This post is from our regular Wednesday contributor, Erin.
Have you ever been in a position where you were addicted to earning more money?
I’m not talking about gambling, or investing.
I’m talking about not being able to say “no” to opportunities that come your way, because you want more.
More to the point of sacrificing your well-being, relationships, or your sanity.
When you have an intense financial goal like paying off a bunch of debt, or saving enough to afford a down payment on a home, you might be tempted to say “yes” to everything.
After all, who doesn’t want more money?
It’s a very easy trap to fall in, and I’m talking from personal experience here.
This is something I realized only recently, which is why I wanted to share it with you. Truthfully, I do believe there’s a risk in becoming too addicted to earning money. Here’s why.
Coming from a Place of Limitation
I’ve explained it here before, but for anyone not familiar: I’m currently a full-time freelancer. A large part of my decision in making the switch to freelancing was the ability to essentially control my pay.
If I wanted to scale back on work, I could, and this would lead to making less, but having more free-time.
If I wanted to accelerate my financial goals, I could do that by taking on more work than normal.
This is a big reason why people start side hustling. What they can earn from their full-time job is often limited, and aside from working overtime, earning more on the side is an easy way to increase the amount you’re bringing in.
However, when I started freelancing, I had just moved, and had no job prospects or clients at all. That might have been a foolish move, but I had saved up quite a bit to ensure the transition went smoothly.
Ever since I’ve been getting clients, I haven’t been able to stop saying “yes”. Having so much work coming in is a great problem to have, but it’s hard to know how to handle it when you’re new.
How can I possibly turn down the opportunity to earn more?! That seemed insane to me.
So I kept taking on more work. Until my days were completely filled with work, and I no longer had any free-time.
Unless your financial situation is so dire you really need every last penny you can find, there’s no reason to do this to yourself.
Sometimes, Sacrifices Aren’t Worth It
Young Adult Money focuses on side hustling a lot because it’s great for anyone to have an alternate stream of income from their jobs. There’s no doubt they’re extremely useful.
But I’ve noticed a huge trend with side hustles, at least in our community.
People work themselves to the bone! When juggling a full-time job on top of a side business, you’re looking at working anywhere from 70-90 hours a week.
It’s great to be earning so much money, and to have so much work, but because we’re working so much, we forget to enjoy life.
There are other things in life that are more important than earning money.
Make time for family, hobbies, friends, and relaxation.
Know Your Limits
If you do have one financial goal you’re specifically working toward, which is why you’re taking on all this extra work, that’s great. Make sure you only plan on being in overdrive until your goal is met, otherwise you risk burning out.
Knowing your limits may take some time, especially if you’re new at hustling.
My best advice would be to try and determine exactly how many extra hours a week you want to be working on your side hustle.
I can tell you that having the freedom to work anywhere, at any time, can be both a blessing and a curse. It’s extremely easy to work through your entire day and not realize it.
That’s also why it’s easy to keep taking on work. Why not, it’s just one more project! Until it’s 10 new projects. Oops.
Don’t Be Afraid to Ask For Help
For those of you making a decent amount that have opportunities coming to you – don’t be afraid to ask for help.
Plenty of solopreneurs have teams helping them out behind-the-scenes. There’s nothing wrong with that – it’s what makes a business more efficient.
Freeing your time up by outsourcing tasks can be well worth the “financial sacrifice”. It’s easy to want to keep all of your earnings for yourself, but if you’re stretched thin, it’s worth considering. Again, that’s how businesses grow.
If you’re at work and stuck in a similar situation, try seeing if it’s possible to delegate tasks. I know it might seem counterproductive at first, especially if you have to train someone on a certain task, but the upfront investment is worth it.
Don’t Be Afraid to Say No
At the same time, you shouldn’t be afraid to say no. If you’re realizing that you’re working too much and want to scale back, you have every right to do that (unless you signed a contract stating otherwise!).
It could possibly take getting in over your head to come to the realization that you can no longer take on additional work.
Remember that, in most cases, you’re working with your clients, not for them. Speak up if you’re getting overwhelmed! They’re likely to be understanding.
Likewise, if your workload at your job is too much for you to handle on your own, talk with your manager and see if you can work something out.
It can be difficult to admit that you need extra time or extra help on something, but you’re better off doing that than doing a poor job because you didn’t have enough time to dedicate to it.
Money Shouldn’t Always Be the Main Motivation
Overall, wanting to increase your earning potential is never a bad thing, but it can be taken too far at times, especially when you take “the sky’s the limit” too literally.
Try to remember that money shouldn’t always be the only thing that motivates you. You should enjoy the work you’re doing for its own sake.
Additionally, never feel pressured into taking something on. If you have an iffy feeling about it, go with your gut!
____________________
I feel silly that I didn’t realize the driving force behind me taking so much work on was twofold: I was scared of turning work down, and I also just enjoy seeing the numbers in the bank go up.
Now that I’m realizing I’ll be okay if I scale back a little, I feel more in control. It’s important not to let work completely take over your life!
Do you think people can become too addicted to earning more? Have you fallen into this trap? How did you get out?
