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Passive income is the new buzzword of wealth. So, what is passive income? Passive Income is income generated from sources that require some upfront work and provides a steady stream of income with little or no additional work.

In order to get the biggest bang for your passive income buck, look for passive income opportunities that are cohesive and related. Instead of scattering your ideas around, you maximize your passive income by leveraging one opportunity with another. For example, if you write a blog or own a website, writing an e-book on the subject would be more effective than writing an e-book on a totally unrelated subject.

Purchase Rental Property
I know that I hate writing my monthly rental check because the money that is virtually thrown away. I feel that business owners should consider owning their business's property.

Owning your property is like paying yourself. To maximize the benefits of commercial property ownership, you should setup a separate entity (corporation, LLC) for the management of the property. Your current business should still pay rent every month to this separate entity. There are too many reasons for setup a separate business for the commercial real estate to explain here. Speak to your accountant about your best options and the benefits.

If you have multiple individual units to rent, then you are creating a great passive income stream. To reduce the amount of your time invested in managing the property, you can hire a property management company to manage the details.

Vending Machines
Placing vending machines at your business is a great form of passive income. Since I own a Martial Arts School, we offer water and energy drinks. Coca Cola provides and services the machine FREE as long as you purchase the drinks from them. The cost per case is cheaper than you can get in a store.

Our vending machines earn about $60 per month. We need to fill the vending machine only once every month although we could easily let it sit for two months without any problems.

Don't limit the vending machine idea to drinks. It could be a snack machine, gumballs, or "a grab a stuffed animal with a claw" game. Take a step back, look at your business, and find the machine that fits.

Fund an IRA
This is a no-brainer. Investing money in mutual funds, stocks, and bonds generates a passive income over the long run. This means investing for the long haul no day trading.

I recently read many blog posts about investing and market timing. I believe market timing is difficult

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