Think You’re Ready To Take Your Side Hustle Full-Time? 5 Signs It’s Time

When your side hustle is something you're excited about, it's tempting to go all-in and quit your day job to focus solely on your passion project. While this can be a risky move, it can definitely pay off in some instances. But how can you know that it's time?

Read More: 22 Side Gigs That Can Make You Richer Than a Full-Time Job

Here are five signs it's time to take your side hustle full-time.

Last updated: May 17, 2021

Your Side Hustle Is Bringing in More Money Than Your Full-Time Job

This may be the clearest sign that it's time to quit your day job -- but there are some things you need to take into consideration before taking the plunge.

"If your side hustle brings in more money than your full-time job, it's time to start considering making it your primary source of income," said Forrest McCall, personal finance expert and owner of the entrepreneurship blog Don’t Work Another Day. "You'll want to consider the other benefits of your job like health insurance and retirement accounts when making this decision. You'll also want to only include the profits from your side hustle – not just the income it produces."

See: 40 Legit Companies That Will Pay You To Work From Home

You're Having Trouble Keeping Up With Your Side Gig's Demands

"If you have more business inquiries and requests than you can manage, that's usually a good sign," said Tom Logan, co-founder and CEO of the content marketing platform Cohley.

Find Out: 15 Signs Your Employer Wants You To Retire

You're Truly Passionate About It

"You may not see clear and obvious 'signs' flashing in front of your face that scream 'Quit your job!,' but if you have an undying belief and passion for the idea and you're willing to make sacrifices to turn those dreams into reality, then don't let anyone talk you out of it -- do it!" Logan said.

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You Would Regret Not Taking Your Side Hustle Full-Time

Becoming a successful entrepreneur often requires trusting your gut and taking a leap of faith.

"Jeff Bezos' framework, which he used to make the decision to quit his high-paying finance job in New York to start Amazon, is also a good one," Logan said. "Bezos's 'regret minimization' framework starts with a simple question: 'In X number of years, will I regret not doing this?'"

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You Have a Financial Safety Net in Place

Having an emergency fund is always a good idea, but it's vital when you work for yourself. If the numbers are adding up in your favor and you have a financial safety net in place, that's a good sign that you're ready to take your side gig to the next level.

"It’s key that one has enough savings to weather any potential setbacks," said Ricardo Pero, CEO of SellersFunding, a financial services solution for sellers on e-commerce platforms. "Most businesses fail because they don’t prepare for a potential downturn, and end up without the adequate capital to survive said downturn."

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About the Author

Gabrielle Olya

Gabrielle joined GOBankingRates in 2017 and brings with her a decade of experience in the journalism industry. Before joining the team, she was a staff writer-reporter for People Magazine and People.com. Her work has also appeared on E! Online, Us Weekly, Patch, Sweety High and Discover Los Angeles, and she has been featured on “Good Morning America” as a celebrity news expert. 

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