Staking cryptocurrency in a very conservative way has produced the following incomes: $4600 - 2017 $23,000 - 2018 $3700 - 2019 $2500 - 2020 2021 is shaping up to look like 2018 again but I haven't run the numbers
Staking as in PoS?
Ask HN: What passive income investments exist to supplement your salary?
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Re: Ask HN: What passive income investments exist to supplement your salary?
#72So, about renting, I bought a single family home for $500k in bay area. It now is worth $1M. Gets me rent before expenses of $40000. So far, I have spent about $5k per year on. Repairs etc. So effectively, I make about $20k after taxes, repairs, mortgage interest etc. Overall, I spent $350k by way of downpayment, mortage interest payment, etc. No major tenant issues. Hence, I would peg my return on investment of 5% i…
Over the lifespan of owning the building, say a few decades, you can expect: 1. Rare but highly expensive major expenses like a new roof, new heating system, etc. It's like a tail risk- you don't pay for it most years, but when it comes up, it costs a lot. 2. Required renovations- just to stay at your current level of quality. I.e. let's say you rent to normal middle class tenants now. In 10-15 years, you'll need to…
Most folks I know that purchase properties are not in it for cashflow. Breaking even is enough. The goal is to purchase the next one with a downpayment against existing equity. The deck of cards falls apart if the property market corrects significantly but how is that different than everything else happening in this economy.
Re: Ask HN: What passive income investments exist to supplement your salary?
#73Re: Ask HN: What passive income investments exist to supplement your salary?
#74Staking cryptocurrency in a very conservative way has produced the following incomes: $4600 - 2017 $23,000 - 2018 $3700 - 2019 $2500 - 2020 2021 is shaping up to look like 2018 again but I haven't run the numbers
Staking as in PoS?
Yes PoS is _part_ of the consensus algo for this coin (Decred) - only 30% of the block reward goes to PoS while PoW miners (60%) and the the treasury (10%) receive the rest of the reward
Re: Ask HN: What passive income investments exist to supplement your salary?
#75Staking cryptocurrency in a very conservative way has produced the following incomes: $4600 - 2017 $23,000 - 2018 $3700 - 2019 $2500 - 2020 2021 is shaping up to look like 2018 again but I haven't run the numbers
Which currencies? How much have you had to stake to make these kinds of returns?
Re: Ask HN: What passive income investments exist to supplement your salary?
#76Earlier quoted context omitted.
Diversity is useful though. Stocks have crashed in the past, and they will in the future. As has real estate and every other investment. You thus need a backup plan in case your investment fails. I make no attempt to predict WHEN these crashes will happen, or how big they will be.
A single property is not diversification, if anything it further concentrates your money into a single asset.
That depends on the size of your other investments. If the property is worth $100,000 and your total assets are $1,000,000 with the rest in stocks, that one property is a reasonable level of diversification. If you already have a house worth $500,000 then taking money out of stocks to buy the rental is a bad investment. The above are but two very simplified examples. You need to figure out what is correct for your situation though - there is no one size fits all.
Re: Ask HN: What passive income investments exist to supplement your salary?
#77Other say how landlord ON USA are not that passive, but maybe do it in other countries? Here in Colombia being landlord is very good, because most use an agency that manage the property (collect the money and do some basic fixes). I probably have called the actual owner 1 or 2 times in a decade for approval for some fixes.
I assume you're talking about being landlord of an apartment in a larger apartment complex where a property manager takes care of many apartments at the same time? I'm asking because my impression is that this scales better and should therefore be significantly cheaper than paying someone to manage a single apartment or house somewhere. (Besides, with a house or I'd imagine a lot more fixes being necessary over time.…
Here exist companies and individuals that do it.
In fact is unusual your rent is directly to the owner, is the norm you pay the "Arrendadora" instead.
The case of apartment is a bit different. All complex have "administration" that everyone pay, but this is mostly in "closed complex". If the building is in the open, is more common is a person that take the role.
BTW: I'm close to Medellin in a town called El carmen del Viboral. Right now exist a lot of demand for out-of-city property...
Re: Ask HN: What passive income investments exist to supplement your salary?
#78Staking cryptocurrency in a very conservative way has produced the following incomes: $4600 - 2017 $23,000 - 2018 $3700 - 2019 $2500 - 2020 2021 is shaping up to look like 2018 again but I haven't run the numbers
Which currencies? How much have you had to stake to make these kinds of returns?
I just stake decred. Years ago I was much more ambitious and after losing money in multiple exchange hacks, and then losing nearly everything again in the ethereum DAO exploit, I will never again leave coins around outside of my own custody. Few cryptos let you stake easily while maintaining complete custody of your coins
Last I checked, I averaged just over the current annual roi at about 5%, but back in 2017 roi was higher at like 7% so you can do the math to see how much I have :)
It's all a bit of a blessing and a curse though. The year I made over 20k staking, I actually paid ~35% tax on that without realizing any profit in USD but thankfully I had enough money to handle that
Re: Ask HN: What passive income investments exist to supplement your salary?
#79Truly passive income doesn't really exist (and shouldn't exist, outside of perhaps some type of state sponsored basic income). The exception in recent history is ETF's, which provide a relatively high level of reliable growth due to a questionable tax exception and government monetary policy that favors stock market positions over other economic metrics such as wealth inequality. I believe ETF's are bad for the econo…
Would you mind elaborating on why you dislike ETFs? From my point of view, they provide retail trades the opportunity easily to allocate a portfolio among various sectors. Does your dislike of ETFs extend to "old-school" mutual funds, or is there something about ETFs in particular that turns you off of them?
Re: Ask HN: What passive income investments exist to supplement your salary?
#80Publish books on Amazon. I've published 4 and make about $3k in profit per month, after paying for ads on amazon. Don't write them yourself, that's a lot of work. Instead, do key word research about what books sell in non-fiction categories (fiction is a whole different ballgame). Look for keywords that 1) auto complete in the amazon search bar, and 2) have less than 4,000 matching books, and 3) have an average Amazo…
There's something about this that just makes me really sad. I guess being in my late 30's I hold on to the flawed notion that there is sanctity in something that is 'published'.
Does anyone here want to read a book that wasn't written by an expert on the topic? How upset or sad would you feel if you spend several hours reading a book only to discover it was produced by an opportunist who picked that keyword and asked someone in a developing nation with no expertise about the subject to grok some blogs (which might or might not be factually correct) and pad out to make it a 3hr audiobook read.
I'm sorry, I just think it's a shitty thing to be doing. I'm not against making money (I'm a VC!) but it just undermines the integrity of the medium of books because now you have to sort out 'real' knowledgeable authors from this carpet bagging.