There is a lot of discussion on the Internet about Passive Income. IMHO, there is not such thing as completely passive (zero effort) income. Rather, there a sliding scale of effort or initial investment versus zero.
Here's how I rank them on a scale of 1-10, where 10 is full time work and 1 is no effort at all.
Social Security: After retiring and collecting: 1. While working: 10, it takes 35 years to get maximize benefits.
Pension: After retiring and collecting: 1-2. While working: 10 it takes 30+ years to maximize one's pension.
Rental. After retiring and collecting: 3-7 because one still needs to deal with tenants.. While working: 3-7.
Dividend and Interest: After retiring and collecting: 3-7 because need to monitor investments. While working: 3-7 because need to monitor investments.
Side Hustles: After retiring and collecting: 3-10, since a side hustle is really a job. While working: 5-12 since there is no "no effort" side hustle.
I don't believe in "passive" or zero effort income. Yes, there are lower effort income, but YMMV.
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