The 10 Best Ways to Make Passive Income in 2026
If your money isn’t making money while you sleep, you don’t have passive income. You have a hobby. Let’s fix that.
Let me be brutally honest.
The phrase “passive income” has been abused by scammers, bros, and self-anointed “gurus” who haven’t actually made a dollar outside of convincing people to buy their shitty PDF on how to make money.
But real passive income? The kind that works in 2026? The kind that grows while you’re spending time with your family at Disneyland?
That version is real. And it is more accessible than ever.
Here is the truth people don’t want to say out loud. Passive income is not effortless. But it is leverage. Meaning you do the work once, set it up correctly, and it keeps bringing in money month after month without requiring more of your time.
And in 2026, with AI, automation, and owned audiences becoming mainstream, everyday people can now build revenue streams that used to be reserved for entrepreneurs with teams, money, and connections.
I am going to show you the 10 smartest, most realistic, most accessible ways to create passive income in 2026. Not hypothetical crap. Not hype. Actual systems that are making me and thousands of others real money right now.
Let’s get into it.
1. Build a Paid Newsletter
This is number one because it is the most predictable, most controllable, and most scalable form of passive income available right now.
A Substack newsletter is a digital asset that grows in value every time you hit publish. You own the audience. You own the revenue. Nobody can take it from you unless you stop writing completely. And I’m speaking from experience; since last October (2024), I’ve made a net profit of over $700,000 on Substack.
Why It Works
Because Substack is built on relationships, not algorithms. People trust you. They pay you. And they stick around. Retention creates recurring revenue. Recurring revenue creates freedom.
How to Start
Pick a specific problem you can help people solve or a perspective you can write about consistently.
Publish weekly so people know you are reliable.
Turn on paid subscriptions once you have momentum.
Build a library of premium posts or guides behind the paywall.
Pro Tip
If your first instinct is “I don’t know enough,” that’s bullshit. You don’t need to be an all-knowing genius. You just need to be a few steps ahead of the people you are writing for. And if need help getting started, enroll in my Substack Bestseller Academy and I’ll help you.
2. Sell Digital Products That Solve One Tiny Problem
Digital products are mini money machines.
People do not want massive courses anymore. They want fast, simple, actionable solutions. Something they can use immediately.
Think small. Then think smaller.
Examples
A Notion dashboard for ADHD creators.
A simple budgeting sheet for freelancers.
A “How to pitch brands as a queer creator” script pack.
A content calendar template.
A list of 200 story prompts for writers.
Why It Works
Digital products take a few hours to make and can sell forever. Once it is uploaded, it becomes digital real estate.
How to Start
Identify one tiny problem people in your niche complain about constantly.
Build a tool that solves that problem in under three clicks.
Sell it through Teachable, Lemon Squeezy, or directly on Substack (just put the download link behind a paywall).
Pro Tip
Your digital product doesn’t need to be perfect. It needs to be useful. People will forgive ugly formatting. They will not forgive useless information.
3. Create and License AI Tools or Prompt Packs
AI is not going anywhere. In fact, it is becoming the backbone of content production, business operations, and communication.
You do not need to code to profit from AI. You just need to understand what people struggle with and build solutions using tools like ChatGPT, Claude, Zapier, and Make.
Examples
AI-powered content calendar generator.
Prompt packs for business owners.
Automated research workflows for journalists.
AI onboarding systems for small businesses.
Why It Works
When you create a workflow that saves someone time, it can sell indefinitely. You are essentially building time-saving machines.
How to Start
Choose a problem.
Build a workflow using ChatGPT and a no-code automation tool.
Package it.
Sell or license it.
Pro Tip
Make sure you are selling something people will actually use. The problem with most AI products is that they solve issues nobody asked to fix.
4. Build a Paid Community
Communities are the new subscription. People want to feel connected and seen.
They do not want another Facebook group that feels like a digital yard sale. They want curated rooms where they can grow, share, and be part of something meaningful.
Examples
LGBTQ+ creatives
Writers building their first income stream
Queer entrepreneurs scaling from $0 to $10K
AI beginners learning together
How to Start
Launch on Substack Chat, Discord, Geneva, or Circle.
Charge $5 to $30 a month.
Offer weekly prompts, themed discussions, or small events.
Moderate consistently so it stays safe and valuable.
Why It Works
Once someone feels like they are part of a community, they rarely cancel. That is why community is the highest retention passive income stream right now.
5. Run a YouTube Evergreen Channel (Faceless)
YouTube is still the number one place for evergreen content that pays for years.
And in 2026, you do not even need to show your face. AI handles almost everything now.
Why It Works
Every video becomes a long-term earning asset through ads, affiliates, and sponsorships.
