This post is a duplication of our newsletter, The Weekly Reset, where we review a key theme each week. In the spotlight this week: Side hustles and the power of diversified income. Do you have a plan for a side hustle to act as your retirement income?
A note from Johann
There is Benefit in a Good Side Hustle
It can be a valuable asset in your retirement playbook
Forget what COVID-19 has done to the economy and how it has made everything seem more complicated. Forget that you feel isolated and confused. Forget that you have concerns about your income and that you are worried about affording your future life. Also, forget that you are sometimes bored and long for some new stimulation that will allow you to use more of your abilities and play to your real interests.
If this sounds like your present state of mind, you may be at the right spot in your life to start a great side hustle. A side hustle for the uninitiated is some kind of occupational activity that you can do on the side. It can be on the side of your main job, or it can stand alone as a productive and satisfying way to earn some extra money as well as to help you to make full use of your abilities. A side hustle gives you a kind of entrepreneurial opportunity to design your own mini-business that will provide a sense of taking charge of your life and of moving yourself away from your current daily cares.
A side hustle can be what you may decide to do while you are fully employed and want to have something in addition, or it can be very well suited to someone in the ‘third age’ who is in retirement. Most people in retirement are aware of being isolated and out of their old social networks. They are also concerned, even if they are well provided for, about their finances. They often long for a new and different stimulation; a new focus for their life, and even a new sense of meaning.
To start a side hustle, begin by focusing on your interests and your preoccupations. Pick on something in which you have some skill and where you can start a small ‘gig’ activity. It could be making sound personal investments as an advisor if you have an accounting or financial background. It could be building an online marketing function for a manufacturing company. It could be using Facebook to track leads for an insurance business. And there are many other opportunities, too many to list here, that will come to you once you get into social media and you are not afraid to experiment. Simply Google ‘side hustle’ and investigate the very wide range of opportunities that are described. The important thing is to have the enterprise and sense of adventure to challenge you into a new direction.
Our top pick this week:
How to Make Money in Retirement: A Guide to Turning a Hobby into a Side Business
Many retirees turn side interests into income. Learn how to make money in retirement.
“Many who want to earn money in retirement turn to their hobbies as jumping-off points for launching a small business. Here are some ways to make money in retirement by turning your hobby into a successful business.
What is a side business for seniors?
Retirees can face obstacles they may not have encountered as younger entrepreneurs, such as a tighter monthly budget, but they have an advantage when it comes to their hobby: They’ve already invested in equipment and training.
Here are a few other benefits of turning your hobby into a business.
• Low upfront investment
Choose a side gig with low upfront costs, and use the resources, materials and knowledge you already have.
• Small-scale production
If your business will be manufacturing products, you don’t want your manufacturing capacity to exceed your ability to store unsold inventory. Start small and grow from there.
• Work from home
An added benefit of starting a home-based company is that you have low overhead costs: no office space leases, extra utilities, parking costs, etc.
Launching an online retail website can be an inexpensive way to market your goods and services. It can also be a good business route to take if you prefer some flexibility with your schedule.”
Click here to read the whole article on Business.com
Our Spotlight video:
5 Benefits of Side Hustles in Later Life
We look at the benefits of having a side hustle and generating additional income in the lead-up to retirement. Essentially, a side hustle is an occupation adjacent to your main stream of income and work. It can result from a hobby or a creative outlet and it becomes a source of activity and can lead to income generation. Continued productivity is beneficial to us in many ways. It helps us keep momentum, can keep us socially connected and helps us maintain our identity and creativity once we leave full-time work.
Other highlights for the week:
“People often dream of starting a business and working for themselves. For many of us, the hurdle of having enough money to launch the business prevents us from following our dream of business ownership. However, it is possible to start a business with very little money upfront.
Here are some examples of businesses that you can launch (if you already own the tools and have the skills).
• After-School Tutor
• Garage Sale Consultant
• Personal Concierge
• Small Batch Gourmet Shop Owner
• Virtual Assistant
• Holiday Decorator
• Social Media Manager
• Organizational Consultant
• Computer Repair and Maintenance Provider
• Information Products Creator
• Freelance Coding
• Event Planner
• Pet Sitter
• House Painter
• WordPress Developer
Some Final Thoughts
The common theme for all of these business ideas is that they are home-based businesses that use skills you already have. Each business is a great fit for word of mouth marketing and generating business through referrals. Also, remember that when you start a low-investment business, the work you put into it will dictate what you get out of it.”
Click here to read the article on The Balance
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We’re not done yet! What older workers can bring to the workforce
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This week’s question:
What books have been most valuable to you in navigating life’s challenges?
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Last week’s poll:
Are you thinking of a side hustle to supplement your retirement income?
Our favourite answers:
• A side hustle is not always necessarily to find meaning and purpose in life. Many people can fit productively into society even after retirement and many services you can do part-time even though you might have to upscale your skills a bit
• I have worked so long that I think i will need to do something meaningful in order to keep my mind and body active
• Well my pension barely covers my monthly expenses & since loosing my girl Friday job a side hustle would be a great help to make an extra income
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