Why I Use Side Hustles to Become Financially Free

This is a guest post by Millionaire Mob, a blog focused on ways to better your financial future. We have helped thousands of people with bettering their financial future through passive income, dividend investing and travel hacking.

I’ve been a huge side hustle advocate for quite some time. I love having some gigs outside of my normal day job to keep me busy. To me, a side hustle is meant to be broad and include passive income strategies, an hourly job or a ‘gig’.

We live in a digital age that enables use to work when we want and where we want. This has led to endless possibilities to increase your income.

In terms of financial freedom, increasing your income is paramount. This enables you to achieve the flexibility you always wanted. By increasing your income, you ‘unlock’ the ability to repay debt or save at a much faster rate.

If you are focused on achieving financial freedom (like me), write down a few quotes about financial freedom to keep you motivated.

Why should you consider a side hustle to become financially free?

1. Diversification

A side hustle has uncapped potential. By monetizing your hobbies, you could potentially unveil a new business venture. Holding the uncapped potential aside, a side hustle is a great way to diversify your income. Unfortunately, we don’t know what will cause the next recession or when a business will go bankrupt. For most of us, our day job income is always at risk.

By having a side hustle, you enable yourself to build a moat of income streams to protect your financial future in the case of a downside scenario. I love this about side hustles.

2. Accelerate Savings and Debt Repayment

This one is obvious. I stated it already, but a side hustle is so crucial to increase your income. With just a minor increase in your income of $100/month can be enough to repay that last portion of your car loan or it can help build a side dividend portfolio that will increase your income even further while also achieving your financial freedom goals.

I’ve been taking all of my side hustle income and reinvesting it into a dividend growth portfolio that can earn additional income AND help achieve my retirement goals. Historically, I used my side hustle income to repay my student loans. I repaid nearly $70,000 of student loans in less than 5 years… I’m so glad that is over with.

By attaining a side hustle early and growing it, your future self-will thank you.

3. You Have Fun and Learn

Your side hustle should be something that you truly enjoy doing like a hobby or something that you already do for fun. If not, take on a project about something that you’ve never known and want to learn more. For example, I recently took on a client for a freelance job managing their social media accounts. This was a fun way for me to learn how social media works for my own blog. This helped me increase my following and make more engaging posts.

Getting paid to learn is never a bad thing.

“Develop a passion for learning. If you do, you will never cease to grow.”

-Anthony J. D’Angelo

Conclusion on the benefits of a side hustle

Side hustles have uncapped potential but focus on a select number of them. If you run yourself too thin working on a number of different side hustles, you won’t have a meaningful impact over the long-term. Find two or three really important, fun hobbies and find a way to monetize them.

This can be a great way to improve your quality of life and make new connections.

Side hustles lead to relationships. Relationships lead to opportunities. Thus, unveiling a whole new paradigm of ways to achieve financial freedom. Stay creative with your lifestyle and enjoy the ride.

How do you know when you are financially astute or financially free? There are several ways to determine the moment that you have become a money grown-up, so use your side hustle to get there.

If you are already a money grown-up, go find a side hustle to increase your income even more!

Author Bio: Millionaire Mob is where people come together to find the best travel deals and financial advice. We specialize in dividend growth investing, passive income, and travel hacking. Our advice has helped thousands travel the world and achieve financial freedom. Follow me on Twitter, Facebook or Instagram.