7 Best Passive Income Streams 2021

by | Jun 20, 2021 | Make Money Online

Passive income is simply a way to make money in your sleep. I didn’t know much about it and found it purely by accident during the covid quarantine period. First I started as a freelancer on Fiverr (I still take orders there for custom branding by the way) , but It was a bit hectic to make all the orders in a given time. I wanted to do something in which I could make one product and sell it over and over again. In that way that product acted as my source of passive income and I could make money from home. 

This was when I decided to put my efforts to a new passion project – learning how to make money online. I loved the idea of making money freely without tiring myself 24/7 and relying on one income source. It wasn’t an easy journey but when done correct and given time, it turned out to be one of the best decisions of my life.

Today I will be sharing with you 7 passive income streams and passive income ideas that are proven to be successful in 2021. 

What Is Passive Income?

Passive income includes regular earnings from a source other than an employer or contractor. The person invloved does not have to actively work to generate the income, instead it flows passively. 

By contrast, active income is money earned in exchange for performing a service. Passive income, by its definition, doesn’t require active work after a certain point. 

Like every other work, passive income does require energy and hardwork at the start but when done right, you will reach a point where you will no longer have to work more and the income starts coming on it’s own, with little to no effort on your part.

7 Best Passive Income Ideas for 2021 

Here is a list of highly profitable passive income ideas. All you need to get started is a computer and a good internet connection. And maybe a few months of hardwork! 


Blogs are the perfect passive income source for writers or those with a passion or hobby of writing.

Your blog becomes a passive income stream through displaying ads, affiliate marketing, and/or digital product sales. For earning money through blogging however, you would have to pay a lot of attention to blog SEO ( Search Engine Optimisation). It is one of the main factor that ranks your blog in search engines. Once your blog starts getting high ranking in search engines, big companies may even reach out to you for partnership. 

To start your blog: 

• Narrow down the perfect niche for your blog. 

• Choose a webhost (e.g hostinger) 

• Choose a blogging platform (e.g wordpress) 

• Pick a domain name (Example: ayeshadesign.com ) 

• Design your blog, write content, and promote through social media

Digital Products/Downloads

In it’s most simple definition, a digital download just means that you click on a link from your computer, and you’ll be able to transfer everything from the seller’s computers to yours. 

There are many platforms where you can sell digital products, however you might want to hire a graphic designer to make those for you or you could learn graphic design yourself.

Here are some websites where you can start to sell digital product

With digital downloads you produce single downloadable product. Printable checklists, planners and downloadable spreadsheets, social media templates are all viable options for digital downloads. 

Canva is a great place to design your digital products.

Affiliate Marketing

Affiliate marketing consists of you promoting a retailer’s products and getting paid a commission for each sale that is made. This is an easy form of passive income because you simply promote someone else’s product and get paid. 

Some places to promote your affiliate links are through social media, email marketing, a YouTube channel, podcast, or blog. The key here is truthfulness and authenticity. The moment you make a fake review or give unauthenticated review of a product is the moment your viewers lose their trust on you. 

Some of the best platforms are amazon associate and share a sale. 

Online Course

Creating a course is a great option to generate passive income. You just need to have a specific skill and a great way to deliver the teachings to your potential students.

You can sell your course either on your own website or on a third party website.
If you sell the course on your own website, you get 100% profit but  you have to drive traffic to your website.if you use a 3rd party website such as udemy, finding customers will be easy but you won’t get as much profit. 

YouTube Channel

YouTube has become a great source of passive income for many lucky people. However, It also requires the most effort and hard work as compared to the rest of the sources. One other downfall to starting a YouTube channel is that you’re not sure if it will generate you a good amount of income as YouTube ctr varies from region to region.

Once you understand YouTube SEO and start producing quality content that your viewers like to watch, you can also possibly quit your day job.


Dropshipping is where you manage an online retail store and use a third-party supplier to fulfill the order.The biggest difference between dropshipping and the standard retail model is that the seller doesn’t stock or own inventory.

Without the need for stocking inventory, it’s possible to start a successful dropshipping business with little costs. 

Stock Market 

The most easiest way to earn passive income is probably stock market. This type of passive income is driven by capital gains or dividends.

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Hey there, I´m Ayesha

Ayesha Design is a creative design studio, created to help grow your business by creating beautiful brand identities and templates that help you have an impactful business! We are highly passionate about helping creative entrepreneurs turn their dream brand into reality.