by Sathvik Nagraj | Feb 17, 2023 | Investment
Building passive income during your 20s is a smart financial move that can set you up for success in the long term.
Passive income is money that comes in regularly with little to no effort on your part, and it can be an excellent way to supplement your regular income or even replace it altogether.
In this blog post, we will take a look at what is passive income, its importance and some ways to generate passive income during your 20s.
What is Passive income?
Passive income is the money you earn without actively working for it on a regular basis.
The beauty of passive income is that it allows you to earn money without sacrificing a major chunk of your time and energy.
Instead, you can focus on other things that matter to you, like spending time with family and friends, pursuing your hobbies or passion projects, or even traveling the world while avoiding any kind of financial stress.
Generating income from passive sources can put you on the path to financial independence and have more control over your finances.
It gives you the freedom to not be completely reliable on a single income source and lets you diversify and provide a safety net.
Importance of making passive income in 20’s
Your 20’s is the ideal time to step up passive income streams which will reap rewards in the future. As mentioned before setting up passive income usually takes effort in the initial phase and then its about managing the process.
In your 20’s, you are usually still exploring and at the start of your career. This combined with your youthful energy and enthusiasm makes it a perfect time to set up the foundation for passive income generations.
By setting up passive income streams early, you have several decades to accumulate wealth through compound interest and investment growth.
This can result in a significant increase in your net worth, allowing you to retire comfortably and enjoy a more financially secure future.
It’s worth noting that setting up passive income streams requires discipline, hard work, and a long-term mindset.
You’ll need to invest time and resources into building your passive income streams and managing your investments. But with dedication and patience, the benefits can be substantial and well worth the effort.
10 proven methods of making passive income in your 20’s
1. Investing in dividend-paying stocks
One of the most popular ways to build passive income is by investing in dividend-paying stocks.
Dividend-paying stocks pay a portion of the company’s profits to shareholders regularly, typically quarterly or annually.
By investing in these stocks, you can earn a steady stream of passive income without having to sell your shares.
2. Invest in Index Funds
Investing in index funds can be an effective way to generate passive income.
Investing in your 20’s can be confusing but by investing in an index fund, you are essentially investing in a basket of stocks that are representative of the broader market.
One of the main advantages of investing in index funds is that they offer diversification, which helps to reduce risk. Because index funds invest in a large number of stocks across a variety of industries, they are less susceptible to the ups and downs of any one company or sector.
This diversification can also help to smooth out the returns over time, providing more consistent passive income.
3. Create and Sell an Online Course
We all have certain skills we have learned and trained for years and there are probably a lot more people out there eager to learn the same skills
This gives you the perfect to share for your knowledge for a price by creating an online course. This can be in form of a videos, e-books or tutorials
Once the course is created, you can continue to sell it over and over again, earning passive income each time it is purchased.
Here are some online platforms where you can monetize online courses
4. Create and Sell Digital Products
Creating and selling digital products is a popular way to generate passive income online.
There are many types of digital products you can create, including ebooks, online courses, software, music, graphics, and more. Choose a product that fits your niche and skills.
Use your skills and knowledge to create a high-quality digital product. This may require writing, designing, recording, or programming, depending on the type of product.
Once your product is ready you will need a platform to sell your product. Some popular options are
Use social media, email marketing, and other strategies to reach potential customers and promote your product.
Remember that creating and selling digital products requires time and effort, but once you have a product in place, it can generate passive income for years to come.
5. Building a blog or website
Building a blog or website can be a great way to build a passive income, especially if you can monetize it through advertising or affiliate marketing.
The process will involve you picking a niche and developing quality content which will attract the people interested in that niche.
You can attract audiences through social media or by creating SEO optimized content
By creating valuable content and building an audience, you can earn money through ad revenue or by promoting products or services as an affiliate.
6. Create a YouTube Channel
The idea behind creating YouTube channel is similar to creating a blog or a website. This will also involve picking a niche and creating quality content. But the medium of communication is different.
Attracting a subscriber base on YouTube takes time and depends on quality of your content and also your consistency.
As you keep posting and analyze your video metrics, you will understand the algorithm better and can create content accordingly
After you cross a certain subscriber count YouTube allows you to monetize through Ad revenue. You can monetize additionally through affiliate marketing and brand deals
7. Ecommerce Store
Creating a Ecommerce Store has become accessible to the general public due to introduction of platforms like Shopify.
It allows you set up a complete store, choose a template, set up a paywall and also sets up delivery partners in certain cases.
Now the question is what can you sell?
There are few different options here. You can sell certain handmade products, food items and so on if you can make them. Some other options you can consider are –
- Print on Demand
- Dropshipping
- Digital products
Once you set up the ecommerce shop, you will need to figure out how you will get in front of people. This can done through social media, influencer marketing and blogs as well.
