Passive Income: 6 Ways To Make $100 Per Day

What's up, guys? It's Graham here. So, first of all, I don't think there's anyone watching this right now who would not want to make an extra hundred dollars a day in passive income. Seriously!

What I've noticed is that when it comes to anything related to personal finance, building wealth, and making money, the end goal is almost always the same: to earn enough money passively so that you're able to sleep in whenever you feel like it, to do whatever you want during the day, and otherwise not have to worry about money because you know that no matter what, more money is going to be coming into your bank account every single day.

But there's a problem. Nearly every single time I go and watch a YouTube video on how to make passive income, or I read an article about the best ways to make money on the side with low effort, I can't help but think to myself, "There's no way people are actually going and doing this." Like, sure, it's fun to go and think about writing an eBook that'll eventually make you a thousand dollars a day, but those are really not practical ideas that people could begin going and working on today.

So instead, let's talk about the realistic ways that you could begin making a hundred dollars a day in passive income that you could actually work towards that aren't "well, impractical."

Although, before we go into it, I want to talk about something kind of serious. It's recently come to my attention that YouTube is testing out a new feature that would disable the dislike button. I think this would be a huge mistake for YouTube because the dislike button is one of the fastest ways to sort through untrustworthy or unpopular videos. And as a creator, it's one of the best ways that you can see immediate feedback in terms of what people want to see more or less of.

So, if you think that YouTube should keep the dislike button as is and finally allow dislikes to show on comments, just do me a huge favor and smash the like button if you agree. Every like on this video counts towards keeping the dislike button alive. So, thank you guys so much! And with that said, let's begin.

Alright, so first I just want to get this out of the way: even though there are people out there that say that passive income is a myth, it doesn't exist, there's no such thing, it's impossible— I will tell you from my own experience that it is real. It does exist! I have seen it with my own two eyes, but it's not necessarily what you might think it is.

So, before we go into the ways that you could realistically make a hundred dollars a day, let's just set the record straight: you will never get something for nothing. Even though the scammers in the comment section want you to believe otherwise, passive income will take your time up front. It's not going to be incredibly easy, and it will take some work.

Instead, realistically, making passive income is about leveraging your time up front, so that way you could continue to earn money in the future, even when you are no longer working. It's about utilizing your resources today to be able to work smarter and not harder. By doing that over time, you could absolutely scale this up to a hundred dollars a day in passive income in a way that doesn't involve you walking 400 miles a day and using sweat coin.

Plus, I actually do everything that I talk about here. There's not one idea that I put in here that I don't use myself to this day to make passive income, so I've been through it. I know exactly what to expect; I know what's involved. And if I could do this while simultaneously running five YouTube channels and trying to set up a reef tank, then you could do it too. Just be prepared to put in the work, put in the time, and don't expect money to be flowing into your bank account as soon as you finish the video.

And if any of that does happen, then it's probably a scam. Real passive income takes time and consistency. So, as long as we could set the expectation up, you're going to do just fine.

So, with that said, let's begin. Here, I'll start this one off with one of the simplest, easiest concepts first. One of the best ways that you could begin making passive income pretty much immediately is through dividends. Here's how this works: anytime you go and buy a stock, what you're really buying into is a small piece of ownership within that company.

Now, that doesn't mean that you could go and walk into the Cheesecake Factory and claim that you own the place because you bought one share, but owning a stock in the company does entitle you to a small piece of their profit. Many companies pay you out a small piece of what they make in the form of a dividend.

Now, when it comes to the Cheesecake Factory example, they will pay you a 2.45% dividend on your money every single year, which means for every hundred dollars you invest, they will pay you back two dollars and 45 cents in passive income every single year.

Now, obviously, for our example of earning 100 a day, you would have to go and invest one and a half million dollars in the Cheesecake Factory in order to make that happen, which realistically, is probably not the best idea to do, even though I really love their bread. But if dividends are really all you're after, other companies do pay a much higher yield, which means you would be able to make a hundred dollars a day with much less money invested. For example, Exxon pays you six point two percent, AT&T pays you almost six point nine percent, 3M pays you, no surprise, three percent, and so on.

If you were just to go and pick a list of high-paying dividend stocks, then potentially you would be able to make a hundred dollars a day with as little as 520,000 dollars invested. Now, I get it, it's funny to say, "with as little as 520,000," but this is really where the patience and consistency comes in.

