How to Earn a Passive Income Online

You might have heard about the many people out there that earn a passive income online. And, you might even suffer from a touch of jealousy. After all, making money from doing nothing is a good way of making a living, right? Well, the truth is, the term ‘passive income’ is a little misleading. Sure, you get to earn money while you are asleep at night. But, there is a lot more work involved than you might think.

In today’s guide, we’re going to get you started on the road to earning a passive income online. We will talk you through everything you need to know and suggest some ideas for you to get started in the quickest possible time. As long as you are prepared to roll up your sleeves and work hard, you should be able to get the results you are looking for. Let’s get started right away.

Have a website idea

First of all, it’s important to have an idea of how you will make money online. And, it all starts with your thoughts for a website. You can approach this from a couple of angles. First of all, you can create a website about a subject you love. Perhaps you have a hobby or interest in a certain field in which you have some expertise. If you can write well, put all your ideas on paper and see if you can come up with a site idea that will be of genuine interest to people who enjoy similar hobbies.

The second idea is to become an expert in a field. As anyone who earns passive income online will tell you, there are certain topics that pay well. Take a look at the most searched for terms on the Internet and use those as inspiration. You can almost guarantee that if your blog is a good one, you will have the potential to earn a decent amount of cash.

Find a web host and domain name

The next step is to think of a domain name. Look at a service like Godaddy or 123-Reg and enter the domain name of your choice. You’ll need to buy the rights to the name, although your preference may not be available. If it isn’t, the service provider will offer you a few alternatives, so have a look at their list, or, think again for a different name. One thing to remember is that your domain name is vital if you want to give your SEO score a little boost. So, if you are writing about finance, for example, make sure that the term ‘finance’ is in your domain name.

Now, you can look into getting a web host. You can begin with a starter package but always look for a service that allows you to upgrade to a larger bandwidth. Once you start getting more visitors, you will need to up your bandwidth and disk space size. Avoid free web hosts wherever possible. They are OK for starting up a site, but they are poor quality, and your site will be full of distractions like ads – which you will make no money from.

Build your site

Now you can build your website. We would advise going with a simple content management system like WordPress to begin with. It is free of charge, and you can pick up plenty of free templates to use to kick things off. It is worth hiring a web developer if you have no coding skills, as they can help you create something that stands out.

At this stage, it’s also important to get up to speed on SEO – which we mentioned earlier. If you want a lot of traffic coming to your site and seeing your work, search engine optimization is vital. Seek out a web developer that understands SEO – or a specialist firm. It’s best to lay the groundwork at this early stage, as it can be difficult to fix later on.

Get writing

Now it’s time to get writing and add some content. This is your opportunity to shine, and tell the world all you know about your subject. Star by doing some basic keyword research on your chosen topic, and find out what people on the web are looking for. Use these keyword terms to prompt your ideas of what to write about – and also, take a look at the competition. Your content needs to be better than the rest if you want to rank high in the search engines and get more visitors.

Once you have fleshed out your site with some content, you can start some promotion tactics. Share your work on social media, and get to know some of the other bloggers in your industry or subject. Connect with people, and comment on their blogs, perhaps linking to them in your posts as examples.

Earn passive income online

Now, it’s time to make your site start paying you back for all your hard work. The best place to start is Google Adsense. It’s a simple platform that sets up relevant ads on your site and pays you every time a visitor clicks on them. Of course, the more traffic you have on a site, the more people will click through. You can also think about affiliate marketing, with Amazon, for example. Again, when visitors click on a product, you will get a commission if they decide to buy it.

There are other ways to earn from your site, too. Once it is popular, you can begin selling advertising space on your site. This is a lot more lucrative than using something like Google Adsense, and you get the chance to set your prices. You can also try things like selling an ebook from your site. You can either write something entirely fresh or just organize some of your best blog posts and promote it online.

And there you have it – you are up and running, earning a passive income online. It might not be much to begin with, and you will have to keep your blog updated and looking fresh. But, the more visitors that arrive on your blog, the more potential you have of turning them into an income stream. It’s a lot of work – don’t ever forget that. It will pay off for you, though – as it has for many others in the past decade or so.

Elizabeth Goldman is the editor of She has written for, and many others.