8. Rental properties
In case you have certain amount of savings and looking for one time investments to yield returns, investing in real estate and rental properties can be the right choice.
By purchasing a property and renting it out to tenants, you can earn money each month through rent payments.
Additionally, as the value of the property increases over time, so will your passive income.
The whole process will need you to do some research and calculations and understand the cost to benefit ratio.
9. Peer to Peer Lending
Peer-to-peer (P2P) lending is a platform that connects borrowers with lenders. As a lender, you can invest money into a P2P lending platform, which is then used to fund loans for borrowers. As the borrower repays the loan with interest, you receive a portion of that interest as passive income.
P2P lending can generate passive income in several ways:
- Interest payments: When you lend money to a borrower through a P2P platform, you earn interest on that loan.
- Diversification: P2P lending allows you to diversify your investments by lending to a variety of borrowers across different industries and credit profiles.
- Automated investing: . Once set up, the platform will automatically invest your funds in loans that meet your criteria, making it a truly passive investment.
It’s important to note that P2P lending does come with some risks, including the possibility of defaults and late payments.
However, by diversifying your investments across multiple loans and carefully choosing the borrowers you lend to, you can minimize these risks and generate consistent passive income.
With the rise in multiple social media apps we have also seen increase in social media influencers in the past few years.
The idea here is to choose a platform and create content within a niche, and attract an audience. As the audience and number of followers increase you will be able to monetize this by either selling e-products or by collaborating with brands.
You can create content based on your field of interest. This will make sure that you consistently create content and engage with your audience to ensure.
Conclusion
In conclusion, building passive income during your 20s can be a smart financial move that can set you up for success in the long term.
There are many ways to build passive income, from investing in dividend-paying stocks, creating an online course, building a blog or website, investing in rental properties, peer-to-peer lending, and starting a business.
Digital gold is also a great option to diversify your portfolio and act as a hedge against inflation. It is a liquid investment, easy to buy and sell, and with no storage costs. By taking advantage of these opportunities and building a diverse portfolio, you can start.
by Sathvik Nagraj | Feb 17, 2023 | Savings
Most of us find ourselves broke by the middle of the month. We receive our salaries/incomes at the beginning of the month and for the next 15-20 days we spend lavishly on things we don’t necessarily need. We sometimes do not budget or save the money that we get, or in other words, we fail to manage our finances. And then we begin to understand the importance of personal finance management.
Raise your hands if you find yourself guilty of this!
Don’t worry, we are here to help you.
Personal finance management is the process of managing one’s financial resources to achieve financial goals and stability. It involves budgeting, saving, investing, and protecting one’s assets. In today’s fast-paced world, personal finance management has become increasingly important.
In this blog post, we will explore the reasons why personal finance management is so important and discuss some of the necessities related to this topic.
The Steps Involved in Managing your Personal Finances:
The importance of personal finance is something that all of us need to understand better. But before that, we need to know the main steps and components involved in money management.
Financial goals
Personal finance management is crucial for achieving financial goals, whether it be saving for retirement, buying a house, or paying off debt.
Without proper management, it can be difficult to reach these goals and maintain financial stability.
Budgeting
Budgeting is the process of creating a plan for how to spend and save one’s money. It is one of the most important aspects of personal finance management.
It allows individuals to control their spending and ensure that they are saving enough to reach their financial goals.
Saving
Saving is a crucial component of personal finance management. It is important to have an emergency fund to cover unexpected expenses and to save for long-term goals.
Personal finance management can help individuals identify ways to increase their savings and make them more efficient.
Investing
Investing is another important aspect of personal finance management. It allows individuals to grow their wealth and prepare for the future.
Personal finance management can help individuals understand the different types of investments available, and how to choose the right ones for their goals and risk tolerance.
Debt management
Personal finance management can also help individuals manage their debt.
It can help them understand how to pay off high-interest debt and prioritise their payments to become debt-free.
Credit score
Personal finance management can also help individuals understand how to maintain and improve their credit scores.
It is an important factor in obtaining loans and credit cards.
Retirement planning
Personal finance management is essential for retirement planning. It helps individuals understand how much they need to save for retirement, and how to invest those savings to ensure that they have enough to maintain their standard of living during retirement.
Protection of assets
Personal finance management also involves protecting one’s assets.
It includes understanding insurance options and creating a plan to protect against financial losses due to unforeseen events such as accidents, illness or death.
Tax planning
Understanding the tax implications of different financial decisions and taking advantage of tax-saving opportunities is also an important aspect of personal finance management.
Mindfulness
Personal finance management is not only about numbers and calculations, but also about being mindful of one’s spending habits and financial decisions.
By being mindful of one’s finances, individuals can make informed decisions, reduce stress and increase overall financial well-being.
