Depending on your job or where you live, you may feel that your income is not suitable for the lifestyle you want to establish in your area. Maybe you find yourself with additional hours in the day where you could be making more money or looking for a stream of passive income. Whatever the case, there are many reasons why you might consider a side hustle.
Side hustles can provide a much-needed source of income, and by design, they are made to be flexible and fit in with the hours you’re currently working. What type of side hustles are available? How do you get started on one that will help you make more money? Read on, and we’ll give you a full look into how to start a side hustle.
The Planning Phase
Before you even consider devising a plan, there are a few things that you need to take into account that could impact your success. To begin, you want to check in with your company’s policy on extra work. Most employers don’t express concern if you’re working a second job as long as it doesn’t compete with their business. However, they can still legally fire you for working a side gig. Remember, your current job should be your first priority. Consider the time commitment that will come with a side hustle, and how many hours you’re working. If your job offers overtime, you might actually find yourself earning more by taking overtime than by working a second job.
Once your employer has verified that you can move forward with your side hustle, it’s time to get your finances in order. Some side hustles might require an upfront cost to start, especially if they’re an investment, or if you’re starting your own business. If you’re looking to manage your finances between your side hustle and your main job, you should look into opening up a second bank account online. With so many options available for digital financial planning, it’s never been easier to manage your money, and by having a different account for each job, you can track all of your income and expenses for tax season.
Side Hustle Ideas
Now that you have a strategic plan for your finances, it’s important to look into a side hustle that correlates with your interests, and that you know you’ll enjoy. There are a wide variety of options available, so we’ve put together a list of different options, ranging from the least flexible to the most flexible in terms of time commitment. Keep in mind that while this list is comprehensive, it by no means encompasses all the possibilities.
1. Second Jobs
One of the benefits of a second job is that it is the most stable side hustle available; as long as you are employed at your second job, you will have a source of income. However, this comes with a negative as well, as you are now dedicated to two jobs. Even though your second job will most likely be a part-time position, you will still have a set schedule. This means going this route is great for people who don’t mind limiting their time with two jobs if it means earning more, but not so great for people who want more free time.
An option that could benefit the need for flexibility is ridesharing. Ridesharing services like Uber and Lyft, as well as delivery services like Grub Hub and Amazon Flex, allow you to earn money through driving your own car, thus eliminating upfront costs. The benefits that come from this are that you can earn money on a schedule that you create. If you’re unavailable during a certain part of the week or on a specific day, it’s as easy as marking your account as inactive to let people know you’re not on the job. However, because you will need to spend money on gas, you do need to put in a good number of hours to cover these costs.
With freelancing, you have a lot of options available depending on your skillset. Great at writing? Become a freelance writer, copywriter or editor. Interested in graphic design and art? Businesses are always looking for new logos, banner ad designs and assistance with social media. Whatever the case, there are always going to be postings online looking for freelancers in a variety of fields. Freelancing is also very flexible, as long as you get the work done by the deadline, you choose what gigs you want to take on and when you want to complete them. However, they do often lack the job stability that comes with the previous two options.
4. Side Business
If you have an entrepreneurial spirit, or the desire to be your own boss, this side hustle is right for you. Starting your own side business is a great way to make extra money and set your own hours. While this option does require some more upfront costs compared to the other options, the flexibility offered by it can be a great trade-off for many. Some people even find that monetizing a hobby they have, like jewelry making or woodworking is a great way to earn some extra cash doing what they love.
5. Passive Income Investing
Passive income is one of the most sought-after types of side hustles because they allow you to earn money with very little to no work. Earning passive income requires one to buy high dividend-yielding investments, such as stocks or REITs to create a source of cash-flow. These stocks will produce dividends–cash payments made monthly, quarterly, or yearly–that you can either reinvest to earn more or simply use as spending money. While they may not earn as much as other side hustles initially, you can always boost your passive income by investing more, and remember, you will be earning this with very little extra work.
Whether you want to start working a part-time job or just make some extra spending cash, there are lots of great options on the market for people looking to start a side hustle. If you feel that a side hustle might be right for you, consider checking out all of our resources at careers.org.