Euphemism for job: Side Hustle

[LOL!]

ERN has a new article in the Ultimate SWR series:
https://earlyretirementnow.com/2018...to-safe-withdrawal-rates-part-23-flexibility/

Basically, going back to work in a job that will replace 30% of your normal withdrawal will rescue a bad scenario.

But don't call it a job and don't call it work.

Does that mean long-employed can rename what they do as a "Side Hustle" and live happily ever after without retiring?

 

[Maenad]

Yeah, the term "side hustle" has always grated on me - my dad started a business as a second job back in the 80s, and when he got laid off at age 55 in the early 90s was able to easily make it his primary source of income.

And he didn't need no cutesy name for it.

Get offa my lawn!

 

[NW-Bound]

A place I worked at wanted me back for contract work recently.

2.5% WR even without SS. This means no side hustle for me, even if 2008-2009 repeats.

 

[frayne]

If anyone wants or needs to do a side hustle, good for them and no judgement from me.

 

[NW-Bound]

If anyone wants or needs to do a side hustle, good for them and no judgement from me.

Yes.

There's work that I do not mind doing. It's just that my price now to do it is so high, I did not even mention it to them.

 

[Bigdawg]

I enjoy umpiring baseball games and refereeing volleyball matches. I can't help the fact that I get paid aprox 15K/yr doing those activities. What should I call that?

 

[Bigdawg]

From the link:





"For some historical cohorts where the 4% Rule would have worked even without a side hustle, flexibility would have backfired; you would have gone back to work for years, maybe even a whole decade and afterward it turned out it wasn’t even necessary!"


To me a side hustle is something I do for fun. If you NEED a side hustle then it becomes a dreaded J.O.B!

 

[exnavynuke]

To me, a "side hustle" is what you do "on the side" for "extra cash". If it's a necessary source of income then it's just a "job". Whether it's the only job you have, your second or third or fourth job, it's still a job. You're working for a paycheck.

 

[donheff]

Yes.

There's work that I do not mind doing. It's just that my price now to do it is so high, I did not even mention it to them.

Back in the late 70s a very accomplished real estate appraiser I worked with in Chicago retired with a good pension. He was contacted by a company that wanted him to travel to Detroit to handle a complex appraisal. He wasn't interested in working but wanted to keep the company friendly in case he changed his mind in the future so he quoted a price twice what he thought was reasonable hoping they would go elsewhere but wouldn't be too offended. They accepted without a hesitation so he had to take the "side hustle." I moved to DC shortly after that and lost touch so I don't know if the big bucks kept him working or not.

 

[Aerides]

They are called Side Hustles because most people doing this sort of thing is as a supplement to a full time job.

That's what I did - I created a small business side hustle out of a hobby, and yes, it nets us about a quarter+ of our typical annual spend. I don't plan to do it forever, but it's not overly time consuming, I do 75% of it while watching netflix, I like it and I have no boss but me, and can stop or start whenever I like, so it's definitely not a job.

 

[Huston55]

Seems the conclusion of his blog post is buried in...well, the “Conclusion.”

That being: Don’t FIRE until you have liquid NW well over 25x annual expenses. Not really a revelation but, perhaps his post (and all the accompanying simulations) will resonate with folks on the edge and considering FIREing, especially those under 40.

 

[daylatedollarshort]

I enjoy umpiring baseball games and refereeing volleyball matches. I can't help the fact that I get paid aprox 15K/yr doing those activities. What should I call that?

I consider my bargain hunting a sort of side income. I keep a list of the value of freebies and discounts each month. Last month it was almost $2K, and most of it nontaxable. Having lower expenses helps us keeps our MAGI low enough for ACA tax credits worth another $1.7K a month. I don't have to do it, but I enjoy it along with optimizing expenses and implementing sustainable living ideas like reducing our energy and water usage, and combined those hobbies will keep our long term withdrawal rate close to zero (after pensions and SS).

 

[harley]

My small business isn't a side hustle, as I didn't start it until a few years after I FIREd. I did it more as a favor to my old boss than through any attempt to generate income. It made my old job much easier for my replacement than it was for me. Amazingly it has gone from generating a couple $K per year to over $50K per year. And that doesn't count the really significant amount of Amazon and Discover points I make, which is tax free income. We haven't paid cash for anything on Amazon in years. I do feel like I'm working sometimes, but I also have days, weeks, and sometimes months at a time where I don't do anything. Like Aerides I tend to do most of it at night when the TV is on, when I tend to putz on the computer anyway.