What you should remember ultimately:
In conclusion, personal finance management is essential for achieving financial goals, maintaining financial stability, and increasing overall financial well-being. It involves budgeting, saving, investing, debt management, credit score management, retirement planning, protection of assets, tax planning and mindfulness.
By practicing good personal finance management, individuals can make informed decisions, reduce stress and increase overall financial well-being.
by Sathvik Nagraj | Feb 17, 2023 | Digital Gold
Digital gold, refers to the buying and selling of gold in a digital form. In India, digital gold has become increasingly popular as a way to invest in precious metals without the need for physical storage. This is because of the number of benefits of digital gold.
However, there is often debate about the regulation of digital gold in India. Many people are wonder whether digital gold is legal in India.
In this blog post, we will explore the legal status of digital gold in India and discuss the major keywords related to this topic.
Role of Government in the Regulation of Digital Gold in India
The regulation of digital gold in India is subject to various conditions put forth by various regulatory authorities in India.
Reserve Bank of India (RBI) And Securities and Exchange Board of India (SEBI)
- The Reserve Bank of India is the central bank of India and is responsible for regulating the country’s monetary policy. It is also majorly responsible for the regulation of digital gold in India.
- As concerns grow over the unchecked growth of such investments without the investor protections that apply to regulated securities, the Securities and Exchange Board of India (Sebi), and the Reserve Bank of India (RBI) are working to bring digital gold under some regulatory oversight.
- In order to classify digital gold as a security under the plan, the government may change the Securities Contracts Regulation Act and the Sebi Act.
- It also states that, brokers and investment advisors are not allowed to make transactions involving digital gold. Majority of the regulation of digital gold in India is taken care by this body.
Goods and Services Tax (GST)
In India, all goods and services are subject to GST. Digital gold is considered a “good” under GST laws. It is subject to a 3% GST. This way, the regulation of digital gold is taken care by the GST council of India.
This means that when you purchase digital gold, you will be required to pay an additional tax on top of the price of the gold.
Foreign Exchange Management Act (FEMA) –
FEMA is a law that regulates foreign exchange transactions in India.
In 2020, the Reserve Bank of India issued a circular stating that digital gold is considered a “good” under FEMA. It is subject to the regulations that apply to goods.
Bullion Association of India (BAI)
BAI is a trade association of bullion dealers in India.
In 2020, BAI issued a statement stating that digital gold is not considered a physical commodity. T herefore, it is not subject to the regulations that apply to physical commodities.
Takeaways
In conclusion, digital gold is legal in India, but it is subject to various regulations.
- The Reserve Bank of India has not specifically banned digital gold, but it has banned banks from providing services to cryptocurrency exchanges.
- Digital gold is also subject to GST. It is not considered a security or a physical commodity.
- The Securities and Exchange Board of India and the Bullion Association of India have issued statements stating that digital gold is not subject to the regulations that apply to securities and physical commodities respectively.
It is important to note that the government has not yet released any specific statements about the regulation of digital gold in India. This means that while it is legal, there are no explicit guidelines on how digital gold should be traded.
It is therefore recommended that individuals use caution and conduct thorough research before investing in digital gold.
by Sathvik Nagraj | Feb 17, 2023 | Digital Gold
Investing in digital gold has become increasingly popular in India over the last few years because of its various benefits and advantages. With digital gold investment platforms, investors can buy digital gold and store it safely, with easy access to their investments anytime and anywhere. But with so many options available on the market, how do you know which one is the best app to buy digital gold in India?
With the ever-changing world always finding its way towards tech-friendliness, it is beneficial to say that what was once a normal planet is becoming an e-planet of sorts. Constantly, we have up-and-coming trailblazers in the world always building something which is constantly improving the world towards the better.
Our comprehensive guide will help you compare different digital gold investment platforms, features and associated risks so that you can make an informed decision when investing in digital gold.
Find out what makes a good digital gold platform and learn which ones are best for buying digital gold safely in India today!
How to Choose an App to Buy Digital Gold?
When choosing a digital gold platform, there are several features that investors should consider, such as:
Security
Look for digital gold platforms that are secure, have strong encryption systems and offer two-factor authentication.
This will ensure that your digital gold investments are safe and secure from any potential hackers.
User Interface of the app
Choose digital gold apps that are user-friendly, with a clean and easy to understand interface.
This will make it easier for you to buy digital gold and keep track of your digital gold investments.
Investment Options
Some digital gold platforms may offer additional investment options such as mutual funds, stocks or bonds.
If you plan to diversify your digital gold investments, then make sure to choose a platform that offers these features.
Some of the Best Apps to Buy Digital Gold in India
With so many options available on the market, how do you know which one is the best app to buy digital gold in India?
We recommend the following digital gold apps as the best digital gold platforms available in India:
This is one of the most popular digital gold investment platforms in India and allows you to buy digital gold with just a few taps.
