Passive income strategies – you’ve heard about them, but how much do you know about it?
Is it really possible to make money while you sleep, take care of the kids, or watch Netflix?
If it sounds too good to be true, you may have the wrong end of the stick. Yes, passive income is entirely possible, but it’s not all a walk in the park. You will have to do a bit of work to be successful. But once you start, it can help you on the road to financial freedom.
If you are looking for a mama-friendly way to make extra money, you need to know about passive income! Let's read on to get the low-down!
What Are Passive Income Strategies?
First, let’s talk about the kind of income you are most familiar with – the type of income we are all taught to pursue.
Active income is the standard earning model where we exchange our time for money. Whether you are commuting to a job every day or providing services from home. An active income requires you to show up and do the work to get paid.
A passive income strategy is where you earn money for work that has already been completed or work that requires minimal effort from you day today.
Although you may get to the point where your passive income strategies allow you to be almost completely absent from your endeavour and still earn money, there is usually some kind of work involved.
However, the effort is generally minimal and flexible. Your passive income stream can survive without you if you need to take some time off for whatever reason.
Why Do You Need passive income as a mum?
Many mums struggle with traditional income models. It’s hard for us to juggle our responsibilities at home (and our energy levels!). Especially with a job that requires our presence.
Even part-time jobs can be a struggle. This is because we have to arrange our lives around them. Because if we don’t show up, we don’t get paid.
The same goes for careers where we work from home. Even though we may be home with the kids, we still have to find the time to work to ensure we get paid.
Not fun, right! That’s why passive income strategies are so fantastic.
Although you’re going to need to do the initial work to get your passive income up and running. Once it is, you have so much more freedom and flexibility.
With passive income, you can plan work commitments around your life, not the other way around.
The Impact Of Passive Income on motherhood
Your stress levels can drop dramatically when you are not constantly pulled between being a mum and earning money. Particularly if you can do both at the same time.
You can work as little or as much as you like. Maybe when your kids are small and require more time and energy, you keep your passive income business manageable. Therefore receiving extra money to provide financial stability.
Then, when the kids grow up and you have more time on your hands, you can scale up.
How To Build Passive Income Strategies
There are a vast array of ways to make a passive income. Some of them require a substantial initial financial investment (like buying a rental), while others can be started for almost nothing.
Some may take a lot of time to set up, and others may be less time-intensive. It all depends on what suits your lifestyle.
Investing in real estate or stocks is a popular way to build passive income. However these methods require a significant upfront investment, so they won’t suit everyone. You would also need to do a lot of research to ensure you invest wisely.
I'm guessing you probably don't have massive amounts of money, to begin with. But the beauty of kicking of a passive income stream is that even if you have minimal time or energy to invest at the beginning, you can still build something that provides for you and your family for years to come.
Here are some passive income strategies perfect for mamas:
- Starting a website, blog, or YouTube channel with the aim of monetising it
- Selling digital products such as e-books or online courses
- Renting out a room in your home
- Renting out useful items (i.e. a trailer, kayak, campervan, or specialised equipment)
There you have it, the basics of passive income strategies. The ideal way to build financial freedom and find the precious work/life balance that works for you.
Of course, these ideas are just the tip of the iceberg! You may have skills or expertise that allow you to build other forms of passive income. Really, the sky is the limit!
If you are looking for more support and advice on this topic, then grab my free guide to motherhood friendly leveraged income.