6 Legitimate Ways Writers Like You Make Passive Income
No gimmicks, no miracles—a bit of work and some brilliant follow-through will do it
This is not for writers who don't care about earning a living. The ultimate writer fantasy isn’t just seeing your name in print; it's seeing your bank account grow while you’re sleeping, on vacation, or finally tackling that stack of books you swore you’d read last year.
For me, that has been the magic of passive income.
Now, "passive" is a bit of a misnomer. It's not no-work income. It's work-your-tail-off-once-and-reap-the-rewards-repeatedly writing income. You create a valuable asset, set it up for sale, and let it generate revenue with minimal ongoing effort. For writers, this isn't a pipe dream—it's a strategic business move.
I promise you, I'm doing this, following all the steps I share with you in my articles and posts. And my income is more than enough to pay the bills and then some. Last night, while I was sound asleep, Stripe deposited $567 in my checking account and Paypal kicked in another $289. Hand to God!
That happens multiple times a week now, though last spring I was delighted when my efforts produced a couple of hundred bucks in a month.
Here are six legitimate ways to make it happen. I have proven each of them.
Self-publish ebooks & print-on-demand books
This is the quintessential passive income stream for writers. You write a book—fiction or nonfiction—and publish it on platforms like Amazon KDP. Every time someone buys a copy, you get a royalty. The work is in the writing, editing, and initial setup. After that, the sales engine runs on its own if you establish a personal platform and occasionally run a promotion.
How to start: Go through your old blog posts, articles, or that short story collection on your hard drive. Could any of it be packaged into a compelling eBook? Platforms like Amazon KDP, Payhip, and Gumroad make the technical side surprisingly simple. I mostly use Payhip, but I've had good sales on Amazon and one sale on Gumroad.
Create and sell an online course
You have a skill other writers want. Maybe it’s crafting killer plot twists, mastering SEO for blogs, or navigating the query process. Maybe it's travelling hassle-free or parenting like a pro. Package that knowledge into a video or text-based online course. Once you've created the modules and materials, you can sell them indefinitely.
I have several courses online, and they all sell well because I know my stuff and can explain complicated topics in simple, actionable terms. But deploying a robust course takes work. Read How to Drive Yourself Nutz with a Writing Project BEFORE you dive in.
How to start: Poll your audience. What do they struggle with the most? Create a focused mini-course solving one specific problem. Platforms like Systeme.io, Payhip, or Teachable are built to host and sell your course, automating the entire process. (Yes, like my own Write.Earn.Repeat course!)
Sell digital products & templates
Think smaller than a book or course. Writers and readers constantly need tools. You can create and sell things like:
Character development worksheets
Novel outlining templates
Social media content calendars for authors
Pre-made book cover templates
These are often simple PDFs or spreadsheets that solve a very specific problem. I keep a decent inventory of these available all the time at Payhip—I never know when a reader might need extra help or a different explanation of a solution to a problem. My 10 Quick Steps to Solving Writers' Problems series is a best seller.
✅ The effort is all upfront, and the delivery is completely automated. Follow this guy, Mike Searles , for some great info on leveraging PDFs!
How to start: Identify a tedious part of your own writing process. Can you create a template to streamline it? You can sell these directly from your own website using a funnel builder like Systeme.io or an e-commerce platform like Payhip.
Leverage affiliate marketing
You already recommend books, writing software, and services you love. Why not get paid for it? Affiliate marketing involves placing a special link to a product in your blog posts, newsletters, or social media. When someone clicks your link and makes a purchase, you earn a small commission at no extra cost to them.
This revenue stream is simple and quick. You won't make six figures, but it will add to your overall writing revenue streams.
How to start: Make a list of products you genuinely use and endorse (Scrivener, ProWritingAid, a great web host, etc.). Check if they have an affiliate program. Write an honest review or a "how-to" guide featuring your affiliate link. Authenticity is key here—only promote what you trust.
Start a paid newsletter or membership
If you've built a loyal audience, you can offer them exclusive, premium content for a monthly or annual fee. This could be extra essays, behind-the-scenes looks at your work, in-depth writing guides, or access to a private community. It creates a predictable, recurring revenue stream.
How to start: Platforms like Substack or Ghost make it easy to set up paid tiers. Start by building a list by publishing free articles providing immense value, and then offer a paid option for your most dedicated fans. You probably read me on Substack. I have earned best-seller status there, but I don't push paid subscriptions—Substack is my hub for developing other ways of earning writing income.
License your content
Do you have a portfolio of high-quality articles, short stories, or even photos? You can license this content for others to use on their own blogs or publications. It’s less common, but can be a great way to give old work a new life. Similarly, you can create "PLR" (Private Label Rights) content—articles or ebooks that you sell to others who can then modify and use them as their own.
I haven't tried these two options, and frankly, I doubt I'd like the PLR thing, but other writers might find it satisfying. Licensing is on my to-do list as I have a backlist of more than 1,000 articles. Truthfully? I haven't had time to delve into this one.
How to start: Focus on creating evergreen content in a specific niche. You can list your articles on content marketplaces or reach out directly to publications that might be interested in syndicating your work. As I look into this, I'll share what I find out.
Is it all worth it?
Passive income won't make you rich overnight and there are no shortcuts. You've seen the videos How I Made a Million Bucks by Selling Digital Downloads? Well, very often, the money is only made by the person spamming the video across YouTube. Likely, the money is nowhere near their brag and mostly comes from YouTube, not digital sales.
There is no such thing as a free lunch. If you want to earn money writing, you will have to reconcile yourself to working (sometimes) and treating your process like a business—a microbusiness.
Each of these methods requires a significant investment of time and expertise upfront. When I committed to redeveloping my writing business to focus on the web instead of in-real-life freelancing, I was prepared to invest time and effort. For the first three months, I made a little money, but I spent at least 30 hours a week working, becoming visible, and learning what I had to do.
But by creating assets that work for me 24/7, I built a resilient and sustainable writing microbusiness—one that gives me creative freedom and financial peace of mind. The residual revenue will probably outlast me.
Choose one path that excites you, and start building. Implementation is the only thing that counts—you can daydream or create good intentions all you want, but nothing happens until you make a plan, set goals, and work consistently. For a few months.
✅ If you'd like a step-by-step plan and timeline for establishing a writing microbusiness, let me know in the comments. If enough people express an interest, I'll publish a PDF!
Explore my passive revenue streams—I'll bet there's something there that can help you solve your writing problems. That's what I live for!
⚡️Write-Earn-Repeat in-depth course for writers who want to make a good living
⚡️The Story Funnel (unmarketing) Playbook (how writers can promote their work without pain or frustration).
⚡️Pen2Profit at Substack (take a good look at the navigation tabs at the top of the page.
I was using PayPal for my Ko-fi account and they consistently put a hold on my payments. I switched to Stripe. They never do. I used to work for PayPal as an engineer and we heard complaints all the time about that. You'd think after all these years they'd have sorted that out by now.
But... great post. Always fun to wake up to money!
Helpful article. Congrats on the revenue! And thanks for the mention.