Look here! I’m going to spit out facts and chase away the cloud chaser.
We live our lives by data and stats, unless you can bust this information by creating something new or innovative, your side hustle will probably never allow you to achieve financial independence. And to some extent, 99% of side hustlers don’t actually realize their side hustle is trash until they found themselves overworked.
If your competitor is earning $10,000 a month in content writing. Unless you are doing something different, your highest earnings will probably be around that level.
So when I hear blogging saying that they make 6 figure income monthly from their blog in a low competition niche. It raises red flags. (P.S. Unless you are Kelly where she makes over $168,000 on Fiverr in 2022)
That person is probably lying
Medium has a Lot of Them
I have to admit the first time I joined Medium, I thought there were a lot of successful writers. Their profile just looked insanely good.
Wow, this person has over 22 top writer tags, he/she must be earning a lot of money. I want to learn more from them!
I have spoken to quite a number of writers here on the platform and I must say that there are a lot of not professional writers but professional marketers.
Like damn, how easy it is these days to be calling yourself a professional SEO writer when your content is not even ranked on page one. Or how can you just say your online business is thriving when there aren’t any recurring sales or ad revenue?
- How I Earned $688.19 Writing on Medium as a Side Hustle
- Medium’s Role in the Freelancing Revolution
- Is it worth it to write on Medium?
- How to Start Blogging on Medium: A Guide
- $105.33 with a single Medium story
Most Side Hustles are Trash
As I continued reading and starting a publication on personal finance and side hustles, I found that most side hustles shouldn’t be recommended.
But… But if you work hard, it will succeed right?
Gosh! Every “successful” side hustler share that this or that side hustle has made them thousands of dollars. FYI, to me that’s bad.
The end goal of any side hustle should always be to turn it into a business. No matter how hard you work hard on a side hustle, you will never be able to earn any government incentive. And most individuals don’t realize this.
Why Opening a Business is always a SURE-WIN
Most writers on Medium are starting their businesses as freelance and it’s a waste of growth potential. There are so many things you can do by incorporating your side hustle into a business.
I live in Singapore, known as one of the greatest tax havens in the world. Being in multiple startups for over 5 years now, I’ve learned a thing or two about running businesses.
Obviously, if you are starting a business, you want to fund. FYI most governments are definitely willing to provide you with cash upfront.
Unlike taking a loan from a bank that is in line with risk. Using government grants comes with way lesser risk, some of these grants don’t even require you to pay them back!
In my country, I could hire a retrenched young employee that hasn’t found a job in 6 months. I could hire this person and the government would actually incentives me for that.
I’m getting $2,400 per month for the first 3 months from the government to hire these young workers. Subsequently, I would get another $500 top-up ($2,900) for the next 3 months and another $1,000 until he/she has worked for at least a year. Do you know how disgusting I’m earning from hiring these people?
The comment section might be filled with hate on this but that’s exactly how the recruitment agency works. They typically make their money through the government incentive program.
Income tax is for the poor. They are easily traceable and taxable, unlike business income.
Just look at Amazon, they are a billion-dollar industry that hasn’t paid any tax. The way they do this is a corporate write-off and investing back into the business.
Notice this sentence: Invest back into the business?
This tax incentive word is probably another disgusting reason why having a business is so important. Let’s say your company makes $100,000 and you have to pay $22,000 in taxes. After hitting the quota of a tax write-off, you can simply declare to the government you decide to “reinvest” into the company.
Investing back into the business could be as simple as hiring new employees and getting new machinery to process more. Remember how I mentioned you could take grants from the government to hire new employees? Yeah, it’s an infinite money loop.
This works in my country so feel free to check and understand your tax code in your country better to take advantage of loopholes like this.
How much can you market yourself by yourself? Probably 4 hours a day?
If you run a business with over 3 employees, you could be having 8 hours each of employees marketing your business. Even if you don’t promote your business branding, your employees are most likely to promote them as it helps their resume.
You see, it’s actually great to have these kinds of free marketing where employees are more than willing to market themselves for your brand.
Protection against yourself
By far this is the most common usage of owning a business for many billion dollar industry.
By opening up a business, you are limited to the amount of losses based on the company value. If the company is only worth $10,000, any lawsuit on the business can earn them more than that amount.
That means your personal financial asset is still secure and protected even against any lawsuit. FYI, every millionaire, and billionaire uses this to make and protect their wealth.
How to be Successful
According to the top 1% of richest people in the world and how they got their wealth, here is the information you should know.
- 3% comes from real estate
- 3% comes from professional jobs (e.g. Doctors, Politics, and Lawyers)
- 5% comes from entertainment, sports, and media
- 10% comes from finance and investment
- 14% comes from working in an executive position (e.g. CEO, CMO, CTO)
- 24% comes from inheritance
- 41% comes from entrepreneurs
As you can see, 41% are entrepreneurs. What does that tell you?
It means they know how to start and run a business. Unless you are okay with building wealth slowly. Working your way up in a corporate job is pretty reasonable as well.
But if you truly want to be wealthy, here’s the key takeaway you need to understand from this article.
Remember, understand these 4 lessons if you want to be rich:
- Understand how to use the government system to support yourself
- Understand the tax code
- How to safely grow your brand and asset
- Follow and subscribe to Edmund Chong
So why are you still side-hustling? Get it running and turn it into a business!
Want to Join Us?
If you would like to write or share your personal story on personal finance & side hustle. Be sure to check out HustleVentureSG, a community of writers that aims to support side hustling and growing your finance to live a better life.