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Yes, I think it is. But until you are debt free and have a solid emergency fund in place, you’re not there yet! After you’re rich, if you’re still addicted in an unhealthy way, that would be bad.
Ummm. This is me right now haha. I’ve picked up 4 extra shifts at work and at first didn’t seem tp bad but quickly realized how its screwing with oit schedule and lives. After these 4 are over I’m saying NO for a while it’s just not conducive for us. Too stressful.
I can understand how being a freelancer and overdoing it to make as much money as possible can take over your life. I just took on a great gig for freelancing, and hoping that in the future there will be a lot more opportunities such as this. I am going to really try my best to not overload myself and to stay balanced. Thank you for the tips.
Whoops, I think I’m probably guilty of this to an extent. I really enjoy my side hustling though–I just need to get rid of my pesky 9-5 and then I’ll be set ;). I am bad about carving out time to “relax,” which Mr. FW gently reminds me to do from time to time. Part of my goal in retiring early will be to have more down time!
My wife and I are definitely guilty of this…well me mainly. :) I think for me saying no to a potential client makes me begin to wonder at some unrealistic level if we’re going to start losing clients because they see we can’t take the workload. We’ve learned, over time, to be more discerning and ask ourselves if it’s really work that we want to do or not. We’ve also become much more comfortable at pushing back for more time. In most cases a client will understand. If not, there’s always the option to charge them more to get it done quicker. ;)
Money is big motivation for me, but I’m slowly learning to say “no”- if only to earn more money. Saying “no” to some projects is what makes room for bigger and better projects to come along.
It feels like I’m becoming addicted to blogging and reading other blogs. In addition, I seem to always be trying to do some type of side hustle – even if it’s just clicking on websites for pennies. It feels necessary becuase we have a lot of debt to kill. But I have to remember that most of our money comes from my regular job right now, so it needs to be more of a priority . . . speaking of which :/
I’m a bit of a workaholic and I know it. :) But I think my sister is worse? It’s not so bad if you enjoy the work. And then when you need a break, take a bit of time and actually enjoy the time off instead of worrying about everything that isn’t done.
Financegirl I tend to agree, but after having gone through this myself (with student loan debt and a solid emergency fund), I think it’s possible to get to a point where scaling back is necessary – at least temporarily. Unless you have such motivation and enthusiasm to continue on for years, in which case, don’t waste it!
PlungedinDebt Oh wow, 4 extra shifts sounds just a little hectic! I know you’re trying to pay off debt on a tight timeline, but that’s a great example of how more money isn’t worth it sometimes.
Debtfreemartini Good luck! I was also approaching freelancing from having started with nothing. This is why (in general) making the transition to freelancing while working is a better idea.
Mrs. Frugalwoods Well it’s definitely a good thing you enjoy the side hustling – that makes things more bearable! My fiancé is constantly telling me to relax, but as many freelancers know, there’s often a never-ending to-do list involved, which can make it difficult.
FrugalRules Love the insight, John! I’ve also started to be pickier with any additional work I take on. I’ve been listening to my gut, for the most part, and it’s been doing well so far. Some projects are not worth the money, especially if it’s not something you can get excited about.
With my eBay side hustle it’s one of those where if I put 40 hours of work in I will get 40 hrs of work out, but I also like having some time for me. If I have 2 or 3 hours that I can dedicate to eBay I’m all about it, but there certainly are limits.
brokeandbeau Yes, very true! I think as you go along and gain more experience, saying “no” becomes easier, since you have a better feel for what your time is worth, what projects you enjoy, and which clients are great to work with.
Harmony@CreatingMyKaleidoscope Blogging can definitely become addicting! It’s hard to turn down additional income opportunities when you have debt hanging over you. Finding that balance seems impossible, but it looks like you have the right focus.
pfjenna Neither of my parents are workaholics, so I have no idea where I get it from! Relaxing and enjoying time away is something I still struggle with, but I’m slowly improving.
EvenStevenMoney That sounds hard to resist, but it’s great you’re putting the focus on yourself! Everyone does have their limits, and it’s so important to know them.
“People work themselves to the bone! When juggling a full-time job on top of a side business, you’re looking at working anywhere from 70-90 hours a week.” I’ve seen this too. Many decide to leave a FT job with steady pay and I’m one to believe with a mindset shift one can make a good living working for another but knowing they don’t need to grow in that job and focus the other time on passions and purpose.
I’m always been a total workaholic, but I’m at the point where I am working smarter, not harder. And my way of relaxing is side hustling. I have learned the past year how to say no, which was really hard. I think I was raised to be a yes person and a people pleaser, so if I have to turn down extra income and side hustle when I’m already stressed out and busy is hard! But it’s better for my sanity and the people around me :)
Phroogal While I did make the switch to self-employment, it actually wasn’t because I was unhappy working for others. I agree that it’s possible for a lot of people to continue working and find their passion on the side. Everyone’s situation is different!
believeinabudget I have definitely had the phrase “work smarter, not harder” in my head these past few months. I can relate to wanting to be a people pleaser, but like you said, we have to be responsible for ourselves and our sanity. =)
Erin @ Journey to Saving Phroogal It would be very difficult for me to ever leave my full-time job to run a business/startup. But yes, that means that if I want to pursue things on the side – like a blog – it does end up taking up a big chunk of my free time.
