the legitimate documentation of organizations of far off nations.
6. Shared loaning
• Numerous sites elevate distributed loaning.
• In distributed loaning, individuals don't take the credit from the bank. All things considered, individuals present on a similar stage loan cash to one another.
• The stage takes its charges for the loaning and the interaction is finished.
• One of the instances of such stages is Prospero Loaning Club.
7. Bank ventures
• Bank has FD as an instrument of speculation.
• At the point when banks need to fund-raise from the market, it gives securities to its store holders at a little higher loan cost than the FD.
• For instance, on the off chance that the loan fee on FD is 6%, the bank will give the bond at 7%.
• This is likewise a sort of recurring, automated revenue wherein you don't need to do anything.
• The bank gives cash got by selling the securities as a credit, gather the cash from the borrowers, and give the cash back to you as premium.
8. Common asset speculations
• Shared reserves are a decent and safe method for developing your cash.
• In common assets, you get returns in view of the market rates.
• You can choose Taste (Precise Money growth strategy) and conclude the sum that you will store in it.