It also offers additional features such as mutual funds, stocks and bonds for diversifying digital gold investments.
JAR is a digital gold investment platform based in India that offers investors an easy and secure digital gold buying experience. The app allows users to conveniently and quickly buy digital gold from anywhere, at any time.
JAR’s digital gold platform is one of the most secure digital gold apps available in India, featuring strong encryption systems and two-factor authentication.
This digital gold platform is one of the most secure digital gold investment apps in India and offers a simple user interface with features such as real-time price updates, digital gold transfers and more.
This digital gold app allows you to buy digital gold from any device and provides investors with an easy and secure digital gold investment experience.
This digital gold platform offers a simple user interface and allows users to buy digital gold from any device. It also provides features such as 24/7 customer support, real-time price updates and more.
Conclusion
Investing in digital gold is a great way to diversify your investments and protect your wealth. With so many digital gold apps available on the market, make sure to choose one that offers a secure and easy digital gold investment experience.
We hope this guide has provided you with information about digital gold investment platforms available in India, as well as what features to look for when choosing a digital gold platform. Investing in digital gold is a great way to diversify your investments and protect your wealth.
With so many digital gold apps to choose from, we hope we provided you with some insight into the world of digital gold and the best app to buy digital gold in India.
by Sathvik Nagraj | Feb 16, 2023 | Digital Gold
If you’re looking for a secure and reliable investment option that offers numerous benefits, digital gold may be just what you need. Digital gold, a form of digital currency that is backed by actual gold reserves, has become increasingly popular in recent years due to its convenience and cost-effectiveness. This is due to the numerous benefits of digital gold.
India is one of the massive consumers of gold in the world. It is estimated that the amount of gold in Indian households is 20000 tonnes which has an approximate value of $1 trillion!
However, in the growing ecosystem of the digitally happening world, the country is moving towards a more convenient approach for its investment needs. Digital gold or electronic gold happens to be a new trend and it also has several benefits towards itself.
But the first question we ask ourselves is, is a digital gold investment good or bad? And what are the benefits of investing in digital gold.
What are the Main Benefits of a Digital Gold Investment?
Digital gold, also known as e-gold or digital currency, has been gaining popularity as a good investment option in recent years. Here are some of the reasons why investing in digital gold is good. (Check out our article on safety of digital gold here)
Convenience:
One of the biggest advantages of digital gold is its convenience. You can easily purchase and store digital gold online, without the need to physically store or transport it.
Anyone can easily buy gold online with the help of various apps like JAR, Paytm, safegold etc.
This makes it an attractive option for investors who are looking for a more convenient way for an investment in gold.
Liquidity:
Digital gold is highly liquid, which means that it can be easily converted into cash.
This is especially useful for investors who need to liquidate their assets quickly. When you buy gold online, it can be converted to cash within no time.
With traditional gold, it can be difficult to find a buyer and the process of selling can be time-consuming.
With digital gold, you can easily sell your investment in just a few clicks.
Cost-effective:
Investing in digital gold is generally more cost-effective than investing in physical gold.
You don’t have to worry about the costs associated with storing and ensuring physical gold, and you can avoid the high costs of buying and selling physical gold.
24×7 market:
Digital gold can be bought and sold 24 hours a day, 7 days a week, which means that you
can make trades whenever you want.
This is especially useful for investors who are looking to take advantage of market fluctuations.
Fractional ownership:
With digital gold, investors can purchase fractional ownership of gold, which means
that they can invest in gold with a smaller amount of money.
This is beneficial for investors who have a smaller budget or who want to diversify their
portfolio.
International market:
Digital gold is an international market and can be bought and sold globally, which
means that you can take advantage of global market fluctuations.
This is beneficial for investors who are looking to diversify their portfolios and take
advantage of international market trends.
Accessibility:
Digital gold is easily accessible and can be purchased from anywhere in the world as
as long as you have internet access.
This is beneficial for investors who are looking to invest in gold but do not have easy access to a physical gold market.
Transparency:
Digital gold transactions are recorded on a blockchain, which means that they are
transparent and easily auditable.
This is beneficial for investors who are looking for a more secure and transparent way to invest in gold. This is one of the most beneficial factors of digital gold as it helps in building
customer trust.
Security:
Digital gold is stored in a digital wallet, which is protected by a private key.
This means that only the owner of the digital gold can access it, which makes it more secure than physical gold.
Takeaways!
Digital gold is a good investment option as it offers convenience, liquidity, cost-effectiveness, 24×7 market, fractional ownership, international market, accessibility, transparency and security.
With the rise of digital assets, digital gold is becoming an increasingly popular investment option for investors looking to diversify their portfolios and take advantage of the
benefits of gold as an asset class.
It is important to do your research and consider your financial situation before making any investment decisions as financial literacy is a must.
Hence, is an investment in digital gold good or bad? You decide!
