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Robert Kiyosaki’s 5 Passive Income Ideas
Collect Royalties From Intellectual Property
If you’re a writer or musical artist, for example, you could collect royalties from the sale of your intellectual property such as a book or album. Each time a book is sold or your song is streamed online, you’ll earn a percentage of the sale. While it takes time and effort to create something at first, you can earn passive income from the repeat sales of your work.
Peer-to-Reer Lending
Rather than parking your cash in a high-yield savings account or certificate of deposit, you can earn a passive income through peer-to-peer lending. You’ll lend your money to small businesses or individuals looking for capital in exchange for interest payments. Keep in mind that peer-to-peer lending can come with risks so be discerning when choosing the right platform and businesses to lend your money out to.
Create a Business That Operates Without You
This may seem counterintuitive, but setting up a business that can operate without your involvement can mean lots of passive income. By hiring the right individuals, setting up the right systems, and automating as many processes as possible, you can work on growing the business and not spend time working in the business.
Buy Annuities
An annuity is a type of agreement where you pay an insurance company in exchange for periodic payments of a determined amount of money for a specified period. There are immediate, deferred and variable types of annuities that offer payments at different times. Annuities can sometimes offer high returns but be aware that they also come with risk since the payouts are determined by the performance of the underlying assets that the insurance company buys with your money.
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