I'm a Passive Income Expert: Here's How I Make $27K Every Week
Making thousands of dollars a week without trading every hour for a paycheck sounds like the ultimate financial goal. But "passive income" is often more active than it looks. Most income streams require a lot of initial work, ongoing maintenance or both before they can reliably generate passive money.
Alex Genadinik, online entrepreneur, instructor, and founder of Problemio, has been building a business in digital education since 2014. He said his passive income averages $6,000 to $8,000 a week, mostly from courses on Udemy and Coursera.
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Here’s exactly what Genadinik does to pull in such a weekly income, and his advice for anyone looking to start a passive business.
Teaching Online Courses Is the Core Income Source
Genadinik’s main source of passive income is online education. He doesn’t sell his expertise to one student at a time but instead creates courses that can be purchased by anyone without him having to personally teach each one. He's selling an infinitely fungible resource rather than his limited time.
That model can have a huge economic advantage. It can be a lot of work to create courses, but once you have them available, you can sell them repeatedly.
Even better, Genadinik said his startup costs were close to zero, aside from purchasing a camera and microphone.
Passive Income Still Requires Work
The term “passive” can make these income streams sound totally hands-off. But it usually involves some work.
“I still work full-time because I make new courses and update older courses,” Genadinik said.
He thinks he could cut his working time to around five hours a week and still get most of his current income, with the caveat that growth would probably be hurt.
Another advantage of Genadinik’s model is its relatively low overhead. His ongoing costs are mostly small costs for freelancers since he doesn’t do any advertising.
So, before you chase any passive income idea, calculate your potential net income, including platform fees, software, contractors, marketing, taxes, and other recurring expenses.
Don't Assume Today's Strategy Will Work Forever
Genadinik’s biggest concern is artificial intelligence.
“At the moment, it's not certain how AI will impact online education, but some of the education market is definitely taken up by AI, leaving a smaller share for human instructors,” he said.
Genadinik advice for anyone wanting to start a passive business right now is to incorporate AI early. But he also wonders whether it’s the right thing to do today to get into the content business, because of the competition from AI. He thinks it might make more sense to jump in a totally different business today.
Whichever way the winds blow, tomorrow's passive-income success stories will have to continue to innovate.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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