It can be hard to save money and achieve financial freedom on a budget.
Between rent, bills, groceries, and other expenses, it feels like there’s never enough left over at the end of the month.
Well, lucky for you, times are changing, and we’re just entering the gig economy. You can use gig apps to make extra money and help you move forward in your financial independence journey. You can eventually achieve financial freedom with a good budgeting and money management strategy.
The gig economy is booming as more and more people continue to freelance to generate additional income and create their own schedules. With a bit of budgeting and the right financial management strategy in place, you can use gig apps such as TaskRabbit, Fiverr, or Uber to get on the right path towards financial freedom.
What is the gig economy, and what are some of its benefits?
The gig economy is a term used to describe a growing trend of freelancers or self-employed professionals. One of the reasons this transformation is taking place here in the United States and worldwide is because of gig apps. And with movements such as The Great Resignation, where thousands and millions of full-time workers are quitting their jobs, more and more people are relying on the gig economy and these gig apps.
The gig economy offers many benefits, including flexible working schedules, the ability to work from home, and no boss or company to answer to. In addition, many gig economy jobs offer the opportunity to make pretty good money on your own terms and receive immediate feedback for your work.
How to budget and manage your money to make the most of the gig economy
To make the most of the gig economy, it is essential to have a good budgeting and money management strategy. This means knowing how much money you need to live each month and sticking to that budget. It also means being smart about where you spend your money and ensuring that you are getting the most value for your dollar.
Although that is certainly an option, I’m not saying you need to be a penny pincher and get on the Dave Ramsey beans and rice diet. However, budgeting can indeed be a game-changer for anyone in debt or struggling to make any progress towards financial freedom.
Understanding your cash flow, including your monthly in-flow and out-flow, will better position you for financial success. Budgeting will give you insight that will help you see how much money you need each month, as well as where you are spending your hard-earned money.
How to find gigs that fit your skills and interests
Now that you know more about budgeting and money management, it’s time to start looking for gigs. When looking for gigs, it is important to find ones that fit your skills and interests. There are many different types of gigs available, so take some time to research and find a good fit for you.
It is crucial to find gigs that fit your skills and interests to make the most of your time working in the gig economy. Not only will this help you stay focused and motivated, but it will also make it easier for you to find work.
First, decide which gig app is best for you, depending on your interest and skills. You know I love TaskRabbit and Fiverr if you’re a regular here. They both tend to my broad range of general labor skills and sales and marketing experience. TaskRabbit is a great place to start if you’re looking for gigs such as house cleaning, yard work, moving help, or furniture assembly. Many other gig economy companies offer similar services.
If you enjoy driving, you already know Lyft, Uber, DoorDash, or Grubhub might be good options for you. If you’re interested in graphic design, Fiverr may be a good option. Or, if you’re into writing, there are many freelance writing gigs available online. The list goes on and on, so take some time to research and find gigs apps that fit your skills and interests.
The importance of setting goals and creating a plan for financial freedom
One of the most important things to do when working in the gig economy is setting goals and creating a financial freedom plan. Without goals, it is easy to get sidetracked and lose focus. This is especially true for the gig economy, where there are so many distractions and opportunities.
Creating a plan for financial freedom will help you stay on track and make progress towards your goals. This may include creating a budget, tracking your expenses, or investing in yourself by taking online courses or learning new skills. I, for example, have a financial goal that includes learning a new skill set which will, in return, help me meet and exceed that goal.
It is also essential to set realistic goals. Don’t set yourself up for failure by trying to achieve unrealistic or unachievable goals. Start small and work your way up. Or, as I often say, it’s a marathon, not a sprint. And as a former sprinter, I know how hard it can be not to go all out at once. But you need to remember your goals and pace yourself.
If you start budgeting and your monthly expenses are $3,250 while your monthly earnings from your job and/or side hustle are $4,000, you’d have $750 money left over. That “leftover” money might be spent at the bar, eating out every night, buying luxury clothes, another gaming system, etc. I get it. You want to live life.
Alternatively, you may have set a goal to invest in your future by starting a ROTH IRA or a Dividend Portfolio. Use some of that $750 to invest in your retirement account, even if it’s as little as $25 a week! However, if you go the IRA route, consider maxing it out, which is $6,000 if you are under 50 years old. So you can max out your IRA by contributing $115 per week! And with the power of compound interest, the sooner you start funding your account, the better.
How to stay motivated and focused when pursuing financial freedom
One of the biggest challenges when working towards financial freedom is staying motivated and focused. This is especially true when so many distractions and opportunities are available in the gig economy.
To stay motivated and focused, it is essential to remember your goals and create a plan. This will help you stay on track and make progress towards your goals. Additionally, it is important to remember that financial freedom is a marathon, not a sprint. Pace yourself and don’t try to achieve unrealistic or unachievable goals.
If your goal is to max out your annual Roth IRA contribution while on a budget, stick with your plan to invest $115 each week. The easiest way to prioritize the ongoing investment is by paying yourself first and setting up auto-payments. For example, I use M1 Finance for my Roth IRA, another private portfolio, along with my Growth and Dividend Portfolios. And instead of manually depositing money every week, you can set up auto-invest, which will automatically deposit your account from your checking account and fund your portfolio. This is setting you up for financial freedom on autopilot!
Now, of course, you should start with your emergency savings fund first. Even if you set up small weekly or monthly contributions, you need to set up a strong foundation before you start trying to grow your money. This foundation should be 2-6 months’ worth your monthly expenses. That way, you’ll be prepared for any unexpected expenses or a loss of an income source. Assuming you’ve established a good foundation with your emergency fund, now might be the time to start investing in your IRA, as discussed above.
Financial freedom is a goal that many people strive for. It can be attained by using gig economy jobs to increase your income and investing in yourself. By setting realistic goals and staying focused, you can achieve the financial freedom you desire. Additionally, it is essential to remember your goals and dreams and follow your plan to move forward in the financial independence journey.
Remember, it’s a marathon, not a sprint!
So there you have it! What are you waiting for? This is how you attain Financial freedom on a budget using gig economy jobs and other money-saving methods. Start saving and investing today! Check out the financial freedom guide for more help and motivation. And be sure to check out the TaskRabbit Money Maker Course if you’d like to learn the best tips and tricks to help you increase your income and make more money.