• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

The College Investor

Student Loans, Investing, Building Wealth

  • About
  • Podcast
  • Research
  • Contact
  • Save For College
      • How To Start

      • How To Save For College
      • How To Pay For College
      • What Is the Average Cost of College?
      • What Is A 529 Plan and Where to Open One in Your State
      • How Much Should You Have In A 529 Plan By Age
      • How To Use A 529 Plan For Private Elementary And High School
      • What Are Qualified Expenses For A 529 Plan (And What Doesn’t Count)?
      • The Best Brokers To Open A 529 Plan
      • Tools + Accounts

      • 529 Plans: The Ultimate College Savings Plan
      • 529 Plan Contribution Limits
      • Prepaid Tuition Plans | What To Know
      • Understanding And Using 529A ABLE Accounts
      • Using A Roth IRA To Save And Pay For College
      • FAFSA Deadlines for Financial Aid
      • CollegeBacker Review
      • Upromise Review
      • UNest Review
      • Other Options

      • Student Loan And Financial Aid Programs By State
      • The Guide To Military And VA Education Benefits
      • How To Fill Out The FAFSA
      • How To Find College Scholarships
      • The Best College Scholarship Search Websites
      • How To Find Grants To Pay For College
      • Pell Grants: What They Are And How To Qualify
      • Understanding Federal Work-Study
      • How To Use A 529 Plan If Your Child Doesn’t Go To College
  • Student Loans
      • Borrowing

        • How Student Loans Work
        • How To Apply For A Student Loan
        • How To Find The Best Student Loans And Rates
        • Best Private Student Loans Of May 2022
        • Best Student Loans To Pay For Graduate School
        • Best Student Loans To Pay For Medical School
        • Parent Loans To Pay For College
        • No-Cosigner Student Loan Options
        • Guide To Income Sharing Agreements (ISAs)
        • Best International Student Loans
      • Get Out Of Debt

        • Best Places To Refinance Student Loans In May 2022
        • Best Student Loan Repayment Plans
        • Best Student Loan Refinancing Bonuses And Promotional Offers
        • Student Loan Forgiveness Programs (The Complete List)
        • The Full List Of Student Loan Forgiveness Programs By State
        • Public Service Loan Forgiveness (PSLF)
        • Top Student Loan Scams
        • Average Student Loan Monthly Payment
        • Average Student Loan Debt By Year
      • Reviews

        • Credible Review
        • Splash Review
        • Ascent Review
        • Citizens Bank Review
        • Commonbond Review
        • Earnest Review
        • ELFI Review
        • Laurel Road Review
        • LendKey Review
        • SoFi Review
  • Investing
      • How To Start

        • How To Start Investing in High School
        • How To Start Investing In College
        • How To Start Investing In Your Twenties For 22 – 29 Year Olds
        • How To Start Investing In Your 30s For 30 – 39 Year Olds
        • How To Start Investing With $100 Or Less
        • How To Give Kids The Gift Of Stock
        • What Is Dividend Growth Investing
        • IRA Rollover Chart
      • Tools + Accounts

        • Best Online Stock Brokers
        • The Best Traditional And Roth IRA Accounts
        • The Best Robo-Advisors
        • The Best Investing Apps
        • The Best Places to Trade Options
        • The Best Places To Open A Health Savings Account
        • The Best Solo 401k Providers
        • The Best Self-Directed IRA Providers
        • Best Cryptocurrency Exchanges
      • Reviews

        • Vanguard Review
        • Fidelity Review 2022: Still One Of The Best Online Brokers
        • M1 Finance Review
        • TD Ameritrade Review
        • Charles Schwab Review
        • Robinhood Review
        • Webull Review
        • Betterment Review
        • Wealthfront Review
  • Earn More Money
      • Extra Income

        • 15 Best Side Hustles You Can Start Earning With Now
        • Side Hustle Ideas: 50+ Ways To Make Money Fast
        • 100+ Real And Honest Ways To Make Money In College
        • 80 Ways To Make Money From Home (In Your Pajamas)
        • 5 Quick Money Making Ideas (That Take Less Than 1 Hour)
        • 10 Interesting Ways You Can Make Money Driving
        • High-Paying Side Gigs That Earn $1,000 or More Per Month
        • The 10 Best Money-Making Apps
        • Paid Surveys: Earn Money For Giving Your Opinion Online
        • 10 Crazy Ways To Make $10,000 You’ve Never Heard Of
      • Build Wealth

