# classified passive income streams

There are many definitions for a passive income.

Wikipedia's definition:
Passive income is an income received on a regular basis, with little effort required to maintain it.

My definition/interpretation:
Passive income is an income obtained from any activity where the invested personal effort follows the following pattern:
-Initial effort: often significant, but not always
-Further effort: not required to keep the income coming
-Maintenance effort: not always required, but accepted once in a while (week/month/year) to keep the income optimized or to improve.

Below are the most common examples of passive incomes, classified based on money/skills available:

## If you have no money to work with and no skills:

    Sell some possessions, stuff you don't use, your car, your house. Examples: old books, CDs, DVDs, electronics, furniture

## If you have money to work with, but no skills:

    Buy dividend paying stocks based on professional advice
    Buy real estate and hire a company to manage rentals

## If you have no money to work with, but you have skills:
 
    Create a website and sell something: like a book from Amazon, or any item from Amazon or similar affiliates to get commissions.
    Create a product and sell it on your website or on other websites like ebay, craigslist, kijiji. Example of products you can create: a book, a software application, music, painting, photographs.
    Resell other people's products on your website or on other websites. Example: acquire a product that you know you can increase its value by repairing or updating or selling it in different markets.
    Manage other people's real estate for a commission.

## If you have money to work with and skills:
**This is ideal, you can do any activity from other cases and more:

    Create your own systems to manage the passive business and the investments. Example: buy monthly membership for tools that can help optimizing online sales.
    Buy real estate and manage yourself, improve earnings strategy.
    Do your own research and buy dividend paying stocks
    Design a new product and hire other people to implement it. Example: a software idea than can be explained, outsourced and sold.
    Invest money in other people's business for a share of the profits
    Lend money for interest. Example: peer to peer lending systems that requires your skills to screen reliable borrowers.