When to Quit Your Day Job

I read comments from new members and many have one big objective and that is to get rid of their day job. They say that as soon as they earn enough from Internet marketing to match their day job salary, that will be it.

That sounds good to me if certain considerations have been made such as:

1. What is the total annual remuneration from my day job including salary, medical insurance, retirement benefits such as IRA or regular pension, and any other benefits that you would lose including discounts on merchandise, etc.?

2. What is the cost of replacing these benefits? Will I lose any benefits completely that I can not replace?

3. What total income will I have to bring in from marketing to duplicate what I will be giving up?

4. What is a realistic expectation for gain in annual income when doing Internet marketing full time. If you were working 20 hours a week part-time, will you be working 40 hours a week full time? Will that double your income?

The first three considerations concern your old job. The fourth concerns your new job. You will now be able to concentrate on your business and spend more time at it. Both of these are factors if you think about it. Not being interrupted has some merit.

Also, the self employed tend to work extra hours, hours you may have been too tired or occupied to work before. And when and how you work will be less restricted.

Other considerations are: How much time does it take you to prepare to go to your day job? How much do you pay for clothing? How much do you spend for transportation? Does your day job require you to pay and dues or buy memberships in clubs and such? How much money will you be saving just by not going into the office? You can subtract these cost from your gross income.

And you will have expenses to consider. Advertising is one that could be significant if you use PPC. Do you have to add any utilities or facilities. Categorize your office expenses. Are you going to hire a maid so that you can spend your time working instead of cleaning.

Finally, you will have tax advantages. The cost of office operations, utilities, computers, printers and such are all deductible.

I suggest that you make a chart with three columns. Then you can list the factors in the first column and the day job in the next and your marketing job in the third. That way you won’t overlook anything.

Next Page: Current Job Benefits Examples


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Labman Premium Plus
Thanks John, I expect if I blend a couple of those together I'll have my situation. Never is an easy decision. You missed one though. The added time that you can spend developing your business online when you are not loosing 40-50 hours a week at your day job.
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TJ Books Premium
I think that is in there in some form. I'll check. Tnx. John
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taradm Premium
Great reality check. Thanks John, I always enjoy your posts!
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TJ Books Premium
Not an easy decision for some, very easy for others, especially young women with a couple of kids that need mothering or for a guy who works for a real You Know What and wants out. But we must think first about the consequences. Tnx. John
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Apina Premium
Well said as always John. People often dream of leaving their current stable occupation, without really thinking through the realities. One additional cost would be related to accounting and taxes, as not many people have time/knowledge to do it themselves.
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TJ Books Premium
I guess that is a new topic we can entertain considering accounting and legal help which should be part of a business plan. Thanks again! John
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@RICH. Premium
I cried with laughter, recognising myself in some of those scenarios. Thanks for a brilliant reality check, John. I thoroughly enjoyed it! Best. Rich.
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TJ Books Premium
it started as a blog but I got it into a tutorial not thinking, so then I was stuck to write four (4) pages. Tnx. Got you got a laugh out of it. John
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TJ Books Premium
Are you ready to quit that day job or just dreaming about it? Let's hope you can leave it if that is exactly what you want to do. Think about it first. John
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