        • 35 Passive Income Ideas You Can Use to Build Real Wealth
        • 3 Ways To Make $50,000 Per Year Without Working With Passive Income
        • How To Become A Real Estate Investor With Just $500
        • 15 Best Online Business Ideas
        • How to Create Streams of Passive Income on a Limited Budget
        • Residual Income: 7 Super Smart Ways to Build It
        • The Most Common Multiple Income Streams
        • How To Become A Real Estate Mogul With Only $10,000
      • Reviews

        • Fundrise Review
        • RealtyMogul Review
        • FarmTogether Review
        • AcreTrader Review
        • Swagbucks Review
        • Survey Junkie Review
        • TopCashback Review
        • DoorDash Review
  • Personal Finance
      • Banking

        • Best High Yield Savings Accounts Of May 2022
        • Best Money Market Accounts Of May 2022
        • 10 Best Free Checking Accounts In May 2022
        • The Best Bank CD Rates Of May 2022
        • 10 Best Business Checking Accounts In May 2022
        • The Best Online Banks Of May 2022
        • 5 Best Credit Unions Nationwide of May 2022
        • Best College Student Checking Accounts In May 2022
      • Insurance

        • Best Life Insurance Companies
        • Renters Insurance
        • Car Insurance
        • Pet Insurance
        • Umbrella Insurance
        • Disability Insurance
        • Tuition Insurance
        • Travel Insurance
      • Credit Tools

        • Best Budgeting Apps
        • Cash Advance Apps
        • How To Get A Free Credit Score Report
        • The Best Credit Monitoring Services
        • Debt Settlement: Inside The Secret World
        • Credit Repair Explained: Should You Pay For Help?
        • Best Personal Loan Companies And Lenders
        • Online Loan Companies To Borrow From Home
      • Tax

        • Best Tax Software
        • Free Tax Software
        • IRS Tax Refund Calendar
        • Common IRS Questions and Errors
        • Federal Tax Brackets
        • Capital Gains Tax Brackets
        • 401k Contribution Limits
        • IRA Contribution Limits
        • HSA Contribution Limits
  • Forum
  • Search
Home » Earn » Entrepreneurship » 3 Ways To Make $50,000 Per Year Without Working With Passive Income

3 Ways To Make $50,000 Per Year Without Working With Passive Income

Updated: September 14, 2021 By Robert Farrington

Tweet
Share2K
Share
Pin10K
Email

At The College Investor, we want to help you navigate your finances. To do this, many or all of the products featured here may be from our partners. This doesn’t influence our evaluations or reviews. Our opinions are our own. Learn more here.Advertiser Disclosure

There are thousands of financial products and services out there, and we believe in helping you understand which is best for you, how it works, and will it actually help you achieve your financial goals. We're proud of our content and guidance, and the information we provide is objective, independent, and free.

But we do have to make money to pay our team and keep this website running! Our partners compensate us. TheCollegeInvestor.com has an advertising relationship with some or all of the offers included on this page, which may impact how, where, and in what order products and services may appear. The College Investor does not include all companies or offers available in the marketplace. And our partners can never pay us to guarantee favorable reviews (or even pay for a review of their product to begin with).

For more information and a complete list of our advertising partners, please check out our full Advertising Disclosure. TheCollegeInvestor.com strives to keep its information accurate and up to date. The information in our reviews could be different from what you find when visiting a financial institution, service provider or a specific product's website. All products and services are presented without warranty.

Make $50,000 Per Year Without Working

Can you imagine a life where you didn’t have to work every day? Instead of needing to work you could work because you wanted to or, you could choose not to work because you wanted to. How? By building a passive income that allows you to make $50,000 per year without working!

Conventional wisdom tells you that the path you’re supposed to live looks like this:

  • Go to college
  • Get a Good Job
  • Get Married
  • Take out a loan for school, your wedding, a car, furniture, a house
  • Work hard for 30+ years to pay off all the debt you accumulated
  • Maybe you’ll have enough to retire and then again, maybe not

The truth is that there IS another way to live. You don’t have to go the traditional route. After all, you are the one in control of your life. You can do anything you want.

