21 Best Passive Income Ideas for Beginners

Last Updated on April 3, 2025 by Katie

Having a diverse portfolio of income streams is the key to financial freedom! And today, we will explore the best passive income ideas for beginners that will boost your income quickly.

I remember the first few dollars of passive income I made from my blog!

It was a momentous occasion and opened my eyes to how great it was to have money flowing into my bank account even when I was sleeping.

Since then, I have been inspired to build more passive income streams and I want to help you do the same!

With today’s uncertain world, a job is never secure, so it’ll pay to build different income streams so if you get made redundant, you aren’t left wthout.

Sound good?

Let’s take a look at the best passive income streams for beginners.

Number 5 makes me up to $1,500 a month!

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Best Passive Income Ideas for Beginners

Passive income refers to money that is earned with minimal ongoing effort.

So, you will need to put the work in upfront, but will keep earning, even when you are not physically doing any work.

This means you can go on holiday or go to the shops and you can still earn money!

Take a look at some recommended passive income ideas for beginners.

1: Write and Publish an E-Book

Writing an e-book is a simple and fun way to earn passive income.

Have a think about what skills and knowledge you have and this information can be turned into an eBook to help others.

Popular topics include self-help, fiction, make money online, marketing, business guides, cooking, tech guides and more.

You could earn anywhere from a few dollars to thousands per month, depending on the niche and marketing efforts.

Follow these steps to get started:

• Choose a compelling topic
• Write and format your e-book
• Design an attractive cover
• Publish on platforms like Amazon Kindle
• Promote through social media and blogs

Further reading: How to write eBooks for passive income.

2: Sell Digital Downloads on Etsy

Selling digital downloads on Etsy is an excellent way to earn passive income with minimal upfront costs.

It’s easy to start an Etsy shop with no money and you can use simple marketing strategies to boost your sales.

A few ideas for products to create include art prints, digital templates, digital planners or stickers.

Monthly earnings vary, depending on what you sell and how well you market your store, but some sellers make $500 to $1,000 or more monthly.

Follow these steps to get started:

• Identify your niche or product idea
• Create high-quality digital items
• Set up your Etsy shop
• List your digital products
• Promote your shop through social media

3: Create a YouTube Channel

Starting a YouTube channel is one of the best passive income ideas for beginners that can be hugely profitable.

It’s accessible and requires little initial investment, and you can even start a faceless YouTube channel to make money without showing your face.

Popular channel ideas include health, fitness, cooking, vlogging, travel, finance, top 10, horror, interesting facts and more.

You can monetize your channel through ad revenue, sponsorships, and affiliate marketing and with dedication, you might earn $100 to $5,000+ a month.

How to get started:

• Choose a niche you enjoy
• Create and upload quality content regularly
• Enable monetization through YouTube’s Partner Program
• Respond to comments
• Promote your channel
• Use affiliate marketing and sponsorships to make more money

4: Create an Online Course

Making passive income selling courses is possible for anyone, as you can share your expertise with a global audience.

This method is ideal for beginners due to its low-cost entry and scalability and you don’t need to be a video editor to create simple course videos.

Earnings can range from a few hundred to several thousand dollars per month with dedication.

Potential course topics include personal finance, photography, social media marketing, business tips, graphic design, video creation, language learning and much more.

Follow these steps to get started:

• Identify your area of expertise
• Research demand for your topic
• Choose a platform (e.g., Udemy, Teachable)
• Develop course content and materials
• Promote your course online

5: Start a Blog

Starting a blog is one of the top passive income ideas for beginners that can make a huge amount of money.

Firstly, start by choosing a blog topic that you enjoy and have knowledge about. You will have to create a lot of content, so it needs to interest you.

Next, find a platform to host your blog. I use Hostinger, which is incredibly cheap and they have excellent customer service. You can even use their free AI website creation tool to help build your blog!

Once you’re set up, create content weekly and promote it across your social media to drive traffic.

Income can vary, with some bloggers making a few hundred to several thousand dollars a month through ads, sponsored posts, or affiliate links.

Overviewof the steps to get started:

• Choose a niche
• Select a blogging platform
• Create quality content regularly
• Promote your blog through social media
• Monetize with ads or affiliate links

6: Sell Photography Online

If you have a keen eye for taking photos, selling photography online is an ideal way to earn passive income.

Popular platforms like Shutterstock, Adobe Stock, and iStock allow you to license your photos to customers.

Take the time to build up your portfolio and a good idea is to stick to one niche like nature, business, or travel and become known for that.

Earnings can range from $100 to thousands a month once you build a name for yourself.

