Blog Income

Blogging Passive IncomeSomewhat Passive Income – Blogging

Blogging isn’t very passive for me at this point. I spend 10-15 hours per week writing, networking, responding to comments, and maintaining Retire by 40. Someday, I’d like to cut it down to around 10 hours per week. That goal is a few years off, though. I enjoy blogging so it’s a good way to spend time in early retirement. Also, the blog income is a huge bonus. When I started Retire by 40 in 2010, my goal was to generate about $500/month. After 10 years, the blog income has grown significantly. I’m very grateful for your support. Thank you!

You can see all of our passive income on the Passive Income page. I will update these passive income pages monthly.

2021 Blog Income: $8,240

The first quarter is usually the best quarter of the year for us. Last year, my online income dropped off precipitously after Q1. But Covid had a lot to do with that. Hopefully, it won’t drop off so much this year.

This month we had a big expense. After over 10 years of blogging, I finally purchased retireby40.com for $1,500. I avoided it for so long because I thought it was too expensive. Oh well, now I have the .com.

Here is how we generated online income in 2021.

Revenue: $10,609

  • Banner ads: $5,979. These are the banner ads you see on Retire by 40. I hope to make about $2,000 per month with these ads at some point. For 2021, I hope to generate about $1,500/m. This is going pretty well so far.
  • Affiliates: $4,631. These are referral fees from affiliate links. If a reader signs up for a service through our affiliate links, then we may receive a referral fee. I’d like to see about $2,000/month eventually. For 2021, I’d be very happy with around $1,000/m. This is going well so far, but I’m already seeing some slowdown due to spring.
  • Misc: $300. I made $300 from the signup bonus for a business checking account.  This misc income will be very small in 2021.

Expenses: $2,369

  • Business: -$2,260. Business equipment, internet, hosting, email service, CDN, cell phone, etc…
  • Travel and meals: -$109
  • Employee: -$0. This year, RB40Jr is our part-time YouTuber, photographer, model, and mascot. I’ll pay him $25 for each image and video I use in a blog post and $4 per image on social media. This income will go straight to his Roth IRA. I’m excited to see how this experiment will turn out. He hasn’t worked much in 2021. 
  • Estimated tax: $0. I need to send in estimated taxes in April.

Here is the 2021 graph of the revenue, expense, and net income. 

Historical income

Incredibly, Retire by 40 generated over $460,000 in revenue* since I started blogging in 2010. That’s much more than I ever expected. It’s pretty crazy. This is why you should start a blog to build your brand. Once you are established, you can branch out to do freelance work, write a book, become a coach/mentor, get on TV, create a podcast, make video clips, and monetize. It’s a new world and you can’t depend on your day job 100% anymore.

*Revenue is before taxes and expenses.

Thank you for your support!

Starting a blog is a great way to build your brand and generate some extra income. You can see my tutorial – How to Start A Blog and Why You Should. Check it out if you’re thinking about blogging. 

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Joe started Retire by 40 in 2010 to figure out how to retire early. After 16 years of investing and saving, he achieved financial independence and retired at 38.

Passive income is the key to early retirement. This year, Joe is investing in commercial real estate with CrowdStreet. They have many projects across the USA so check them out!

Joe also highly recommends Personal Capital for DIY investors. They have many useful tools that will help you reach financial independence.