Are you looking to make a little extra money without quitting your job? A side hustle might be just what you need—and you have a few options to consider before you get started.
Work with Existing Companies
The gig economy has yielded plenty of peer-to-peer companies that make it easy to pick up a part time job. If you have a four-door car, you can drive people around with Lyft or Uber. If you have an extra room in your house, you can rent it out on Airbnb. You can even run random errands for people with TaskRabbit.
The Pros and Cons of the Gig Economy
All of these options will allow you to make some extra cash without managing every aspect of the business on your own. You won’t have to worry about advertising, finding customers, or handling payment methods, because the third-party company handles everything for you. You can also make your own schedule, so it’s easy to work around your existing job.
However, a serious downside is that few if any of these job opportunities offer health insurance, paid time off, retirement planning, or any of the other benefits you would expect from a traditional job. You also don’t have a guaranteed income—you could offer a room up for rent only to learn that it’s just not in demand. And don’t forget that the company you’re working for will take a cut of the pay.
Start Your Own Business
Creating a business of your own offers its own challenges, but in the end, it could be much more rewarding. Take a look at the skills you have to offer—do you love baking, childcare, or fixing things around the house? What about creating something, like artwork, clothing, or websites? If there’s an area you excel at, you might be able to turn it into a business.
Because you’re only looking into a part-time business, don’t think too big just yet. There’s no need to buy an entire storefront for your baked goods when you can begin by selling to friends and neighbors out of your own home. Start small and wait to branch out a little when you find success.
The Pros and Cons of Running Your Own Side Business
One of the benefits will be various tax breaks. Be sure to talk to your tax advisor about these options to make sure you’re only writing off acceptable expenses.
You’ll also receive a sense of fulfillment if you run a successful business. Knowing that something you created is providing a unique value to your community is an amazing feeling.
On the downside, depending on the kind of business you choose, there can be a certain amount of risk involved. If you invest a great deal of money and time into your business, only to find that your products or services aren’t selling, you would be in trouble.
If you decide a side hustle is right for you, be sure to research all of your options first to find the right fit. We wish you luck and success in your new venture!