You can start with these steps:

• Capture high-quality images
• Build a portfolio
• Choose the right platform
• Follow platform guidelines
• Upload and tag photos effectively
• Boost income by selling photography courses or blogging

Further reading: 17 ways to get paid to take pictures with your phone.

7: Sell T-Shirts Through Printify (POD)

It’s possible to sell t-shirts on Etsy using Printify, which is called Print on Demand (POD).

This basically means you create and upload your designs and Printify takes care of  printing and delivery when an order is made.

This is what makes it a great passive income stream, as once you’ve created the designs, you can be hands off and earn money from sales, years after you’ve done the work.

Take a look at the Megan Heckman success story for inspiration – she built her POD business between working shifts at a hospital.

To get started:

• Sign up on Printify
• Create your Etsy store
• Link the two accounts
• Create unique t-shirt designs
• List products on platforms like Etsy
• Use social media to promote your store

8: Sell Canva Templates

Selling Canva templates is a brilliant way to make side hustle cash from home.

This idea involves creating customizable digital designs that others can purchase and use.

Many people are willing to pay for professionally designed templates to save time and effort.

A few ideas include creating Pinterest pin packages, digital resumes, logos, social media banners, eBook covers and more.

How to get started:

• Sign up for a Canva account (it’s free to start)
• Research popular template styles on platforms like Etsy
• Create your own unique templates
• List and sell them on marketplaces such as Etsy or Fiverr

Further reading: 17 simple ways to make money with Canva.

9: Join Peer-to-Peer Lending Platforms

Peer-to-peer lending is a great way to earn passive income by lending money directly to individuals or small businesses.

This allows people to borrow money without going through banks.

However, it is a passive income idea that has risk. So to mitigate the risks, it’s a good idea to lend small amounts to many people, rather than one large amount to one person.

It’s possible to earn returns ranging from 4% to 10% per year.

A few sites to explore for P2P ending include:

10: Buy a Vending Machine

Investing in vending machines is a great passive income idea, but, you will need a vehicle to transport them.

It’s possible to find second-hand vending machines online and once you have one, you’ll need to visit business premises to secure a spot for them.

Ideas include placing your machine in a shopping mall, in fitness spaces, in a local business or in a community hall.

Earnings will vary, but a well-placed machine could earn hundreds each month.

To succeed, you will need to keep the machine working and keep stock filled up and fresh.

Overview of the steps to get started:

• Research potential locations
• Get approval from a business to place your machine
• Purchase or lease a vending machine
• Stock with popular items
• Maintain regularly for upkeep

11: Rent Out Your Car

It’s possible to make passive income by turning your car into a mobile billboard.

Many platforms will wrap your car with adverts from local businesses and you just have to sign up to get started.

However, it’s important to remember that this will only work if you drive for a good amount of hours a day.

Check out these sites to earn from ads on your car:

12: Open a High-Yield Savings Account

Opening a high-yield savings account is one of the simplest passive income options for beginners.

These accounts offer higher interest rates compared to traditional savings accounts, allowing your savings to grow more significantly over time.

To get started, all you need to do is shop around for a savings account with the highest interest. Banks are always trying to outdo their competitors to draw new savers in.

Follow these steps:

• Research banks offering high yields
• Compare interest rates
• Open an account online or in person
• Deposit your funds

13: Invest in Crowfunded Real Estate

Crowdfunded real estate investments are an affordable way to invest in property when you can’t afford a home on your own.

Investments are made with Real Estate Investment Trusts (REITS), which are companies that own and manage multiple properties.

By signing up with a REIT you can purchase shares and earn part of the profits, alongside many others.

A few popular REIT companies to check out include:

14: Start Affiliate Marketing

You can start affiliate marketing with no money and earn passive income pretty quickly with persistence.

Good places to start affiliate marketing without a blog include Twitter (X) and Pinterest.

These platforms have ready made audiences and you can post helpful content and eventually affiliate links to products that will solve problems.

You receive a commission for every sale made through your referral links and you can earn between $50 and hundreds a day over time.

Follow these steps to get started:

• Choose a niche you’re passionate about
• Research affiliate programs in your niche
• Create content that promotes your chosen products
• Share your content on platforms where your audience is active

Further reading: How to start affiliate marketing without a website.

15: Rental Arbitrage

Rental arbitrage involves renting a property on a long-term basis and then listing it on short-term rental platforms like Airbnb.

This method is appealing as you can start an Airbnb business without owning a house, which is much more affordable.

As a beginner, you could earn a few hundred to several thousand dollars monthly, depending on location and demand.

