January 2025 Monthly Passive Income Report – $4,384.56

Welcome to my very first monthly passive income report! I plan to show a break down of my passive income every month that way you guys can get a sense of how it works and possibly do the same. My goal for 2025 is to generate an average of $5,000 per month. I know that is a long shot as the stock market can be a rollercoaster at time, but setting a goal can help motivate me. I’m excited to share my journey towards financial independence and offer insights into how my passive income streams performed over the past month.

Without further delay, let’s dive into the numbers and details!

1. Dividend Stocks

I’ve invested in as many as 100 different types of dividend paying stocks, but last year I decided to cut that down to 16 (not including my retirement accounts). Dividend investing is the cornerstone of my passive income strategy. I’ve spent the last few years carefully selecting and building a portfolio of dividend-paying stocks. These stocks not only offer long-term capital appreciation potential but also provide regular dividend payouts, which can be reinvested for even greater returns over time.

January 2025 Earnings:

• Total Dividend Income: $229.15

This month’s dividend income came from a mix of stocks across several sectors, with a particular focus on blue-chip companies known for their reliable payouts. Here’s how it breaks down:

• Real Estate Trust (Gladstone Investment): 229.15

The major contributors this month were the tech sector, with its consistently growing payouts, and the consumer staples companies, which are known for their recession-proof nature. It’s important to note that while dividend payments can fluctuate slightly based on the companies’ performance, I’ve built a well-diversified portfolio that should continue to produce steady income over the long haul.

2. Option Trading

Option trading has been another avenue I’ve explored to boost my passive income in recent months. While options trading can be more hands-on compared to other income streams, it still has the potential to generate passive income once you’ve mastered the strategy. I primarily engage in selling covered calls and cash-secured puts. These strategies allow me to earn premiums without taking on excessive risk.

January 2025 Earnings:

• Total Option Premiums Collected: $4,030

I started option trading back in June 2022 to test the waters. I ended up making around $500, $4,000, $25,000 for 2022, 2023 and 2024, respectively. My options trading strategy is based on selling calls against stocks I already own (covered calls) and selling puts on stocks I would like to own at a lower price (cash-secured puts). I started doing credit spreads to limit the amount of cash I am using on each option. This month, I was able to collect $4,030 in premiums, which will be reinvested into more stocks or used to fund other investments.

Here’s a breakdown of the option trades that brought in premiums this month:

• Covered Calls (NVDA, CAVA, CMG, LCID): $1,943
• Cash-Secured Puts (NVDA): $1,759
• Credit Spreads (ANET, SOFI): $161

While options trading adds a layer of complexity to my passive income strategy, the key is selecting the stocks that you truly want to own, understanding market volatility, and using risk management techniques like the Bollinger band. My goal with options is not necessarily to make huge profits but to supplement my income while managing risk.

3. High-Yield Savings

While it’s not the most exciting income stream, my high-yield savings account has proven to be a reliable place to park cash and earn a decent return with almost zero risk. I’ve chosen a savings account that offers an average rate of 4% annually, which is competitive in today’s market.

January 2025 Earnings:

• Total Income from High-Yield Savings: $105.41

This interest comes from an emergency fund I keep in the savings account, which serves as a buffer in case I need quick access to funds. Although the interest rate on high-yield savings accounts is not groundbreaking, the safety and liquidity they offer make them an important part of my overall passive income strategy. The best part is that the interest compounds monthly, which further accelerates my earnings.

4. Atlas Earth

For those of you unfamiliar with Atlas Earth, it’s an innovative platform that allows you to purchase virtual land and earn passive income through the in-game leasing system. This is a newer passive income stream for me, but I’ve been exploring it over the past year.

I invested in virtual land through the Atlas Earth app, which uses real estate principles to generate income. While the amount of income generated is relatively small at this stage, I’m excited about the long-term potential as virtual land appreciates and the platform expands.

January 2025 Earnings:

• Total Income from Atlas Earth: $20

While the returns are modest right now, I’m optimistic about this income stream. The virtual land I’ve acquired has started to accumulate small earnings daily through leasing agreements, and I’m looking forward to seeing how this stream grows as I acquire more properties within the platform. I’ve also seen that Atlas Earth is introducing new features and expanding its offerings, which could increase the value of the virtual properties I hold.

Total Passive Income for January 2025

• Total Income from All Streams: $4,384.56

Here’s the full breakdown of my passive income for January:

• Dividend Stocks: $229.15
• Option Trading: $4,030
• High-Yield Savings: $105.41
• Atlas Earth: $20

While January passive income isn’t enough to cover all my expense it was pretty close to my goal of $5,000. The total income of $4,384.56 is a solid start to the year, and I’m excited to see how these streams perform throughout 2025.

Final Thoughts:

January 2025 was a productive month for my passive income streams, and I’m eager to continue building these sources throughout the year. If you’re just getting started with passive income, remember that it’s a marathon, not a sprint. Consistency, learning from mistakes, and reinvesting your profits are key to building a successful passive income portfolio.