3 Passive-Income Streams Every Canadian Should Try at Least Once

Dividend stocks can certainly provide passive income, but only if you have the money available! This is why you may need other streams first.

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Creating passive income can be an incredibly frustrating journey if you’re not finding the right one for you. There are plenty of people out there claiming they’ve found the best way to create thousands of dollars each month. Yet these usually aren’t passive-income streams but side hustles.

And there’s a huge difference here. Passive income is income that comes in with very little effort. That’s why investing is usually the best way to create passive income. Investing creates returns after simply purchasing shares. Done! Now you have passive income.

But what if you don’t have the money to invest in the first place? That’s why today I will look at truly passive income that can help you start investing. Let’s get right into it.

1. Car advertising

One of the easiest ways to create passive income is car advertising. This method of passive income is fairly self-explanatory. You simply sign up to place decals on your car for businesses. They might be local or online stores; it really doesn’t matter. You simply apply online, with many options available. Then, you will be paid based on how large the advertisement can be on your car. Some advertisers offer $300 per month!

You can also place multiple ads on your vehicle, bringing in even more passive income. If you were to have three on your car for a year at $300, you would be bringing in $10,800 annually!

2. Rent unused space

An easy way to create passive income if you don’t have a car is to rent out the unused space you do have! This might include a parking spot in a downtown building. It could be the apartment storage you’ve been meaning to clean out. Or it could even be the shed in your backyard that just holds a lawn mower that could easily be moved to the garage.

Whatever you choose, you could create more passive income at around $300 per month, depending on where you live. Again, do this, and you could create an additional $3,600 per year!

3. Making money from what you do anyway

Finally, one of the best and easiest ways to create passive income is from monetizing the things you’re doing anyway. That includes car advertising since you always need to drive around. But it also includes things like shopping.

Here you can make a little extra cash in three ways. First, use an online program such as Rakuten, which provides cash back on purchases at a slew of major stores. Then, let’s say you received cash back from a grocery store such as Loblaw. You can then sign up for the loyalty program, creating points that can be used to make purchases later. Finally, use your credit card! Earning rewards points is another way that you can turn your everyday shopping into funds through gift cards or even credit gift cards!

Bottom line

Once you’ve created all these passive-income streams and gotten into the new habit of collecting points and cash back, the rest is easy. You can use that extra income to simply put that cash into investing. And, honestly, Loblaw stock is a great option! It offers passive income, trades near 52-week highs, and offers an essential service over a large umbrella of operations across Canada. So, start creating some passive income today.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Amy Legate-Wolfe has positions in Loblaw Companies. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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