With our AT&T example, if you were to start with nothing and invest 15 dollars a day while reinvesting all of the dividends, you could reach a hundred dollars a day completely from dividends and passive income within 30 years. And that's not even counting the price of the stock going up, the dividends increasing, or being able to invest more money long term. That would accelerate that timeline tremendously— that's all for the price of a subway sandwich and a Starbucks coffee every single day.

Now, the downside to this, however, is that not all dividend stocks are actually worth buying. Even though they do pay you a lot of money, like just consider IBM. Even though they pay you a five percent dividend, over the last five years, their stock price went down twelve percent. Compare that to Tesla, which is up fourteen hundred percent, Amazon, which is up five hundred percent, or Walmart, which is up almost a hundred percent and pays you a dividend.

So, it's so important to invest in dividend stocks wisely and to only invest in companies that you believe in long-term with strong growth and fundamentals, not just because they pay you a high dividend. Plus, to help get you started with this, the free stock trading app Public is going to be giving you a free stock worth all the way up to 50 dollars just by using the link down below in the description.

This is a company I personally invested in myself because they allow you to buy fractional shares for as little as a dollar. You could set up automatic dividend reinvestment in as little as just a few seconds, and they don't route your order flow, meaning anytime you buy and sell a stock, they're not selling that data to big hedge funds.

So, if you want basically free money for signing up and depositing a hundred dollars, use the link down below in the description and let me know which free stock you get.

After that, we have a second option that's somewhat similar but also different, and that's earning passive income through a REIT. This stands for real estate investment trust, and this is a really fancy way of saying that you're buying stock in a company that just owns real estate. In exchange for giving them your money as an investment, they'll pay you back some of their profits in the form of a dividend.

These real estate companies can specialize in anything from medical buildings, shopping centers, senior care facilities, or residential apartment buildings. That way, you still get to say you kind of own a shopping center without actually owning a shopping center.

This is a really easy way for pretty much anybody who wants exposure to the real estate market but doesn't want to go through the hassle of finding the right deal, doing inspections, coming up with all the money, and then dealing with tenants who call you at two o'clock in the morning saying their toilet is broken.

Which, by the way, I've been a landlord now for 10 years and I've never once had a tenant actually call me saying the toilet was broken at 2am. But I do also own some REITs, and I gotta say, in the last year, buying REITs has been much easier than actually going and buying real estate for myself.

Last year, I bought Simon Property Group around 60 dollars a share because I felt like their price drop was a drastic overreaction to a short-term commercial real estate panic that gave me a lot of exposure to the commercial real estate market in a way that I could sell in a moment's notice for a fraction of the work, without locking myself in for a 20-year loan to go and buy commercial real estate myself.

I also invested in Preferred Apartment Communities, which owns and operates multi-family real estate. I started investing in them around seven dollars a share, and they're currently paying around a seven percent dividend.

Now, there's definitely a lot of uncertainty when it comes to owning apartment buildings right now, and that's reflected in the price of the stock. But for anyone looking for some real estate exposure, this one could check off the box with very little time.

There's also some other large REITs out there, like Realty Income Corporation, which owns and operates over 6,500 properties, or National Health Investors, which pays out a 6.1 percent dividend and focuses on senior living in medical buildings, or something like VNQ, which just tracks a small portion of everything all in one index fund.

The downside to this, however, is that you can't leverage your money like you can buying physical real estate, and you also don't get the amazing tax benefits of buying real estate yourself. But the benefit for a REIT is that anyone could buy in with any amount without having to go and do all of the work yourself, even if you don't have a perfect credit score.

And if you want to make a hundred dollars a day in passive income, this is probably something worth looking into if you want to incorporate this in your portfolio.

But while we're on the topic of real estate, we can't talk about passive income without mentioning one of the most effective ways to make a hundred dollars a day as fast as possible if you're willing to put in the work, and that would be through rental income.

This is really what got me into investing in the first place. It's what I did full time for the first 10 years of my career, and I wouldn't be here today without this. Because I gotta say, there is a reason why ninety percent of millionaires out there all hold on to real estate. So, I can certainly say, hands down, if your only goal is to make a hundred dollars a day as fast as possible and you're willing to put in the work, this is probably the best way to do it.

