3 millionaires say they earn the most passive income from 3 sources

Adrian Brambila earns most of his passive income from affiliate marketing

Adrian Brambila is 32 years old but has a net worth of about $4 million. He didn’t start off with millions: At 21, he was making $27,000 a year as a customer service rep at a retirement firm. Today, he has three main streams of income: investing, rental real estate, and an online affiliate and e-commerce company.

Although all three sources generate a good amount of money, in 2020 Brambila generated about $750,000 from affiliate marketing, according to records viewed by Insider. He does this by sharing links to products on his blogs, social media platforms, and in emails, and earns commission from sales that come from those links. 

Sharon Tseung earns passive income from rental real estate

Sharon Tseung invested in her first property in 2013 with the help of her brother, who paid half of the down payment. She was able to pay him back over time so she could have the property fully in her name. From there, Tseung continued to save money to purchase more residential properties to rent out. She’s now 30 years old and owns nine properties containing a total of 13 units. Her current net worth stands at $1.1 million, according to records viewed by Insider. 

Even though she lives in Milpitas, California, a majority of her properties are located out of state. She looks for deals that she can afford in areas that have population growth potential. This approach has allowed her to purchase some of her properties in cash to limit the number of mortgages she has. Though she has multiple sources of income, she says the majority of her passive income comes from her rental properties. She documents and teaches others how to generate passive income through her personal blog, Digital Nomad Quest.

Jeremy Schneider earns passive income from target-date funds

Jeremy Schneider built an online advertising website for rental properties and sold it at age 34. He walked away with about $2 million in his pocket. He’s now 40 years old and hasn’t worked a regular 9-5 job since. He’s been able to live off his net worth, while doubling it in the last six years; he did this by re-investing the profits from the sale of his business. His current net worth stands at about $4 million, according to records viewed by Insider. 

He has a mix of assets, including real estate, but his mains source of passive income comes from investing in target-date funds. This type of fund automatically adjusts its asset mix to a more conservative portfolio as investors age or near retirement. It’s a mix of stocks, bonds, and alternative assets, often in a collection of mutual funds.

Schneider keeps his withdrawal limit set to 4%, a common rule for retirement income. But on average, he is able to live comfortably by withdrawing less than 2%, giving him a monthly income of approximately $5,000.

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