I sometimes wonder how I'll ever get out of it, though, at this point. Maybe I can pass it on to DD and it can become her side hustle.


Edit: To tie this in with the main point of the OP, the small business has lowered my withdrawal rate from my originally planned 4% to around 2.5%. That's made our retirement much safer, as well as adding to DD's eventual inheritance. Not why I did it, but a nice side effect.

 

[Andre1969]

To me, a "side hustle" is what you do "on the side" for "extra cash". If it's a necessary source of income then it's just a "job". Whether it's the only job you have, your second or third or fourth job, it's still a job. You're working for a paycheck.

Yeah, I was just about to say this. "Side Hustle" also makes it sound like something fun, and a bit more glamorous, then "second j*b", "part time j*b", etc...

 

[RunningBum]

Yeah, the term "side hustle" has always grated on me - my dad started a business as a second job back in the 80s, and when he got laid off at age 55 in the early 90s was able to easily make it his primary source of income.

And he didn't need no cutesy name for it.

Get offa my lawn!

I don't like the term either. A "hustle" sounds like something shady, like taking money from someone via dubious methods.

 

[Perryinva]

From the link:





"For some historical cohorts where the 4% Rule would have worked even without a side hustle, flexibility would have backfired; you would have gone back to work for years, maybe even a whole decade and afterward it turned out it wasn’t even necessary!"


To me a side hustle is something I do for fun. If you NEED a side hustle then it becomes a dreaded J.O.B!

Exactly! Same opinion here. I enjoy using and trading/trying different analog gear and also fixing vintage Electronics. Would/could never make my definition of a living doing it, but it is a long time skillset I’ve done much of my life. Easy to make $15-20k which supports the hobby with cash left over. No different than people that paint or photograph and sell their work. Satisfaction and better than self supporting.

I was thinking hustle as in “hustling to get something done, (as in quick, no large time commitment) so it doesn’t interfere with your main job or life”. Not as in the slang to hustle someone out of their money. Very different from a part time job.

 

[BreathFree]

I started a "side hustle" while I was employed by my long term employer. My intentions at the time was to find a fun hobby that was profitable. I like making money, so it is part of the fun for me.

My employer and my entire industry suffered a brutal downturn causing massive paycuts, reduced manning and permanent layoffs. I was able to just walk away stress free because of my little "side gig".

I encourage anyone who can find a low effort means of producing additional income to do so. You may not be able to call yourself retired but self employed aint such a bad title either.

 

[harley]

Plus, one positive side to a small business is that you can make significantly large Roth contributions. The income does limit the amount I can convert, but the contribution goes a long way towards making up the difference. The only negative is that the money stays in the t-IRA. But as I get closer to RMDs and SS, being able to stash money in a Roth is a nice benefit.

 

[street]

I consider myself retired but have a side hustle for about 90 day a year. I consider it my workout, stay in shape fitness program for the year. I do some manual labor all out doors from early spring through late fall. It also is therapy and gives me a different social life with many young people.

So for me I would do it for free but they pay me. I do it for me not for the money and it is good for my health and mind.

 

[BreathFree]

Plus, one positive side to a small business is that you can make significantly large Roth contributions. The income does limit the amount I can convert, but the contribution goes a long way towards making up the difference. The only negative is that the money stays in the t-IRA. But as I get closer to RMDs and SS, being able to stash money in a Roth is a nice benefit.

This, plus you can deduct Health Insurance Premiums, which is currently my largest expense since leaving my employer.

 

[joeea]

They are called Side Hustles because most people doing this sort of thing is as a supplement to a full time job.

Agreed.
It's what we used to call a "second job".

 

[BreathFree]

Here is an interesting article on the etymology of the term "side hustle" for those interested.

https://www.merriam-webster.com/words-at-play/words-were-watching-side-hustle

 

[tb001]

I think of a side hustle as something different from a second job. For me it's usually something you can do independently, so you're not working for someone else and have control over your hours.

 

[NW-Bound]

I used to call it moonlighting. It was an apt name, because I was still working a regular job, but doing work after-hours at home for friends.

Darn, I worked too hard in those years, without much to show for it.

 

[HadEnuff]

I often use the term "career change"...

I mean no judgement. Retirement is IMO, to enter into a state of no longer working. Not moving from "Mecacorp" to opening my own restaurant, or painting houses...or working on rental properties...those are jobs...which is fine, and honorable, but it's not retirement.