When To Go Full Time With Your Side Hustle
So you started on the traditional path in life and got a full-time job like most people do. But at some point, you decided that your job wasn’t paying enough money, wasn’t making use of enough of your skills, or both, so you got yourself a side gig. LOVE IT. Having your own project outside of work can be a huge source of fulfillment and joy.
Over time, you may find yourself at a point where things have been going pretty well. So well, in fact, that you’re almost ready to take a leap of faith and turn your side hustle or project into a full time thing.
Almost.
Before officially ditching your full time role, which is hugely scary in itself, ask yourself these questions. And remember, the best things in life don’t often come easily. Going full time with your passion project, whether web design, graphic design, writing, or anything else, takes a lot of bravery and determinination. But when you do it, it can wind up to be so worth it.
So… when should you take your side hustle full time?
You’ve done the math
Math may or may not be something you enjoy, but it’s good to sit down and calculate your numbers. How does your side job’s income compare to your current full-time salary? Is that side job’s income all by itself enough income for you to live on?
If the answer is no, it’s okay. Your side job’s income is limited right now by time constraints. When there is no other job taking up your time, you will have more time for your business, which will allow you to make more income. Try to calculate how much more work you will be able to do in that time, and estimate your income.
Creating a budget is a must, because you’ll need to keep track of the income and expenses of your business. Don’t forget to regularly stash away money for savings and include that in your budget -- that’s your emergency fund. Having three or four months’ worth of expenses in the bank can be a miracle if your business hits rough waters.
Last but not least, you should create a clear plan for growth. Make a plan for how and when you can scale your business and hit revenue goals. Your plan probably won’t work perfectly, and it can change over time. But it really does help to have a plan in the first place.
You have all of your systems in place
Are you a highly organized person? If so, that’s awesome. But if organization isn’t your strong point, it’s super important that you set up all the systems you need for your side hustle. Before you take your side hustle to full time, you should have solid systems in place for:
Onboarding clients
Scheduling
Creating deliverables
Sharing deliverables with clients
Feedback and collaboration
Invoicing and payment
Offboarding clients
Fortunately, you don’t have to invent everything from scratch. There are a variety of tools out there that can help you make systems to stay organized. Different tools do different things, so explore tools like Dubsado, Honeybook, Kartra, Asana, Trello, Monday, and more, and see what they can do!
You’ve done the not-so-fun stuff
By not-so-fun stuff, I mean the boring, tedious work you have to do to make sure your business is legally covered and financially secure. Get ready to dive into the wonderful world of business insurance, business licenses, taxes, bookkeeping platforms -- you may end up hiring an accountant!
I get it. This is intimidating. However, you need to make yourself familiar with these topics if you want to expand your side gig into a full-time job. Don’t stress! There are many resources on the internet that can shed light on these topics. For example, Freelancers Union is a place with a lot of helpful information, and the IRS has an entire section on its website for self-employed taxpayers. All of this may seem complicated now, but trust me, you’ll get used to it over time.
With it, you find happiness
Be honest: Does your side job make you happy? That may seem like a simple question, but it’s not. The key thing to keep in mind is that you can’t just compare it to your current full-time job. Maybe your full-time job makes you miserable and your side job is better in comparison. But that’s not the same thing as your side job making you happy.
Which one sounds more like you: You can’t wait to come home from work each day because you’re escaping your miserable job, or, you can’t wait to come home from work each day because you’re excited to work on your side gig? If it’s the latter, that means you genuinely have a passion for your side hustle and it’s not just something that’s less miserable than your current job. Go where your passion takes you!
You’re willing to make sacrifices
Before you get that full time side hustle going, you should think carefully about what that will mean for your daily life. Understand that you’ll probably not have much free time, at least at first. I can tell you from firsthand experience: I work twice as much now as I did when I had a 9-to-5!
Running your own business is more than just the fun stuff. It's also about administrative work, bookkeeping tasks, behind-the-scenes planning, marketing yourself, running your social media, etc. When you’re working a full-time job as an employee, you don’t have to think about all of these things because you don’t own the business. Being self-employed is a whole different ballgame.
If you want to turn your side gig into a full-time job, you’ve got to be truly dedicated. It’s not going to be easy, because there will be times when you’ll have to put aside something fun to work on your business instead. However, if you’re okay with that, working for yourself can be very rewarding and amazing. I can tell you that from firsthand experience, too!
So… is it time to quit your job?
After reading these tips, do you feel excited about turning your side hustle into full-time work, or do you feel like you’re not ready?
If you’re excited, great. Go for it! But if you think you’re not ready, that’s all right. It doesn’t mean you will never take your side gig full time. It just means you need to spend more time brainstorming, researching, and planning first.
You are capable of anything you set your mind to. If you want to quit your job and focus on your side hustle, you can. If you want to excel at your current job and keep your side hustle on the side, you can do that too. You can do anything you want -- as long as you use that smart brain of yours and make good decisions.
Disclaimer: This blog post describes my own personal experience. Your experience may differ from mine depending on several factors such as your industry, lifestyle, location, etc.
