Passive income is income resulting from cash flow received on a regular basis, requiring minimal to no effort by the recipient to maintain it.
The U.S. Internal Revenue Service categorizes income into three broad types, active income, passive income, and portfolio income.[1] It defines passive income as only coming from two sources: rental activity or "trade or business activities in which you do not materially participate."[2][3] Other financial and government institutions also recognize it as an income obtained as a result of capital growth or in relation to negative gearing. Passive income is usually taxable.
Yeah the technical definition is pretty boring basically dividends, however I think the term passive income has a different meaning in Entrepreneur circles. I think the consensus is generally seperating time from money, there's obviously different degrees of how passive something is.
To me Amazon Merch is passive because I can spend a couple weeks uploading a few hundred designs and then literally never login to my account ever again and I'll have money comming in.