Although renting out your room or home can also be a side hustle to make extra cash, it's also a great source of passive income. However, another route to go is to get an income property just for the purpose of renting it out. This is even better if you live in a touristy area, because you can probably make even more than usual during the high tourist seasons.
“Start-up time” required: Poor – Experienced niche site builders will be well versed with outsourcing certain tasks and running through the whole process very efficiently, but when you first start out, it can take a long time to earn your first dollar from a niche site. Doing research, designing the site, writing content, and doing proper SEO work can all be very time consuming, and the payoff isn’t always something you can rely on.
Why did P2P lending get a liquidity ranking of 6? It is quite possibly the most illiquid investment option you listed. You said you rank liquidity by “difficulty level of withdrawing your money without a massive penalty”, and for Lending Club notes, it’s not only difficult and extremely time consuming to sell all of your notes in their super illiquid market, but you would have to sell your notes at large losses to hope to get others interested in buying your notes. On top of that, it is impossible to withdraw your money any other way other than just waiting for interest/principal to pay off every month until maturity in 3 to 5 years. You can’t just one day tell Lending Club “I want to quit, please give me my money back.” One can even argue that it is less difficult to sell a home (in order to “withdraw” the money invested) than to withdraw all of their money from a P2P loan portfolio because it is very possible to sell a home before 3 to 5 years.
I’ve built several businesses since 2008 using one or more of these models. I’ve been featured in magazines and articles across the globe, and since I started my journey I’ve generated over $5M in earnings from these businesses. All of my income and expenses for those businesses dating back to October 2008 have been tracked publicly on SPI.com. You can see 10 years of income reports here.
Whoah – I haven’t read an entire post this long in awhile. That’s how hooked I was. It took me 5 income streams before I became a Millionaire. I now have 11 and it’s fascinating to see which ones are now generating the highest ROI 5 years in. My side digital marketing business is by far my most profitable, but also requires the most of my time. I have finally started automating 4 of these streams (websites I bought) and it feels great to make money not doing anything – well I do have to make sure that my credit card doesn’t expire on my hosting account! I really like your blog – just found it on the Rockstar Forum. I’ve added it to my regular readers. Looks like your crushing Pinterest – where do you make your images?
Wages received for services rendered inside the territorial limits of the United States, as well as wages of an alien seaman earned on a voyage along the coast of the United States, are regarded as from sources in the United States. Wages or salaries for personal services performed in a mine or on an oil or gas well located or being developed on the continental shelf of the United States are treated as from sources in the United States.
Quick question. I’m 21 years old and currently working full time (50 hours a week averaging about 12 dollars an hour. I was working 35 making enough to get by and save a little, but I read your post on the notion of working more than 40 to get ahead and decided a third job was best while I’m getting residency to get lower- instate tuition at OSU. So props, you had a direct influence on my life.)
However, this comes back to the old discussion of pain versus pleasure. We will always do more to avoid pain than we will to gain pleasure. When our backs are against the wall, we act. When they're not, we relax. The truth is that the pain-versus-pleasure paradigm only operates in the short term. We'll only avoid pain in the here and now. Often not in the long term.
Retirees are paying a high price as the world stimulates its way out of the GFC (Great Recession). After a 30-year bull market to the lowest interest rates the world has ever seen, bonds have become highly priced and now don’t generate enough to meet income needs. Just 5 years ago the average income from $100,000 invested in a 10 year Australian Government Bond (10yrs) was $5,600 p.a. – now it’s less than half at $2,600 p.a.