You’re missing out if you’ve never purchased on Etsy. Etsy is the best place to find unique gift ideas and also to make passive income. Etsy has something for everyone, from lovely handcrafted scented soaps to charming knit scarves to baby blankets.

But did you know that individuals make passive income on Etsy instead of spending money on unique gifts? You may discover tales on the internet of people making hundreds of dollars every month selling their wares on Etsy.

How to Earn a Living on Etsy

How can you become one of the Etsy sellers who generates money? If you want to make money on Etsy, here are some suggestions to get you started. It’s also useful for more than simply knitting scarves and creating soap. Keep in mind that some of these suggestions aren’t properly said passive income generating ideas.

1. Sell digital products to make passive income on Etsy.

The digital products category is one of my favorite Etsy shopping categories. On Etsy, you may discover digital items to print directly at home, calendars, invitations, and much more.

Because it is a one-time work, selling digital products on Etsy might be a terrific market if you are a graphic designer. Instead of knitting scarves or making soaps over and over, design digital products, sell them on Etsy, and maybe generate passive income.

When someone wants to purchase one of your digital masterpieces, they simply checkout and then quickly download the printable file to their computer, which they can then take to their local print shop or have printed on print sites. We recommend services such as Printful.

You may even make designs for t-shirts that customers can download and have printed at a local print shop or straight online on print-on-demand services like Printful.

Do you like to scrapbook? As a result, you can generate downloadable paper packs in a range of colors and patterns for artists to print and use in their own scrapbooks.

Alternatively, you may generate inspiring quotations in a variety of patterns and fonts for people to print, frame, and place in their homes. The options are unlimited, and once you’ve designed and presented your design, you’ve generated a genuine source of passive income.

Here are 5 Digital Products that sells on Etsy:

1. Personal Planner Templates

Passive Income On Etsy

Personal printable planners are the sole thing that keeps many people’s lives going smoothly.

They would devolve into utter antiquated chaos without them, running around like a chicken with its head off.

Every Etsy seller should be aware of this. They bet on the pandemonium that would result if they were not there, and they work hard to give customers with beautifully-designed digital downloads and printed planner templates.

Personal planner templates are among the best selling printables on Etsy.

Customers download the pages separately after purchasing and print them on their own. They will next punch holes in them and put them in the binder of their choice. Simple as that.

Selling printables and digital downloads is a really good side hustle idea for some extra passive income.

2. Educational Instructables

With the lingering consequences of the pandemic, homeschooling remains popular.

While each state mandates parents to teach a core curriculum, many parents augment their instruction with additional educational materials. Flashcards, trivia sheets, numerical worksheets, and other available resources.

If you’re looking for a creative outlet, then you should definitely consider starting your etsy empire selling educational instructable.

This is a type of tutorial that teaches how to do something using a particular product or technique. It’s a great way to share knowledge and teach others while also making some extra money.

Long story short, if you have a love for imparting information in young minds and an aptitude for creating lesson plans, you can sell your materials straight on Etsy.

3. Lightroom Presets

Adobe Lightroom is the most widely used photo editing program on the market. While there is a high learning curve, it becomes simpler as you use it more.

Lightroom presets are used by those who wish to save time. Preset setups or filters, for example, that may be easily applied to a collection of images to make them stand out.

People are always seeking for fresh presets to take their images to the next level, so if you have the technical skills to build your own, you can sell them as a digital download product on Etsy for a big profit.

4. Start Selling Etsy Printables.

Passive Income On Etsy

Printables are digital products that are made with the goal of being printed. Printables are anything like a calendar sheet, a planner or a coloring page. They are digitally made, saved as a pdf or jpg file, and can be printed at home or at a print shop.

Printables are the greatest place to start if you’re new to generating digital items. They are simple to set up and provide a wonderful source of passive income.

Unlike other digital product, printables such as spreadsheets, they do not require any specific skills or expertise to create. Printables are actually templates and visuals available for usage!

If you’re looking to be selling printables, you’ll need to find a product that’s easy to design and has a large market. A good place to start is with free clip art sites like You can also check out sites like, which offers royalty-free stock photos and illustrations.

5. Sell Graphics for an Etsy Shop

Every day, new merchants sign up on Etsy (like you). And those vendors must maintain a professional-looking shop on a daily basis.

Not all Etsy sellers are tech-savvy (remember, handmade products make up a large chunk of Etsy), and many don’t know how to build banners and branding kits for their site.

That’s where you come in – as the Etsy vendor who sells to other Etsy retailers.

If graphic design is your forte, selling digital products on Etsy could be a great way for you to make passive income with a wide range of downloadable digital product.

2. Use Etsy to sell handcrafted things.

Perhaps you prefer crafting handcrafted soap bars in a range of enticing smells. Or, like a friend of mine, perhaps you enjoy knitting lovely mittens, scarves, and caps while watching TV.

You might convert your love for making handcrafted things into a profitable business that will help you boost your income and achieve your financial objectives.

I have a handful of acquaintances that sell handcrafted products on Etsy and make a few thousand dollars every year.

He carves wooden USB sticks and she crafts exquisite handcrafted soaps, lip balms, and other products. The money they make may not provide them with financial freedom, but it does increase their annual income.