People are building channels that generate thousands of dollars a month while they sleep, simply by posting:
AI voiceover videos
Listicles
History explainers
Productivity breakdowns
Finance tips
How to Start
Pick one niche with timeless appeal.
Write simple scripts.
Use AI tools to generate audio and visuals.
Post weekly.
Pro Tip
High retention is everything. Keep videos short, punchy, and rhythmically paced.
6. Affiliate Marketing Through Storytelling
Affiliate marketing is thriving because people trust recommendations from people they trust.
But here is the catch:
If you recommend bullshit, people can feel it.
Authenticity converts.
How to Start
Pick tools you actually use.
Create tutorials, stories, or breakdowns around them.
Embed your affiliate links naturally.
Why It Works
You are helping your audience discover tools that genuinely improve their lives. That is ethical influence.
Pro Tip
Do not list 50 products. List 3. Focus on what actually helped you. Scarcity increases conversions.
7. License Your Existing Content
Most creators completely underestimate how valuable their old content is.
Brands need content. Media outlets need content. Education companies need content. And they are paying creators instead of hiring massive teams.
Examples
Licensing your essays
Licensing templates
Licensing Substack archives
Licensing interviews or scripts
Why It Works
You get paid for work that is already done. This is true passive income.
How to Start
Audit your highest-performing content.
Identify companies or organizations that might need it.
Offer licensing rights for a fee.
Pro Tip
Do not give full rights away. Always license limited usage. Protect your IP.
8. Facebook Content Monetization (The Most Underrated Passive Income Stream of 2026)
If you still think Facebook is dead, you’re leaving money on the table.
Facebook is quietly paying creators aggressively to keep users on-platform. And the best part? You don’t need to post videos or Reels.
Ninety-seven percent of my Facebook revenue in 2025 came from photos, quotes, memes, and simple storytelling posts.
It is stupidly powerful.
Why It Works
Facebook monetization is based on engagement. When people interact with your posts, Facebook pays you. No fancy edits. No daily filming. Just consistent, relatable, shareable content.
How to Start
Turn on Professional Mode on your Facebook profile or Create a Facebook Page
Post 2–3 times per day: memes, stories, photos, quotes.
Keep the content emotional, funny, or extremely relatable.
Engage with comments to boost your reach.
Tips
Photos do incredibly well.
Mix inspirational content with “slice of life” humor.
Reuse content from Instagram or Threads to double your output with zero extra effort.
Pro Tip
Facebook is prioritizing creators and communities again. You can absolutely hit $5K to $20K months with the right posting strategy.
9. Build Educational Mini-Courses
People don’t want giant, overwhelming courses anymore.
They want transformation-on-demand.
Mini-courses are perfect:
Short, clear, practical, and easy to create.
Examples
“How to Start Your Substack in One Weekend”
“How to Build a Viral Facebook Page (2026 Edition)”
“AI Tools Creators Need in 2026”
“How to Make Your First $1,000 as a New Creator”
How to Start
Turn one successful post into 3–5 lessons.
Record on your phone.
Sell for $49–$149 on Podia or Substack.
Why It Works
The content is evergreen. You can sell it every day without updating it for years.
10. Stack Your Streams Into One Money System
The real wealth hack in 2026? Not having ten income streams. Connecting two or three streams into a system that feeds itself.
Example System
Your free newsletter grows your audience.
Your paid newsletter makes recurring income.
Your Facebook page monetizes your storytelling.
Your digital products monetize your expertise.
Your AI tools monetize your workflow knowledge.
That is when income stops feeling like chaos and starts feeling like a machine.
Systems scale. Hustling doesn’t.
The Truth About Passive Income
Let’s be fucking honest. Nothing is truly passive in the beginning. There is always a setup phase.
But once the system is built, your life changes.
You stop trading time for money. You stop panicking about bills. You stop thinking you need a “traditional career path.” Passive income is not about laziness. It is about leverage.
Build Once. Earn Forever. Your Future Depends on It.
You do not need all ten income streams. You need one you commit to for ninety days.
One system that works. One project you finish. One audience you serve.
And if you want to build passive income the smart way instead of the chaotic way, then you need to join Substack Bestseller Academy.
Inside the Academy, I teach you how to:
Build a Substack that pays you every month.
Create digital products that sell on autopilot.
Monetize on Facebook, Instagram, and Threads.
Use AI to automate half your workload.
Stack your income streams into one cohesive, scalable system.
You want financial freedom. This is how you build it.
👉 Join Substack Bestseller Academy and learn how to turn your ideas, your voice, and your audience into passive income that grows every month.
2026 belongs to the creators who take action. Not tomorrow. Today.