I never set out to have a side hustle; it just happened to me. One of the elements of my first job was public speaking. I know, that’s usually at the top of most people’s ‘never would I ever’ lists, but I found I really enjoyed it. After I left that job in January 2014, I was already slated to speak at a few events and I had a feeling there might be even more opportunities out there. But in order to parlay those initial speaking engagements into a more sustainable venture, I had to brush up my portfolio and practice, practice, practice. Was it work? Absolutely. But it also became a great way to create a little extra income and do something I loved.
Did you know that nearly half of Americans have side hustles, including 43% of those with full-time jobs? While about 30% say they need their side hustle income to pay regular expenses, many others use it to create more disposable income or to put away extra savings. Plus, side hustles can help diversify your income sources, so if you lose your full-time job or your salary is reduced, you have something ready to help fill in the gap.
Thinking of picking up a side hustle for yourself? Here are my answers to some commonly asked questions:
Why have a side hustle? Like any financial goal, it’s important to identify your own “why.” Is it about using skills that aren’t part of your full-time job? The chance to gain experience in and “try on” a new line of work? The financial benefit? Get clear on what’s driving you and structure your side hustle accordingly. At the beginning of my side hustle, I was eager to get more experience as a public speaker, so I took just about every opportunity that came my way. Now — eight years and a lot of speaking engagements later — I’m a bit more choosy about what I take on.
Tip: Remember, you’re trading time for money and experience. Make sure it’s worth it for you. Each year, I would allow myself to use three — and only three! — of my vacation days for my side hustle. When possible, I asked that events be scheduled on weekends and webinars be scheduled in the evenings, and for the most part, I found people very accommodating.
Is it really worth it financially? For us, absolutely! We have structured our budget in such a way that we have never had to use my side hustle income to pay our regular expenses — that’s covered through our full-time salaries. My side hustle money has helped us to pay down student loan debt, pay for a portion of our wedding costs, go on fun vacations, make small home renovations, and build up our giving fund.
Tip: While there are tasks that don’t pay much (like internet surveys), I encourage you to seek out opportunities where you can get more bang for your buck and be paid at a higher rate. For instance, you might take on small writing projects, coach or consult others in your area of expertise, do graphic design work, or sell homemade arts and crafts.
Isn’t it a lot of work? Maybe, but the great thing is, you get to decide how much work you take on and how many hours you commit to it. With my speaking side work, I am usually busy in the fall and the spring, but other seasons are pretty bare. This rhythm works great for me. You might want to set some guidelines for yourself, like what (hypothetical) hourly rate you’re willing to work for, or how many projects you’d like to take on at one time. Make sure you aren’t trading your time for money unless you are getting real value from it from a financial standpoint as well as from an emotional and vocational stand point.
Tip: Remember: you have all the power to say “yes” or “no” to an opportunity. Be sure to evaluate each opportunity carefully. I’m someone who says “yes” to extra work very easily. I had to learn how to say “no” to offers that weren’t right for me. We often don’t say “no” because we assume we’ll disappoint people, and it’s possible you will. But saying “no” also creates an opportunity that might be perfect for someone else, and allows you to save your “yes” for an opportunity that’s a better fit for you. While it’s difficult initially, it can often end with a win/win/win scenario for all involved.
How do I get started? I really appreciate the work that Susie Moore has done on this topic. She says the key to a great side hustle is finding work you love doing (at least most of the time), that you are good at, that people will pay you for. Start by brainstorming big, then whittle down the list using each of those three criteria until you’ve found your sweet spot.
Tip: While you may be tempted to rush this process, I encourage you to take it slow. Do your research to see if this will really be profitable in the time you’ve allotted. Do a few test projects to see if you really enjoy doing the work. This is an especially important step to do if you find that you’ll need to start your own, more formal, business to do this work. You don’t want to go through the process of purchasing and creating a website, securing your business tax ID, or even creating a legal entity like an LLC or S-Corp unless you know this is a worthwhile venture. Start by doing this work as an independent contractor, under your own name, first to see how it works out.
Do you have a side hustle? What kind of work do you do? What advice would you share? Let me know below!