Passive Income Expert: These Will Be the Best New Ways To Make Money in 2025
Written by
Brooke Barley
Edited by
Zuri Anderson
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Who doesn’t want to make a little extra money? Fall is approaching fast, and many of us are probably already wondering how we can add to our bank accounts next year. There are a few different avenues that can enable you to make money passively.
You can do these alongside your full-time job without burning the candle at both ends. Here is how experts say to maximize your passive income in 2025.
Investment in Total Market Funds
Investing in the stock market is a pretty effortless way to bring in cash if you know where to put your money. Mary Tung, the founder and CEO of Lido.app, said your best bet is to invest in total market index funds.
“Funds such as Vanguard’s Total Stock Market, Total Bond Market or equivalents from another company give the investor a diversified portfolio at very low expense ratios,” Tung shared. “The strategy is rewarded time and again regardless of the economic situation because of the scope of diversification and the lower costs that such funds have compared to actively run funds.”
She said that this isn’t a quick way to make money, but in the future, you’ll have a nest egg.
“Boring as it may seem, yes, the payable returns are dreaded, but they beat a lot of investments in other options in the long run. This technique, however, guarantees some level of growth of your cash but does require you to be active all the time,” the expert added.
Dividend Growth Investing
If you’re going the stock market route, Tung said to look for stocks that will pay you dividends. This way, you get paid no matter what kind of month the company has on the market.
“Focusing on companies that have a history of consistently paying and growing dividends is another good strategy,” Tung explained. “Investing in ‘Dividend Aristocrats,’ companies that have continuously increased their dividends for over 25 years, guarantees a steady stream of cash. Though initially returns from DRIPs (Dividend Reinvestment Plans) are small, making it possible for portfolio growth to become truly immense with time. The policies of these companies reassure the investors against all market risks while providing regular income reserves.”
Automated Online Businesses
What if you could run a whole business without it taking up all of your time and resources? Tung said methods like drop-shipping are popular ways to make some extra income right now and will probably be even more relevant in 2025.
“Passive income opportunities can be realized by setting up automated online businesses such as drop-shipping and affiliate marketing with relatively low setup costs,” the Lido.app CEO said. “When you combine ecommerce platforms like Shopify with third-party order fulfillment and customer service service providers, you can put your business into a ‘self-service’ mode.”
Sell Digital Products
One particular online business you can start is one where you offer digital items.
“You can sell e-books, online courses, photos and videos, printable planners, web themes, logos, music or audio files, marketing materials, fonts and typography and a lot more,” Karl Tippins, editor-in-chief of Pension Times, suggested.
Tippins said this is an especially accessible way to make some extra income.
“If you’re worried that you’re not talented enough for digital design, you can follow a ton of online lessons until you have the confidence to create and market your own ideas,” he said.
The editor-in-chief advised spending a little money at the beginning to help establish your niche.
“Get a premium platform if you can afford it, as this will enable you to create more distinctive designs and stand out your product from others,” Tippins said. “Your chances of attracting more clients might be enhanced by having unique designs.”
Rental Properties With Automated Management
You’ve heard that real estate can be a great way to bring in extra income, but maybe you’ve worried about all the legwork it takes to manage a property.
“Passive income from rental properties has been around for many decades,” Tung shared. “However, in the year 2025, the use of technology in property management will make this even more efficient.”
Tung added automated property management services can now take care of things like tenant communication, rent payments and maintenance, so most of the hard work is done for you.
Crypto Staking and Yield Farming
If you feel like you missed out on the crypto craze, Tung said there are still ways for you to get in on the cash. Crypto staking is where you earn rewards for locking up certain crypto assets to help support a blockchain. Yield farming is a decentralized finance (DeFi) investment strategy where you’d stake, lock, lend or borrow crypto for a higher return.
“Staking and yield farming in cryptocurrency have now grabbed an important spot in generating passive income for investors,” Tung said. “Such is the case for cryptocurrency staking, where one is able to earn rewards on their cryptocurrencies or their interests are earned by supplying liquidity through decentralized financial (DeFi) protocols. There are some products that may also provide staking rewards like Ethereum 2.0, while others, the DeFi products offer returns for providing liquidity.”
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