Isn’t that a freeing thought? To know that you’re in the driver’s seat of your own life? For me it is.

One thing that has been on my mind a lot, and that I have begun to work toward, is creating passive income so that my limited time isn’t constantly being exchanged for money. And because I’ve always had a fascination with passive income I’ve really been drilling down on it lately and not only learning more, but taking action.

I think most people could happily live on $50,000 per year (provided they had no debt) so I thought it would be a good idea for you and I to explore some ways to make $50,000 per year without working.

Note: This article isn't some fluffy thought about never working and simply earning money. This article focuses on potential investment strategies that could net you $50,000 in residual income. It's not an overnight thing - it's a mindset and strategy to build wealth.

First, let’s go over how this whole thing works.

Table of Contents
Front Load Your Life
Own 10 Rental Properties that Net You $420 Per Month Each
Accrue $1,250,000 Worth of Dividend Stocks with a 4% Yield
Invest In A Business
You Need Time or Money to Get Started

Front Load Your Life

The entire process starts with my my favorite financial hack - front loading your life.

Front loading your life is working hard now so that you don’t have to work so hard later. It’s kind of like making a snowball. At first you’re packing the snow and rolling the ball around to make it bigger. After a little work your ball starts to roll down a hill and gets bigger and bigger and bigger, all on its own.

At this point the momentum of the snow ball rolling starts to work in your favor.

That’s what front loading is all about. And that my friends, is exactly how you can earn $50,000 per year without working.

You have to work hard upfront and then in anywhere from 10-30 years (depending on how much you invest and how smart you are about the way you invest) you’ll earn a good amount of passive income.

Here are just a few ideas for earning $50k per year without working.

Own 10 Rental Properties that Net You $420 Per Month Each

Ten rentals properties that provided you a net income of $420 per month after figuring in things like vacancies, maintenance, repairs, property management, taxes, and insurance would bring you in $50,400 per year.

Depending on the locations and types of properties you have, it may take more or less properties for you to reach that $50k per year mark.

If rental properties are something you’d like to get into I’d highly suggest that you start doing learning now. Real estate is something that has always interested me and from my research it seems like everyone has different goals and different criteria for how they choose their investments.

That means you’ll need to create your own path and consider your risk tolerance to reach your particular goals.

How To Become A Real Estate Investor

Your parents and grandparents think in order to invest in real estate you need to come up with the money and buy something on your own, right?

They are so wrong. In 2012 Congress passed the JOBS Act which allowed companies to market private investments to the public for the first time. This resulted in a brilliant new industry called real estate crowdfunding.

What real estate crowdfunding companies do is allow investors like you and me to pool our funds and buy multi-million dollar commercial properties or $300k single family homes - whatever we agree on. The returns on these investments are distributed according to how much each investor contributed.

There is no shortage of real estate crowdfunding platforms, so I recommend doing your due diligence and reading my thorough reviews of the most popular ones. If you’re looking for a quick recommendation, however, check out these guys:

1. Fundrise - These guys only require $500 to get started. Open an account here.

2. Roofstock - Takes online shopping to a whole new level. You can buy single family cash-flow positive homes online! This is a great way to get started owning your own rental property. Check it out here.

3. EquityMultiple - Invest in larger residential and commercial properties. This is for accredited investors only, but has a large variety of properties. Open an account here.

4. FarmTogether - FarmTogether is a platform that allows you to invest in US Farmland. This is a great way to diversify your real estate holdings. Open an account here.

Accrue $1,250,000 Worth of Dividend Stocks with a 4% Yield

This particular method appears, at first glance, a little harder to achieve than the rental property scenario, but stick with me please. The thing is, this method is actually very similar. With dividend stocks you’re still buying an asset that provides you cash flow.

Dividend stocks are great because while these stocks pay dividends they can also appreciate (or depreciate) in value. This means that you’ll still get to take advantage of compound interest of the value of the stock. Plus you can reinvest your dividends until you reach your desired amount.

The cool thing about dividend stocks is that when it comes time that you need the dividend checks to live off of you don’t have to touch the underlying assets. In other words, you don’t to have sell your stocks in order to get money. The value you have in stocks still has the chance to compound and grow without you ever adding anything else to it!

