Procrastination EDIT: Dat cash money doe………
I’m somehow am still managing to get words on this page despite a throbbing hangover. Yay me!
No no, never say ‘yay me’ again. ( ahemmm, ga-EEEE.)
I don’t even know where I’m going with this. I’m rambling. Alright, let’s get focused. FOCUS. This is not the purpose of this post.
I need to make $2000/month in side-income by December 2016. This is pretty ambitious. Especially if I don’t have a plan. So here’s my plan:
1) Max out my Roth-401K: My company matches my 401-K contribution. If I max it out at $5,500, company adds $5,500 dollars, that’s $11,000 total going into my retirement account this year, compounding long-term, which is a free $82,359 for my retirement. Total of $164,719 of long-term value. Boom. Boom. Boom. Quick win.
Note: I chose Roth because the U.S is in fucking trillion dollar debt. They’re probably gonna have to raise taxes or default sometime in the future. To save face, I think they’ll raise taxes.
2) Financial Audit: Fuck Mint so I’m building my own personal financial model. Here’s a snapshot:
I thought about showing you how much I make, but I decided against that. I don’t really know why. Perhaps, I’ll just start posting my financials later on.
But basically, I see myself as a business. In this case, I’m acting as my persona CFO. My number one principle with this model is to always pay myself first. This means that everytime I earn a paycheck, the money goes into my investment accounts and my ‘investing in myself’ first.
But in general, I can show you my percentages:
10%–> Savings Goals( building a 6-month cushion, vacation)
60%–> Fixed Expenses( housing, bills, groceries)
7% –> Variable expenses(going out, entertainment)
As you can see, my fixed expenses are WAYYYYYY too high. And I consider myself lucky to have a pretty decently nice, cheap place to live in Downtown LA. Figuring out this fixed expenses thing is gonna require some experimentation and tinkering.
If you’re one of the few people reading this and you want to check out this financial model, send me an e-mail firstname.lastname@example.org
3) Time Audit: Once I finish my financial audit, I’m gonna need a time audit.
Like most people who work full-time, it sometimes seems like there aren’t enough hours in the day to do everything you want. You have work, side-projects, dating, exercise, social-life, how do you manage all of it?
I’m gonna have to make some sacrifices here if I want to reach my dreams. But before I even make sacrifices, I need to know where my time is actually going. I can’t remember his name(I don’t feel like Googling because I’m trying to write this as fast as I can) but someone said that ‘whatever gets measured, gets managed.’
Because I get really into this, will be creating a time-tracking model spreadsheet to log all this. Data analytics for my time. THEN I can allocate my time according and create some rules and principles to guide my time management.
4) Zero to $1000 Copywriting Challenge: Because I need side-income, this’ll give me an excuse to aggressively learn a new skill. In this case, copywriting( and marketing in general).
I think copywriting is the most underrated skill out there. For those who don’t know, copywriting is the art of writing text that sells. So every person who needs to sell themselves, whether through e-mail, resume, cover letters is using copywriting. But because most people don’t properly learn how to sell themselves, they can’t find jobs. Booohooooooo.
For me, the challenge here, is to go from no experience to earning $1000 a month using this skill in a month. If i break this down, this comes down to earning about $30/day. If I can charge $30/hour then, one hour per day would be pretty feasible.
I’m going to be taking a learn as I go approach. This means that I’ll be immediately starting to pitch clients AS I’m learning and practicing the skill. I think initially, my strategy will be focused on pitching clients on Upwork writing specific samples for potential clients. And then gradually expand from there.
What I love about writing this post, is that by trying to explain this in words, I can easily objectively identify holes in my plan. A couple of questions I need to answer for myself:
- What type of portfolio can I build? Since I’m writing in more of a personal tone with these posts, I’m skeptical this would be a good representation on the type of writing I can do.
- What will I charge initially? How do I value my time?
- How will I make time for both pitches and practice? I’m going to need to manage my day A LOT more effectively.
These are only a couple of questions I need to think about. So I’ll probably re-hash my thoughts in another post.
5) Always be testing and validating business ideas: I see business ideas as little seeds. You throw them on the soil and you see which one will sprout and grow. But the difference between gardening and business, is that most of the seeds you’ll try to plant will probably fail.
But I only need ONE idea to work. Really simple. So I’ll need to continue to come up with ideas and try validating and testing them. If I hit upon an opportunity, I’ll be willing to change my plan.
Not too sure if this’ll spread myself too thin or how much time this will require. Well, once I finish my time audit, I guess I’ll find out!
6) Poker: Out of all the ideas I have, poker probably has the highest upside in helping me reach my goal. If I go to Commerce Casino, $500 buy-ins, and manage to earn $250, 2 x week, I can hit my goal of $2000. But like any skill, poker is going to have to be my ONLY focus. Doing too many things at once will diffuse my attention.
The only qualm I have about poker, is that poker doesn’t actually create value for society. It’s a zero-sum game. You win money, only if other people lose. When building a business, you win and your customer wins.
When I finish my projects, I think there are two, simple heuristics I need to keep in mind:
1. Is this getting closer to my goal?
2. Am I enjoying this?
If I’m making a lot of money and not having fun, time to drop the project. Because that’s just the same thing as my current job. And the whole point of this is to change my situation.
Anyways, well see how how this goes. All these ideas are still in in-cubation and there gonna need A LOT of iteration. My first step is pretty easy and simple. So this’ll allow me get started immediately.
I have a bad habit of over-thinking things so I’m just gonna try to get started and figure it out as I go 🙂
Gonna head to the bookstore right now to research some financial literature, hopefully to stir up some more ideas and crystallize my plans a bit more. Peace.