There are probably a hundered different ways to make money online, finding the way that fits your lifestyle, available time, and is something that is not a chore to do is the important stuff.
So, do you like to write? You could -
Are you artistic?
Like to deal with people?
Don’t like dealing with people –
Are you already an expert in an area?
You are probably starting to see an overlap, you need a skill from a couple of different areas, or the willingness to outsource whatever bits you don’t like to do. I’m good at a lot of those things, but I’m not much of a people person (like the customer complaining part of people skills). So I create lots of eBay sites (I’ll write a whole post on that soon), and do affiliate marketing (no inventory, no shipping, no headaches). I like to write like this blog, or forum posts, but not articles or books.
I think it’s important to evaluate what you do, and don’t like to do, work wise. Your current (and past) job probably holds the key. What in you job did you like to do? what part do you hate? I had a technical support job for a software product where I helped up to 70 people a day over the phone. I hate phones, and complaining people – what was I thinking!!
So when you hear, ‘do what you love’, I say do what work you like to do, if you can fit it into a niche that you love (provided it is a money maker) then you are golden.