And since you get to take advantage of compound interest and can reinvest your dividends while growing your nest egg, you are not actually contributing that full $1.25 million.

Ready to start investing? Check out these top places where you can invest for free, or here's some of the best bonus offers right now to get started:

1. M1 Finance - Truly free investing! This is our favorite platform for investing in dividend paying stocks because you can build your whole dividend portfolio, and it's free! Open an account at M1 Finance here.

2. TD Ameritrade - This is a classic brokerage company. Their IRA's have no minimums, and they charge $0 commissions for stocks, ETFs and and options. Check out TD Ameritrade here.

Related: What is Dividend Growth Investing and How To Get Started

Invest In A Business

I don’t want to sound all 4 Hour Work Week here but outsourcing a business is possible.

My friend's dad owns three businesses – 2 department stores and one greenhouse. He works at one of these businesses. The other two are outsourced. Different family members manage the other two places and there are also managers for different departments and, of course, employees.

There’s simply no way that he could be run all three businesses by himself and quite frankly, he just doesn’t want to.

I’ve tried copying this method into my own online business and so far am headed in the right direction. For instance, there’s a couple parts to my businesses. First there’s freelancing. Freelancing is very much active and requires my direct involvement. I can’t hand this off to other people.

The other side is blogging. My own blog generates a substantial amount per month and I normally spend around 20 hours per week on it. I used to spend much more time on it until I started to outsource. I hired out social media and brought on a writer to help with the workload. 

If you're curious about starting a blog, read this guide. I used Bluehost to get started with a website because it's super cheap - a free domain name and $2.95 per month to host it. I love Internet businesses because of this extremely low overhead and huge income potential. Our Bluehost deal is specific to our site, so if you want to start a website, make sure you get our $2.95 hosting deal from Bluehost.

After around 2-3 years of work on the blog, I was netting $4,000 per month from a business I enjoy running while only spending 80 hours per month on it. That nets me around $50 per hour. While it’s not completely passive it’s headed in the right direction and sure beats my old day job that paid $11.50 per hour.

It is completely possible for you to build a business in any area you enjoy and then outsource once you get systems in place. This doesn’t happen without a bunch of initial hard work. It’s all about front loading.

You Need Time or Money to Get Started

You either need time or money to get started building these streams of income. It will require hard work and sacrifice upfront but will be completely worth it in the end.

This methods are not get rich quick scheme and are not scams. There are people doing this type of stuff every single day. If you take responsibility for where you're spending your time and work hard, I promise you, you can make something like this happen, too!

Do you think it's possible to earn $50,000 per year in passive income without working?

Related Articles

35 Passive Income Ideas You Can Use to Build Real Wealth

35 Passive Income Ideas You Can Use to Build Real Wealth

15 Ways To Save An Extra $500 Per Month

15 Ways To Save An Extra $500 Per Month

5 Ways To Invest In Real Estate In 2022

5 Ways To Invest In Real Estate In 2022
Robert Farrington
Robert Farrington

Robert Farrington is America’s Millennial Money Expert® and America’s Student Loan Debt Expert™, and the founder of The College Investor, a personal finance site dedicated to helping millennials escape student loan debt to start investing and building wealth for the future. You can learn more about him on the About Page, or on his personal site RobertFarrington.com.

He regularly writes about investing, student loan debt, and general personal finance topics geared towards anyone wanting to earn more, get out of debt, and start building wealth for the future.

He has been quoted in major publications including the New York Times, Washington Post, Fox, ABC, NBC, and more. He is also a regular contributor to Forbes.

3 Ways To Make $50,000 Per Year Without Working With Passive Income
Editorial Disclaimer: Opinions expressed here are author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, or other advertiser and have not been reviewed, approved or otherwise endorsed by any of these entities.
Comment Policy: We invite readers to respond with questions or comments. Comments may be held for moderation and are subject to approval. Comments are solely the opinions of their authors'. The responses in the comments below are not provided or commissioned by any advertiser. Responses have not been reviewed, approved or otherwise endorsed by any company. It is not anyone's responsibility to ensure all posts and/or questions are answered.
Subscribe
Connect with
I allow to create an account
When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. We also get your email address to automatically create an account for you in our website. Once your account is created, you'll be logged-in to this account.
DisagreeAgree
Notify of
I allow to create an account
When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. We also get your email address to automatically create an account for you in our website. Once your account is created, you'll be logged-in to this account.
DisagreeAgree
47 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Primary Sidebar

Robert Farrington

Hi! My Name is

America's Millennial Money Expert

Welcome to The College Investor. We're here to help you escape student loan debt so you can start investing and building wealth for the future

Our expert guides, reviews, and more are designed to help you achieve your financial goals.