Of course, the catch here is that you first have to have a credit score above 700, you need to have a stable source of income, and you need to have enough money saved up for a down payment.

But if you could check all three of those items off the list, then here's how you could do it: let's say you find a house worth a hundred and seventy-five thousand dollars that needs a little bit of work, but in the current condition, it could rent for 1300 dollars a month. You could buy that home for a fifteen percent down payment, which would be twenty-seven thousand dollars, and your mortgage payment would be six hundred and fifty dollars a month at a three point three percent interest rate.

Now, of course, your expenses won't just stop there because you also have things like property taxes, insurance, maintenance, repairs, vacancy, and everything else that just adds up. That could be another 350 dollars per month. So, now your total overhead to own and keep that home is going to be a thousand dollars a month.

But once you go and buy that house, instead of going and immediately renting it for 1300, maybe you then go and spend ten thousand dollars fixing it up, replacing the floors, doing some light paint, fixing the landscape, and then after it's all done, maybe the home is worth two hundred and ten thousand dollars and would rent for fourteen hundred and fifty dollars a month.

In that case, you're going to be making 450 per month leftover in profit from a 30,000 dollar investment between the down payment and the renovations. And if you were able to go and repeat the same process every single year, you would be able to make a hundred dollars a day in passive profit in just seven years.

And that doesn't even include the equity you get every single month by paying down your mortgage. At the exact same time, you could also speed up this process dramatically by doing what's called the cash-out refinance, which allows you to get a new loan based on the new higher price of the home after renovations.

In this case, if the home is worth 210 thousand dollars, you would be able to get a loan worth 80 percent of that, and doing that would give you 28,000 dollars back in your pocket completely tax-free that you would then be able to go and buy another property with.

This strategy is what's known as the BUR method, which stands for buy, renovate, rent, refinance, repeat. And this is how you could continually take your profits from one home, put them in another home, refinance that, repeat the process, buy another one, and continue taking your money from one property to another, building up your passive income at the same time.

Now, of course, if doing this sounds too good to be true, it's because there's a very high barrier to entry. You'll need to have a stable, steady source of income, a high credit score, and the amount of money saved up to be used as a down payment. And in the beginning, it's not at all going to be passive.

It took me a few years to get to a point where some of these rental properties more or less just run themselves now. And even then, I still spend a few hours every single month just making sure everything is running smoothly. But over time, I gotta say, the entire experience has been worth it. You could also use these strategies to a smaller degree by renting out an unused bedroom in your house.

And as long as you don't mind living with a roommate, you may as well just use that to your advantage. Even just receiving an extra 500 a month could be more money that you just throw back into investments, helping you compound that to eventually earn 100 a day even faster.

But just remember, this is not going to be 100% passive, and it's not completely hands-off. So, my thinking is this: if you have an interest in doing this and you would otherwise just be doing nothing but watching Rock of Love on VH1, then you may as well go and do something useful with your time and go and do it.

Don't expect this one to be 100% passive, but it could end up making you a lot of money for the time you put in long term.

Now, after real estate, there's a fourth option that I've never mentioned before here in the channel, but I'm seeing a lot of people jump into the space, so I felt it was worth mentioning, and that would be cryptocurrency. Yeah, I never thought I would be saying that, but here we go!

But when it comes to this, here's the thing: just buying or holding onto cryptocurrency in itself is not exactly passive income. But there are increasingly more websites out there that allow you to place your holdings on the site, and in turn, they pay you back with interest. BlockFi is the company that I've recently been using, and they'll pay you up to six percent for putting your Bitcoin or Ethereum on the platform. Plus, they'll give you up to 250 dollars worth of free Bitcoin if you use the link down below in the description to sign up.

So, I figured when I saw that offer come up from somebody else, I may as well give it a shot and try it out. Right now, I'm currently making about 35 to 40 a day for keeping my Bitcoin and Ethereum on the platform.

Now, when doing this, I definitely acknowledge that there's a risk of losing everything. Interest rates are probably not going to stay this high forever, and it takes a few days to get your money off the platform if you want to move it to go and do something else. But I was willing to take a chance with money I was willing to lose, and so far, I've been pretty happy with it.

