Passive income is earnings derived from an enterprise in which a person is not actively involved. It includes anything from blogging to property management to creating a mobile app. It does not include salary, portfolio or investment income. The effort is front-loaded, and then the money comes.

The benefit of passive income is that your earnings aren’t directly tied to the hours you work. This means you can work your full-time job, be a stay at home parent, or do whatever it is you do — while enjoying extra income on the side with little to no effort.

One of the most common passive income streams of modern times is blogging. While it’s true you have to put in an initial amount of work, there are many blog types you can use for passive income. Blogs that include sales and affiliate links are a good example. 

Yet building a successful blog relies on things like SEO, link building and establishing authority. But don’t worry, there are many services that can help you out. FATJOE is one of those services that specializes in link building for authority via pitching on HARO for example.

Since over half of the world’s millionaires have at least three streams of income, passive income is a must on the path to true financial independence. As Warren Buffett once said, “If you don’t find a way to make money while you sleep, you will work until you die.”

Is your interest peaked? This infographic from Lexington Law gives examples of different passive income streams based on how much money and time you’re willing to invest.