I absolutely believe people can become addicted to earning money. There does seem to be quite a few people in the personal finance community who seem to work almost every waking hour between their full-time job and side hustle/blogging. And I definitely think there needs to be a balance. I can put in long days but I also try to balance that with no work on the weekends and limiting evening work. I’m not afraid to ask for help as I can only do so much. I have had a problem of always saying “yes” to everything because there is so much that I want to do and believe that I can be of service to many cherished causes as well. But there comes a point where you are stretched too thin. You no longer find enjoyment and are sacrificing other things like your family.
ShannonRyan I’ve often wondered if it’s more prevalent in our community because we’re so focused on money. I don’t really know of anyone else in my personal life that works so much (unless absolutely necessary to pay the bills). I have the same problem with wanting to help a little too much – I truly enjoy helping others, but our well-being is important, too!
I don’t know if I get trapped into earning more money so much as I get trapping into working more period. My issue many times is that I just really like to work and take on too many projects because of it and end up stressing myself out. I am getting better at balancing these things, but not perfectly.
blonde_finance I can relate to that as well, Shannon. I do have a habit of taking on a lot of work, and then justifying it with being able to earn more.
Absolutely! I fell into this trap when I first started freelancing. It wasn’t so much a problem of working too much, but working with clients that I had a bad gut feeling about from the beginning of the relationship. However, I was so obsessed with being successful in my new little business and earning more money that I would say “yes” to any work that came my way. Even if it was projects that I was less than excited about, or really wasn’t getting compensated enough for. Such a rookie mistake! By doing that, I gave up opportunities to seek out work I was passionate about in those beginning days. We all learn from our mistakes though and I have to say going through that learning curve really helped me to pinpoint where my passions lie :)
EmbracingSimple It is definitely a common rookie mistake. Starting from nothing and wanting that success can be detrimental if we don’t keep it in check! I’m glad to hear you’ve worked past it. I think that taking on such a variety of work has helped me figure out what I want to do as well!
It is really hard for me to put limits on my work now that I am self-employed. I’m not necessarily addicted to the money, but I am addicted to saying “yes.” The problem with this addiction is that there are few consequences aside from the loss of free time. Like you said, more work = more money when you are self-employed.
I’ve never had this problem. I don’t know if it’s because I’m a Libra or what, but if I do not have balance in my life I fall apart. I’m very sensitive to imbalance (I think my true calling might be yoga instructor-lol). I think when you say yes to everything as well, even table scraps, you undervalue yourself. Now I’m not saying if you are in serious debt and about to be thrown on the street that you should be picky and choosy, but if you CAN at all be picky and choosy, do it. YOLO doesn’t just mean spend lots of money on trips, it means what it means. You only live once, and if you don’t find time to take care of your health, family, friends, etc. life will pass you by and all you would have said you did is work. Can you tell I feel strongly about this? :)
Holly at ClubThrifty Well said, Holly. The loss of free-time can be a serious consequence, though, especially if you’re not careful and put work above family or giving yourself some breathing room.
Beachbudget I would totally take a yoga class with you. =) In all seriousness, I agree – especially on undervaluing yourself. I’ve been reflecting on this lately and it really comes down to what your free-time is worth, and how much you need to make. While I have my student loan debt to be considerate of, sacrificing all my time in favor of working is…not working! The income is great, but when I find myself longing to get away from the computer, I know it’s time to cut back.
I agree that there is a delicate balance. I recently had to fire my side clients in order to make time for my fitness and time to build my own community at my blog. Although the money was great, making an extra $1,500/month. My fitness was suffering. And in all reality the business was not scalable, it was just another opportunity to trade time for dollars.
But it served its purpose. I got paid to learn internet marketing and other things that I will use to build my own online business, that starts with the blog.
You will know when you push yourself to an extreme. Other areas of your life will begin to suffer.
For me the new focus to make sure I maintain something close to balance is to focus my energy on activities that have the ability to scale. Something that I can put effort into once and reap rewards over and over again. A perfect example is investing money into dividend paying stocks or investment real estate.
But there is of course the chicken and egg problem. Things take money, so as Erin wrote in the post if you are working hard for a certain financial goal, just make sure you pull back on the throttle once you reach that goal.
At the end of the day I think it is important to remember that there is a season for everything. But realize that no one season stay around all year round.
Cheers!
Is the sky the limit? I hope it’s not!
The younger we are the more money means to us. It ‘s hard to resist extra cash when your main goal is not defined. Once you have it, it ‘s easier to say no to extra work if it doesn’t add any value which would be in line with the goal.
The flip side is that money is the only goal for some (many?) of us. Is it good? It doesn’t work for me (now… it used to work in the past :) ). Everyone makes the choice and as long as he/she doesn’t harm others, no one should be allowed to criticise it