For example, if you list an apartment for rent in New York, next to the subway, this should provide excellent rental profits as it will always be in demand for tourists.

Follow these steps to get started:

• Research rental markets
• Negotiate with property owners
• Comply with local regulations
• Optimize your listing

16: Create a Helpful App

Creating an app can be a promising way to generate passive income.

However, you will need app design skills or, if you have the cash, you can hire an app developer online.

This is the prime example of having to put work in up front, before you get to the earning stage, as it may take some time to develop and market.

With a variety of niches available, such as language learning or gaming, it’s a great option for beginners.

You could potentially earn anywhere from a few hundred to several thousand dollars a month, depending on your app’s appeal and monetization strategy.

Follow these steps to get going:

• Identify a need in the market
• Learn the basics of app development
• Or, hire an app developer on Fiverr
• Choose a monetization strategy—ads, in-app purchases, or subscriptions
• Launch and promote your app effectively

17: Start an Online Store with Shopify

Launching an online store with Shopify is an excellent side hustle for beginners that can make a lot of money.

It’s user-friendly, allowing you to create a professional eCommerce site without technical skills – the Shopify platform will guide you through all the steps and even offer free templates.

You can sell anything, but a few of the most successful Shopify stores are in niches such as fashion, clothing, gadgets, jewellery, beauty, wellness, food and drink and home decor.

Follow these steps to get started:

• Sign up for a Shopify account
• Choose a unique store name
• Select a theme and customize your store
• Add your products and set prices
• Launch and market your store effectively

18: Flip Old Clothes Online

Flipping old clothes online is a great way to declutter and make extra cash in the process.

You can start by sourcing second-hand clothes from thrift stores, garage sales, or your own closet.

Next, research the best sites to sell used clothes online, such as ThredUp, PoshMark or Vinted to list your items.

Earnings can range from $100 to $500 monthly, depending on your effort and how much stuff you have to sell.

Follow these steps:

• Find quality clothes to flip
• Research pricing trends
• Take clear photos for listings
• Write detailed descriptions
• List on multiple platforms

19: Rent Out Equipment on Fat Llama

Renting out unused items in your home on Fat Llama is one of the best ways to earn passive income for beginners.

A few ideas for items that rent well include camera equipment,  musical instruments, lawn mowers, laptops, golf clubs and much more.

This platform allows you to easily find people in your area that need stuff and everyone is verified and the items are insured, so you can be rest assured you are protected.

Potential earnings range from $1000 to $500 per month, depending on demand and item type, with some items renting for $50 a day!

Follow these steps:

• Sign up on Fat Llama
• List your items with clear photos and descriptions
• Set competitive rental prices
• Arrange item pick-up or delivery with renters

20: Complete Easy Tasks on Passive Income Apps

Earning passive income through apps is straightforward and great for beginners.

Using these apps, you can carry out simple tasks to make money, such as taking surveys, clicking ads, sharing your browsing data, redeeming offers and more.

While this isn’t exactly passive, the jobs are extremely easy and fun, so it doesn’t feel like work.

Start with these steps:

• Download a passive income app
• Sign up and create a profile
• Complete available tasks regularly
• Download your cash each week

Further reading: 28 highest paying passive income apps.

21: Create a Subscription Box Service

Starting a subscription box service involves curating and sending themed products regularly to subscribers.

It’s one of the best passive income ideas for beginners due to its manageable setup and possible high profit margins.

A few subscription box business ideas include pet items, DIY and crafts, food, self-care kits, books, fitness, films and more.

Once you have your idea, you will need to spend a good amount of time promoting your service on social media.

But once you start getting repeat customers, you’ll be earning passive income on autopilot.

Follow these steps:

• Research target audience and niche
• Source products and negotiate deals
• Set subscription pricing
• Launch an engaging website
• Promote on social media platforms

Final Thoughts on the Best Passive Income Ideas for Beginners

As you can see, there are many passive income ideas for beginners.

Choose one to start that resonates with your skills, passions and financial needs.

For example, I chose to start a blog as I am a freelance writer, so writing is one of my strengths.

But, be aware that passive income streams need consistent work to get to the profit stage and you can’t expect to be earning in a few weeks.

Give it time and stay consistent, and your passive income stream could grow into something life-changing!

Further reading:

Check out these automated business ideas to make money while you sleep.

Summary

Article Name

21 Best Passive Income Ideas for Beginners to Boost Your Daily Income

Description

21 Best Passive Income Ideas for Beginners to Boost Your Daily Income.

Author

Katie Lamb

Publisher Name

Remote Work Rebels

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