Best Investment Ideas to Earn Rs 1 Lakh Monthly Passive

Meta Description: Discover the best investment ideas in India to earn Rs 1 lakh monthly passive income. Explore real estate, mutual funds, dividend stocks, FDs, and digital assets.

Introduction

Are you wondering how to create a monthly passive income of Rs 1 lakh in India? Passive income means money that flows into your account without you actively working for it every day. In other words, your money works for you instead of you working for money.

In this blog post, we’ll explore the best investment options in 2025 —such as real estate, mutual funds, dividend stocks, fixed deposits, and digital assets—that can help you build stable and sustainable income streams.

What is Passive Income?

Passive income refers to the money you receive consistently following a one-time investment. Unlike a salary, you don’t need to work daily to receive it.

Popular examples of passive income in India include:

Rental income from houses or offices

Dividends from stocks

Systematic Withdrawal Plans (SWP) in mutual funds

Interest from fixed deposits and bonds

Earnings from digital platforms (blogging, YouTube, eBooks, online courses, etc.)

If you are new to this concept, check out our detailed guide: [Beginner’s Guide to Passive Income in India](#).

Best Investment Ideas for Rs 1 Lakh Monthly

1. Real Estate Rentals

Rental income has always been one of the most reliable sources of passive income. In metro cities, a 2BHK flat can generate Rs 40,000–80,000 per month in rental income.

For higher returns, you can consider investing in commercial properties or co-living spaces. If you’re confused between real estate and fixed deposits, read this: [Real Estate vs Fixed Deposit: Which is Better in 2025?](#).

2. Dividend-Paying Stocks

Blue-chip companies such as Infosys, Reliance, and HDFC regularly pay dividends to their shareholders. You can earn Rs 20,000–25,000 per month in dividend income by investing between Rs 20 lakh and Rs 30 lakh.

To explore more, check out: [Top Dividend-Paying Stocks in India 2025](#).

3. Mutual Funds with SWP

A Systematic Withdrawal Plan (SWP) allows you to withdraw a fixed amount from your investment fund every month. Typically, mutual funds offer yearly returns ranging from 12% to 15%.

This option is ideal for those who want both stability and growth. Learn more here: [Best Mutual Funds in India for Monthly Income](#).

4. Fixed Deposits & Bonds

For conservative investors, FDs and bonds are safe and secure choices. With interest rates of around 6–8%, they provide consistent income while ensuring capital safety. They also play an important role in balancing your investment portfolio.

5. Digital Assets & Online Business

The digital economy is booming in 2025. By creating a YouTube channel, blog, eBook, or online course, you can earn Rs 10,000–20,000 per month.

Affiliate marketing is another strong source of digital passive income if you’re consistent and strategic.

How Much Investment is Required?

To achieve Rs 1 lakh monthly passive income, building a diversified portfolio is crucial. Here’s an example:

Real Estate = Rs 40,000 rent

Dividend Stocks = Rs 20,000–25,000

Mutual Funds (SWP) = Rs 15,000

Bonds/FD = Rs 6,000–8,000

Digital Business = Rs 10,000–15,000

Total is less than Rs. 15,000 per month

Conclusion

Earning Rs 1 lakh monthly passive income in India is absolutely possible with the right financial planning and patience. Instead of relying on a single source, it’s smarter to diversify across real estate, stocks, mutual funds, and digital assets.

By starting small, reinvesting your earnin

gs, and scaling gradually, you can turn your dream of financial freedom into reality.