Passive Income Isn't Just for the Rich. Here Are 3 Ways Everyone Can Earn More Money

You've probably heard the saying, "It takes money to make money." And yes, that's sometimes true. Buying rental properties or building a giant investment portfolio usually requires a pretty big upfront check.

But even with a relatively small amount of money, you can begin setting up income streams that can grow into big rivers over time.

Here are three easy ways regular people can earn more money without much effort.

1. Open a CD or high-yield savings account while rates are high

It doesn't always make sense to keep cash in a certificate of deposit (CD). But thanks to the high APYs over the past few years, now is a great time to earn a guaranteed return in a safe spot.

Right now, top CDs and high-yield savings accounts are offering rates near the ~4.00% range, with essentially zero effort and no market risk.

Let's say you've got $1,000 you don't need for emergencies or upcoming bills. Lock it into a 12-month CD earning 4.00% APY, and a year from now you'll have about $40 more than you started with. That's not life-changing money, but it's free money earned while doing absolutely nothing.

If you want flexibility instead, a high-yield savings account lets you earn strong interest while keeping your cash accessible. Either way, this is one of the simplest ways to dip your toe into passive income.

Check out our list of today's top high-yield savings accounts to see where you can earn the most interest right now.

2. Invest in REITs or dividend-paying stocks

Traditional real estate investing requires a lot of capital. You can't exactly buy an apartment building with $1,000.

But you can invest in real estate through real estate investment trusts (REITs). These are companies that own income-producing properties -- things like apartments, offices, and shopping centers.

By law, REITs are required to pay out at least 90% of their taxable income to shareholders. That's why they tend to offer higher dividends than many regular stocks. In 2025, the average dividend yield for REITS was just over 4%. So if you invested $1,000, you might earn roughly $40 in dividends at that rate -- and that's before factoring in any appreciation or growth over time.

Dividend stocks work similarly. Instead of owning physical property, you're owning shares in companies that return profits to shareholders on a regular basis.

You can buy both REITs and dividend stocks through a brokerage account, just like any other investment. And you don't need a huge balance to get started.

3. Use credit card rewards the right way

You should never buy things you wouldn't normally buy just to earn credit card rewards. But if you use a card with a great rewards program for your regular purchases like groceries, gas, and dining, you can earn a decent amount of cash back in the process.

For example, if your card earns 3% cash back on groceries and gas and you spend $600 per month in those categories, that's about $216 in cash back over a year. Not bad for spending you're already doing.

Welcome bonuses can also boost your rewards if you're thoughtful about timing. If a card offers $250 back after spending $1,000 in 90 days, you can earn that bonus pretty easily without stretching your budget.

The key is to never spend more just to earn rewards. But if you're already spending the money anyway, you might as well get something back.

Passive income doesn't have to be huge streams. It starts small -- a little interest here, a small investment there, a smarter choice with money you're already spending. Over time, those streams grow, stack, and make life easier.