Although I personally wouldn't recommend just using this as a way to make 100 a day without incorporating other aspects of this video as well, just so you have something to hedge your investment.

And then, of course, I can't make a video on passive income without talking about the grandfather of all of them. The easiest way that you could begin making passive income with as little work as possible would be through an index fund.

Now, I've talked about this one before in the channel, but in terms of scaling up to a hundred dollars a day, here's all you need to know: an index fund is really just a big basket of stocks that you could buy into instantaneously for one low price. This gives you the best diversification out there. It gives you access to pretty much everything in the stock market all at once, and it's incredibly easy to do.

Just go and buy into a total stock market index fund like FZROX or VTSAX, and that's it—you're done! Literally, that’s all you have to do. Then, from there, we have what's known as the four percent rule, which suggests that you're able to spend four percent of your money every single year for the rest of your life without ever running out.

So, if I have a hundred thousand dollars invested in VTSAX, then that is four thousand dollars a year in passive income for the rest of my life that I never need to do any more work on at all. This is really passive income at its finest. You don't have to do any work; there's no one to check in on you, you don't receive any phone calls or broken toilets, nothing—just buy into it and you're done.

That means if you want to make a hundred dollars a day using the four percent rule with index funds, you're going to have to invest 5,912 dollars, which is not going to happen overnight. But thankfully, these index funds have historically returned about eight percent every single year adjusted for inflation with dividends reinvested, which means eventually, you would be able to save up to that amount starting from nothing over 30 years by investing 500 a month.

Now, I know that's probably not what you wanted to hear, and we're all conditioned to want things to happen as quickly as possible, but this is what true passive income looks like. This isn't always something that's going to happen within days, weeks, months, or even years. It takes time; it's grueling, and it takes a lot of patience to stick with it.

But if you want something completely hands-off where all you have to do is click a few buttons and make a hundred dollars a day, this is the honest truth in terms of how you could actually do this in a way that's long-term sustainable.

Thankfully, though, there is a mild solution to that, and there is a way that you could make up to a hundred dollars a day pretty much instantaneously in a way that's not clickbait, and that's by cutting back on your existing spending and saving the hundred dollars instead.

Like, according to the Consumer Expenditure Survey, the average household budget spends over sixty thousand dollars a year in expenses, and of that, it was found that eighteen thousand dollars per year was spent on non-essential items. That means statistically speaking, if you go through your budget and cut out all the non-essential spending, you might very well be able to save an extra fifteen hundred dollars a month.

And in a way, that's essentially the same thing as you being able to keep an extra thirty dollars a day in passive income that you're able to reinvest elsewhere. All of this begins adding up, and I guarantee everybody watching this is able to save some extra money by going through their budget and cutting out what they don't need.

And that in turn is almost the same thing as making more money in passive income. I made a video on this a few months ago, and for my own calculations, just by cutting back on things that weren't needed, the average household could save about 1,257 dollars per month relatively easily with minimal work.

That, in conjunction with investing money long term, could get you to that hundred dollar a day passive income mark a lot faster than you think. All you would need to do is just start today, and this is the honest truth about realistically making a hundred dollars a day in passive income at any skill level that anyone could do with any amount of time that you have.

My own recommendation, when it comes to this, is never to rely too much on just one income source and instead use a combination of everything that I just mentioned. Don't overwhelm yourself or make it out to be more complicated than it really is. The core ideas when it comes to this are really simple, and if you stick with it long term, earning a hundred dollars a day is a hundred percent possible, as long as you smash the like button for the YouTube algorithm.

So, with that said, you guys, thank you so much for watching. I really appreciate it! As always, make sure to destroy the like button, subscribe button, and notification bell. Also, feel free to add me on Instagram; I post it pretty much daily, so if you want to be a part of it there, feel free to add me there as well.

My second channel, The Graham Stefan Show, I post there every single day when I'm not posting here. So, if you want to see a brand new video from me every single day, make sure to add yourself to that. And lastly, if you want that completely free stock worth all the way up to 50 dollars, use my link down below in the description. Public is going to be giving you that free stock, plus I'm posting all my stock trades on there. So, if you want to see what I'm buying, just sign up for it—it's basically like free money.

Enjoy! Let me know which stock you get. Thank you so much for watching, and until next time.