In the early days, retirement was all about being at home and enjoying some rest after years of hard work. However, this is not the case today, according to the nonprofit Transamerica Center for Retirement Studies (TCRS). Retirees are no longer staying at one point. They have visualized a need to continue making money even after their retirement.
Their continued working means they are passive income
Passive income refers to an earning whereby the person receiving has put very little effort to realize it. They were not actively involved, and it is one of the many ways entrepreneurs use to generate monthly revenues. Nonetheless, it requires some kind of prior investment.
This article shares some passive income approaches a retiree can apply to make that extra dollar
The real estate industry is very vibrant, and hundreds of people are tapping into it every day. You can buy homes and be an independent landlord or become a partner in rental property business, residential, or commercial.
REIT (Real Estate Investment Trust)
This applies mainly to unaccredited investors. They invest through REITs, commonly regarded as investment vehicles. They keep properties within them and the owners’ benefits from their sale, refinance, or gains. The most popular platform for REIT is FundRise, which requires a minimum of $500 to start.
Investing in business
A business that is already off the ground can be a great way of earning a passive income. However, it has its share of risks if you are a silent partner. How and why? Think about the billions Lyft and Uber are minting today. If you are to become an investor, your greatest benefit would only come from an IPO. Nonetheless, to reap more benefits with this option, invest small amounts in different companies.
Peer to Peer Lending
Many are those who cannot qualify or afford traditional loans. Thus, you can get into the P2P business, whereby you become a lender to them. Some risks come with it, but the secret is in spreading your investment to mitigate them.
They are insurance products that have their lows and highs. You are entitled to a monthly payout after buying them. However, they are not for everyone because of the high fees involved.