Want to learn more? See what's in my wallet.

As Featured In

Social Media

Popular Posts

Side Hustling

Side Hustle Ideas: 50+ Ways To Make Money Fast

Best Side Hustles

15 Best Side Hustles You Can Start Earning With Now

Make Money From Home

80 Ways To Make Money From Home (In Your Pajamas)

Crazy Ways To Make $10,000

10 Crazy Ways To Make $10,000 You’ve Never Heard Of

Make $50,000 Per Year

3 Ways To Make $50,000 Per Year Without Working With Passive Income

Student Loan Scams

Top Student Loan Scams

Net Worth of Millennials

The Average Net Worth Of Millennials By Age

Ways To Get Student Loan Forgiveness

Student Loan Forgiveness Programs (The Complete List)

Passive Income Ideas

35 Passive Income Ideas You Can Use to Build Real Wealth

529 Plan By Age

How Much Should You Have In A 529 Plan By Age

Ultimate Guides

529 Plan Guide

529 Plans: The Ultimate Guide To College Savings Plans

Student Loans and Financial Aid By State

Student Loan And Financial Aid Programs By State

Student Loan Advice

The Definitive Guide To Student Loan Debt: Everything To Know About Your Loans

Student Loan Forgiveness By State

The Full List Of Student Loan Forgiveness Programs By State

newretirement

How to Start Saving Now: The College Graduate’s Guide to Saving for Retirement

Latest Research

Institutional Merit Grants

Who Gets Institutional Merit Grants At Private Colleges?

Resume Student Loan Payments

Survey: Even With Higher Expenses, Most Student Loan Borrowers Are Ready To Resume Payments

Support From Parents Survey

64% Of Millennials Receive Support From Their Parents

undermatching at selective colleges

Undermatching: Why Do Smart Low-Income Students Not Enroll In Selective Colleges?

How Much Americans Pay To File Their Taxes

How Much Americans Pay To File Their Taxes

Footer

Banking

  • 10 Best Free Checking Accounts In May 2022
  • The Best Online Banks Of May 2022
  • The Best Bank CD Rates Of May 2022
  • Best Money Market Accounts Of May 2022
  • Best High Yield Savings Accounts Of May 2022
  • Best High-Yield Checking Accounts Of May 2022
  • The Best Bank Bonus Offers
  • The Best Business Checking Accounts

Investing

  • Best Online Stock Brokers In 2022 (According To Readers)
  • Best Brokerage and Investing Bonus Offers In May 2022
  • The Best Places To Open An HSA (Health Savings Account)
  • 5 Best Investing Apps With Free Stock Trading
  • How To Buy Stocks Online For Free
  • The Best Robo-Advisors Of 2022
  • The Best Self-Directed IRA Providers
  • The Best Traditional And Roth IRA Accounts Of 2022
  • Comparing The Most Popular Solo 401k Options
  • Top 3 Automatic Investment Apps Of 2022

Student Loans

  • Best Places To Refinance Student Loans In May 2022
  • Best Private Student Loans Of May 2022
  • How To Find The Best Student Loans And Rates
  • Best Student Loan Refinancing Bonuses And Promotional Offers

Insurance

  • The Top 10 Online Life Insurance Companies
  • The Ultimate Guide To Renters Insurance – Everything You Need To Know
  • The Cheapest Car Insurance For College Students

Connect

  • Contact Us
  • Advertise
  • Press & Media

About

  • About
  • Our Team
  • Podcast
  • Editorial Guidelines
  • How We Make Money
  • Archives

Social

Copyright © 2022 · The College Investor · Privacy Policy ·Terms of Service · DO NOT Sell My Personal Information

wpDiscuz