Over the past five years, individuals and households have become increasingly aware they need more income to lead comfortable lives. “Gone are the days when a single 9-to-5 job guaranteed financial security, and you could stay employed until retirement,” noted Nael Chhaytli, a content marketing manager at Get Response, an email marketing software developer. 

 That has made multiple income streams increasingly important. “The concept of passive … income refers to earning a regular income without actively participating in it,” said Saint Investment firm. “The importance of investing in passive income cannot be overstated. It’s a great way to invest upfront energy and resources to ensure you get paid for months or years to come.” 

However, passive income carries risks, and selecting the correct type of side hustle is crucial for success. “With the best investments for passive income, it will help diversify your income and gradually take less time as it grows,” Saint Investment noted.  

Passive income 101 

According to Tony Robbins, a celebrity motivational speaker, coach, and author, “If you spend more than 500 hours of your time per year on [a] business or activity, that counts as material participation;” or a traditional job. “If your participation makes up the majority of time … spent on the activity, or if [your] participation is equal to other individuals’, that also counts as material participation.” 

By contrast, “passive income is any activity that does not meet these thresholds, but still provides you with regular earnings,” said Robbins. Within that broad category, passive income could either be “trade or business activities in which you don’t materially participate during the year” or “rental activities, even if you do materially participate in them.” 

Within each type, individuals “invest, asset build, and asset share.” Examples include renting your assets (property or personal vehicles) or investing in the stock exchange via brokerages and digital platforms like Thndr or EFG Hermes ONE.  

Another option is becoming an equity holder in a company, creating content and finding a platform to monetize it, or engaging in affiliate marketing, where passive income earners get paid to showcase products on their platforms.   

Taking that step is less daunting than many might perceive. “For those wondering how to make passive income, it’s common to believe that you need a lot of money to get started,” said Robbins. “This is true for some passive income, such as real estate rentals or investing in or starting a business. But there are plenty of passive income ideas that don’t require much money up front and are ideal for getting started.” 

Open local path 

Since 2022, prices in Egypt have increased dramatically. Inflation was 7.3% in January 2022 (just above the central bank, CBE, minimum target). Between January 2023 and October 2024, it was over 25% (nearly three times CBE’s 9% inflation target). 

During that time, the pound’s exchange rate weakened from approximately EGP 30 to the dollar to about EGP 50. This led to a significant increase in consumer prices, as the value of Egypt’s imports has been about twice that of exports since 2022, according to the CBE. 

Over that time period,  fuel prices for passenger cars rose from EGP 10.75 per liter of 95 octane to EGP 17. That is a substantial cost hike, especially for those living or working in suburbs where public transportation is limited to taxis and micro and minibuses. 

World Data, a curation portal, estimated cumulative inflation from 2020 to 2024 at 98.7% based on government figures. It increased to 116% when including 2025, according to  Visual Capitalist, a data aggregator, despite inflation dropping from 24% to 11.3% (just outside CBE’s upper inflation target) from January until press time. 

Digital transformation also increases options. “Technology has made passive income opportunities more accessible than ever,” said Chhaytli. “E-commerce websites, affiliate marketing, and digital content creation allow individuals to set up revenue streams with relatively low initial investment. Automation has also reduced the need for active involvement in your passive income investments.”  

In September, UNESCO ranked Egypt first in Africa for “AI readiness.” Oxford Insights placed the country 62nd out of 188 countries.  

Passive benefits 

According to Chhaytli, one advantage of passive income is it helps maintain work-life balance. “More people are consciously trying to break the live-to-work cycle to enjoy a full life,” he said. “Earning passive income gives you more control over your time. Instead of spending most of your time at work to make more money, you can pursue hobbies, travel, or spend quality time with loved ones while still earning.” 

However, stressed Saint Investments, while “passive income [is] a miracle in its own right,” people need to realize it is “slow [and] steady earnings.” Nevertheless, Affluent Financial Services company said “scalability” is possible. “With suitable investments, passive income can be scaled up to generate significant wealth.” 

Chhaytli also noted most passive income jobs are typically not taxed, as they generally involve informal businesses, such as creating and selling e-books, renting high-demand assets, selling designs to clothing makers and receiving a percentage of sales, and similar ventures.  

In the long term, retirement planning can be easier for passive income earners. “Passive income is helping supplement retirement savings, allowing you to maintain your desired lifestyle even after retirement,” Chhaytli said.  

Ultimately, such advantages can “reduce stress and anxiety [over finances, especially so] when working two jobs is not realistic,” Saint Investment said. Passive income also relieves the stress of owning and managing a traditional business.  

Meanwhile, because much passive income is generated in virtual space, it “allows flexibility of location, [as] earning passive income can easily be done on the go,” Saints Investment noted.  

Challenging, nevertheless 

Although passive income does not require continuous effort to generate, it is not free money. “There will be some unpaid work involved in setting up a passive income stream,” Saint Investment warned.  

Additionally, the amount of time and effort invested at the start is directly correlated with future returns and how quickly that passive income can generate sustained revenue. According to Tim Denning, a career journalist turned entrepreneur writing content online, “Most people give up before they’ve put in enough active work to qualify for active income. There’s a threshold of participation. For some, it’s six months, for others it’s three to five years.”  

Building passive income doesn’t rely solely on mental or physical efforts, but also financial resources. “Passive income would be the default option for anyone, regardless of their career status, if there were no cost and risk assessment involved,” noted Saint Investment.  

Affluent Financial Services also said market risks associated can affect passive income generated from the stock market or real estate. Macroeconomic conditions are another factor, as passive income typically comes from non-essential products or services.  

Even passive income sources may require periodic maintenance or oversight. For example, YouTube is changing its terms and conditions. In 2025, the video platform tightened video monetization conditions in its updated “inauthentic content policy” and “ad suitability review process.” 

Such risks invariably mean passive income “is not for everyone,” said Saint Investment. However, “risks can be reduced depending on which industry you are working in.” Nevertheless, risk levels vary among passive income earners doing the same job due to talent and skill gaps.  

Ultimately, Saint Investment stressed passive income requires strong commitment: “There are no get-rich-quick opportunities or schemes, and any fruit of your labor will be a result of patience and adaptability.”