How to Start Earning Passive Income with Less Than RM500

Start Earning Passive Income: 10 Easy, Low-Cost Ideas

Who wouldn’t love to make money while they sleep? The good news is—you can. If you want to start earning passive income, you don’t need a huge investment or years of experience. With the right ideas and strategies, you can create income streams that work for you 24/7.

Whether you’re a student, employee, or small business owner, these low-cost passive income ideas can help you build financial freedom—without draining your savings.

1. Start Earning Passive Income with Dividend Stocks

Investing in dividend-paying stocks is one of the simplest ways to generate steady income.

• Look for companies with a history of consistent payouts.
• Use apps like Rakuten Trade or Bursa Malaysia for beginners.

💡 Tip: Reinvest your dividends to grow your portfolio faster.

2. Create and Sell Digital Products

E-books, templates, or online courses can be created once and sold forever.

• Platforms: Etsy, Gumroad, Udemy
• Initial cost: Minimal, just your time and creativity

3. Rent Out Your Space

If you have an unused room, parking spot, or storage area, list it on platforms like Airbnb or LuggageHero.

• Low effort
• Steady monthly cash flow

4. Start a Blog or YouTube Channel

Content creation can generate income from ads, sponsorships, and affiliate links.

• Focus on topics you’re passionate about
• Be consistent for 6–12 months for results

5. Peer-to-Peer Lending

Platforms like Funding Societies allow you to lend money to businesses and earn interest.

• Low entry point
• Higher returns than savings accounts (but with some risk)

6. Sell Stock Photos or Videos

If you enjoy photography or videography, upload your work to Shutterstock, Adobe Stock, or iStock.

• One-time effort
• Ongoing royalties

7. License Your Skills

Musicians, designers, and coders can license their work for commercial use.

• Examples: Music libraries, design marketplaces

8. Invest in REITs

Real Estate Investment Trusts let you invest in property without buying one yourself.

• Listed on Bursa Malaysia
• Monthly or quarterly income

9. Automated Online Stores

Use dropshipping or print-on-demand to sell products without inventory.

• Platforms: Shopify, Printful, Shopee
• Low startup cost

10. Build a Mobile App

If you can code (or hire someone), an app can earn from ads or subscriptions.

• Long-term income potential

How to Choose the Right Passive Income Idea

Ask yourself:

• How much time can I invest upfront?
• What skills or resources do I already have?
• Do I want short-term returns or long-term growth?

Final Thoughts: Start Earning Passive Income Today

The best time to start earning passive income was yesterday. The second-best time is now. You don’t need huge capital—just consistency, patience, and smart choices.

Take one idea from this list, start small, and watch your money work for you.