The idea of a nine to five job that you spend 40 hours per week at and 30 years at before you can retire is destined to become a relic. With side gigs running rampant and corporations downsizing their work forces it’s almost impossible to stay with a company and rely on them for a pension and a comfortable retirement.
Working side gigs is one way to rely on yourself and put your future in your own hands, but how can you turn your side gigs into enough money to count as a full-time job? Here we will discuss what it takes to make it happen, and get things consistent enough to eventually leave your job.
Put More Responsibility On Your Gigs
If you’ve been treating your side gigs as a way to earn a little extra money to go on date nights or just having some pocket money to play around with, it’s time to step things up. Start by trying to pay your car payment with a side gig. Then see if you can pay your rent or mortgage with it.
After you are paying for your car payment and rent or mortgage payment each month with your side gig, see if you can pay for all of your groceries with it. Keep working things up until you are paying all of your monthly expenses with one or more side gigs.
Apply the 20/80 Rule
If you want to make your side gigs your full time job you will probably need to be working more than one gig. Then apply the 20 80 rule, also known as the Pareto Principle, and find out which side gigs are accounting for most of your additional income and do more of those.
You can also apply this rule within an individual gig. For example, if you are a rideshare driver for Uber or Lyft you can calculate which 20% of your fares are are providing 80% of your income and drive more during those times. That way you’ll be maximizing the amount of money you’re making and freeing up your time to do better paying gigs.
Cut Back At Your Day Job
If you’ve been working your full time job for several years you have some wiggle room that allows you to work a side gig or two. Talk to your manager and see if there’s a way for you to cut back a few hours a week and still be considered a full-time employee.
As you start to replace your full-time income with side gig income you can ask to be a part-time employee and just work half the time you did before. That way you’ll have even more time to find different side gigs that pay better and solidify your financial base each month.
Phase Out Your Day Job – Eventually…
At some point you’ll be making more from your various side gigs then you do from your full-time job. Of course you’ll need to factor in things like paying for your own health care and setting up your own retirement fund, but you may find that the autonomy of taking care of yourself and not relying on one company to take care of you makes you feel more secure.