5 Ways to Build a Passive Income Online!

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This post contains affiliate links, which means I may receive a small commission, at no cost to you, if you make a purchase through a link.

Not everyone wants to trade their time for money. Some (including myself) love it when we can make money without spending time working for it. This is known as passive income.

Simply put, passive income is probably the best way to make your money. It frees you to enjoy the maximum of your time, and you don’t have to get exhausted working on it.

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I can’t imagine someone not interested in earning a passive income. If for nothing, it could help in making them more money on the side.

I have made a video explaining 5 easy ways to build a passive income online. These are proven methods that many have used to make big money.

You can watch the video down below or continue reading the article for more details.

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Passive Vs. Active Income

Before we talk about how to build a passive income. It is fair to discuss in short the difference between passive and active income.

While you may think that you don’t have to put a lot of work in to build a passive income, it’s actually not the case.

Both passive and active incomes require you to spend some time, energy, and effort to get started. There is no escaping the initial work to get your first payments.
However, the difference is that once you established your passive income business model, you can keep it running in the background with minimal checkups. Active income requires you to stay active all the time.

If you are trying to build a passive income to avoid putting the work in, you should reconsider. We’ll see more below.

1 – Affiliate Marketing

The first way to earn a passive income is affiliate marketing. I have talked about how to money from this method here and how to actually use it without a website.

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However, if you want to earn passive income using affiliate marketing, a website is almost inescapable. You have to work on building your website and actively bring the initial traffic to it.

(Get my free course to learn more about Blogging and Driving traffic to your first blog!)

The simple version of affiliate marketing is you find products in your niche, reach out to their makers and ask for a commision for each sale you bring to them.

You can use Amazon Associates (you don’t need to reach out to anyone, just apply to the program). Or use Clickbank where many merchants are selling their stuff and looking for someone to help them promote it.

2 – Passive Ads

The second best way to earn you a passive income online is an old-fashioned technique. You can use the advertisement program and earn money thanks to your blog visitors.

different layouts for positioning passive ads to build a passive income

Similar to affiliate marketing, this demands that you have an active blog with a large audience. So, the initial work on building a passive income following this business model will be pretty demanding.

You can learn more in this article about how to drive traffic to your blog using Pinterest and Tailwind.

Once you have the needed traffic, you can set up ads all over your website (using Adsense or alternatives). It is a simple process.

3 – Outsource Recurring Business

In addition to the first two ways to earn a passive income, you can set your blog to be a way to attract clients to a service you offer them. However, you would not be the one doing the job (that would be active income!).

Instead, once you have landed a client, you can use websites like Upwork and Fiverr to hire freelancers to get the job done.

Outsourcing recurrent business services is one of the best ways to build a passive income as it frees you from the stress of getting the job done at all times.

You can actually hire someone to do your outreach to land you more clients. It’s a win-win situation for you as you always remain a middle person in this business transaction.

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4 – Dropshipping

Speaking of being a middle person, you can use mix both affiliate marketing and outsourcing business to create a dropshipping business. I have talked about using Shopify to make money online. But you can use many other platforms, WooCommerce for example.

All you have to do is find awesome products on websites like AliExpress and agree with the seller to let you promote them on his behalf. You then put a new price tag on these products, while the suppliers take care of the storage and shipping of these products.

5 – Manage Freelancers

The last of the 5 ways to build a passive income online is a little bit more advanced. We are still sticking with the theme of being a middle person, but this time on a larger scale.

This method requires you to build your own “agency” website where you connect freelancers with potential clients.

For this to work, you should have in place an advanced website design, ability to accept multiple payment methods, and a list of ready-to-work freelancers.
However, you can get this all done by hiring someone to design the website, another to find freelancers and a third one to reach out to clients.

You can set up a seamless process where clients pay the freelancers for each task completed but take away a fair percentage for services provided by your website.

Bonus tip alert!

Yes, there is one more way to earn a passive income constantly. This could actually be my favorite.

Bonus: Email list

The blogging currency is really the number of active email subscribers in your list. And with more regulations involved, you know that only the best subscribers will add themselves to your list.

You can set up a sequence on an autoresponder, have affiliate products, services, courses included in these sequences, and earn more money as more subscribers buy products using your links.

You can use AWeber (my favorite) or a similar tool that allows you to have loads of subscribers and can all receive your email series.


Passive income is the best type of income if you ask me. There are a lot of ways to start building your passive income empire and have your lifestyle as an active entrepreneur.

One thing that sits at the center of passive income is a blog. If you haven’t started one yet, check out my free 5 day blogging and traffic primer course. I also have my premium, more advanced Blogging and Traffic Masterclass if you’re really serious. (Another way to make things go much faster is to get personal help of someone who has done it before.

(…Another option is to have someone make your blog for you.)

Let me know in the comments below if you have questions. Also, if you like this article, be sure to check out more of our content:

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