Handmade objects offered on Etsy can represent a variety of concepts, including:

  • Bracelets, necklaces, and earrings are examples of jewelry.
  • Bags and purses are examples of accessories.
  • Shirts, dresses, tops, and pants are examples of clothing.
  • Custom wedding shoes or simply for fun
  • Decorations for weddings or other products such as cake toppers
  • Baby and children’s toys
  • Books for children
  • Covers for mobile phones and tablets

And even more. Whether it’s complementing a wonderful garment with jewelry or other embellishments, or crafting decorative objects out of wood, there’s an almost unlimited range of handcrafted products to pick from. If you enjoy making things, you may make and sell them on Etsy.

3. Use Etsy to sell collectibles and antique stuff.

Etsy is also a terrific location to find collectibles and antique stuff. An item must be at least 20 years old to be sold as vintage on Etsy.

On Etsy, I discovered antique products such as old rock band t-shirts, purses and satchels, home decor items such as old wooden boxes, and more.

You may locate antique things to sell on Etsy in a variety of areas. Vintage items may be found in your own wardrobe or at your parents’ or grandparents’.

Visiting flea markets is another option to locate old goods to resale on Etsy, and if you go on special sale days, you can get even better deals. Thrift stores sometimes hold day or half-day deals when specific things are heavily discounted.

On Etsy, collectibles can also be sold.

Here are some examples of collectibles that you may sell on Etsy:

  • Older toys that are still in their original boxes
  • Money and coins
  • Dolls that are collectible
  • Figurines and collectible art

These products may also be purchased at garage sales and flea markets and then resold for a greater price if you buy cheap and know how to bargain.

4. On Etsy, sell craft supplies and equipment.

Passive Income On Etsy

Etsy also sells craft equipment and tools. You may also sell a wide range of similar things. Here are some suggestions:

  • Design plans and wood carving tools
  • Particular digital typefaces and fonts
  • Buttons, zippers, and thread
  • Flowers and plants, either dried or plastic
  • Cake and cupcake decorations
  • Silicone molds for icing designs, for example.
  • Scrapbooking and baking stencils

And a bunch of other things. The products that may be sold in this section of Etsy are quite diverse – if you can use it to accomplish something great, you can possibly sell it to others who want to do the same.

So there you have it: four potential methods to generate extra income on Etsy. But what more do you need to know in order to sell well here? Keep reading for some more ideas.

What You Should Know Before Selling on Etsy

Keep these suggestions in mind when you consider launching your own Etsy shop before you embark on a soap-making binge.

Excellent photos is key.

When selling things on Etsy or any other site, it is critical to include high-quality images in your description and marketing. People will appraise the quality of your product based on the visual they see, regardless of how nice it looks in person.

This advise applies even if you wish to sell things rapidly on ebay. For any images you present in your Etsy shop, use a nice camera, correct lighting, and professional perspectives.

Marketing is critical.

If you intend to sell on Etsyand make some passive income, you should be aware that you must be aggressive in marketing your digital product. This includes advertising your product on social media and to family and friends.

On Etsy, competition is fierce, so you’ll be up against hundreds of other sellers who also post their things on the marketplace. Buyers must be able to locate your things and be drawn to them through excellent marketing and photography.

You don’t know how to properly promote your products? Simply doing an online search can yield thousands of terrific marketing articles to assist you in selling on Etsy. It will be worthwhile if it increases the number of individuals who see your product.

Offer enticing things for sale.

When considering what you could offer on Etsy, ask yourself one question: Would I spend my hard-earned money on this? If you said yes, you’re on the correct track.

Here are some things to ask yourself while deciding what to sell on your Etsy shop:

  • Is the product beneficial?
  • Will it make others’ lives simpler or more enjoyable?
  • Will potential buyers like looking at it (or wearing it, or whatever)?
  • Is the price reasonable?

Yes, value is essential. If a potential consumer can purchase the same item cheaper on Amazon, they’re unlikely to buy it from your etsy business; however, if you’re selling something exciting and unique that they can’t get anywhere else, you have a far greater chance of making a sale.

Keep this in mind when you consider what to sell in your Etsy business.

It is not free to sell on Etsy.

There are costs connected with selling on Etsy, and these costs should be included when calculating possible profits. Here are some of the most common expenses you may face if you sell on Etsy.

Fees for registration

Etsy’s product listing costs are relatively low. Each product you list on Etsy will cost you 20 cents. According to the initial due date, a listing is valid for four months or until the product is sold.

Fees for transactions

When you sell an item on Etsy, you will be charged a 3.5% transaction fee. These fees are based on the purchase price and do not include delivery charges.

Fees for payment handling

Etsy ensures that vendors get paid by using a mechanism called Etsy Payments. You will be charged a 3% payment transaction fee plus an extra 25 cents if you use Etsy Payments.

You may take payments from ten different sources, including Visa, Mastercard, and PayPal, using Etsy Payments. Etsy Payments assists shoppers and sellers in staying secure during the checkout process.

You may utilize your knowledge of Etsy’s prices to assist you better calculate the prices of the things you offer.


Remember that while these product categories are excellent for beginners, not all of them generate passive income.

In reality, only digital products such as printables and digital downloads have the potential to produce substantial passive income. Printables, for example, are wonderful since you only have to create them once, but you can sell them indefinitely.

It’s your time now. Do you intend to sell your items on Etsy? Which of the four Etsy money-making options do you prefer? Or do you already have Etsy selling experience? Please share your thoughts in the comments section below.

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