As investors we realise the importance of diversifying our portfolios across asset classes and industries. However, this best practice of diversification doesn’t extend to our source of income as we often rely on a single stream. And if that stream is cut off, turmoil takes its place. Most people are a few salaries away from being homeless.

It’s all fine – until it isn’t anymore

I’m an accountant and I’m good at it. So it would make sense that I only want to work as an accountant for as long as possible. But in April 2020 the wind was knocked out of my sails when the Covid-19 hard lockdown was implemented, and my salary was immediately cut by 40% for an indefinite period. Luckily, two things saved my finances at that point in time:

1. I had a three-month emergency fund in cash savings in a Capitec low-cost bank account. I cannot stress enough the comfort my emergency fund brought me then.
2. At the time I was investing close to 40% of my monthly net income in the stock market, so all I had to do was to stop investing. But this also meant I couldn’t invest during one of the largest market opportunities, which wasn’t optimal. I missed out on many stocks that were trading at massive discounts.

My unique plan

After the initial shock of a salary cut, I knew I had to diversify my income. I dusted off my monthly budget and formulated a plan of how each of my bills can be funded by a side hustle, no matter how small or big. I started with the smallest expenses like insurance policies and worked my way up to private school fees and eventually my mortgage.

To date all my expenses are covered by one or more of my side hustles, except my bond. But I’m still working on that.

How to get your hustle on

Planning is essential in building side hustles, as there are several considerations that must be kept in mind. There are time limitations if you’re employed full-time, but want to pursue work outside your employment. You also need to be careful that you aren’t poaching clients or breaking any rules your employer sets about moonlighting.

Start where you are

It’s natural to want to do things you are good at, so ask yourself: “What am I good at?” Every person is good at something, and this will most likely be the career you chose. In this environment you will often have networks, so all you need to do is find clients and conquer.

You also don’t need to have a social media following to establish your side hustle. You only need your skills, your network, an updated LinkedIn profile, your phone and email.

In my case, I reached out to small entrepreneurs and offered to do their management accounts, assist with tax submissions or any other finance support they require. I made sure that I don’t take on any tasks that will require more than 5 hours per month.

SIDE HUSTLE TIP: When reaching out to potential clients, offer to do some work for free. Be sure to provide the same quality and superior customer service that you would for paying clients. It opens more doors than you think.

Making money online with content

This not easy, but it’s possible. But you need discipline and consistency. I went from making zero to six figures in just two years by following a few simple steps:

1. Choose a platform based on your focus area.
2. Facebook works for all types of content and has the widest reach
3. For written content, Twitter works best
4. For video content, TikTok and Instagram are optimal
5. Create an online presence and provide quality content daily
6. Build relationships with Direct Messages (DMs)
7. Always make notes and follow up

Here are some other practical ways of making money online:

• Affiliate Marketing: Sell someone else’s product or service for a commission. Only sell products or services you have bought and used yourself. You can use social media for this or direct email.
• Write an eBook or course: Everyone has a story to tell. Your story is unique. Writing an e-book takes preparation and time, but it’s very rewarding. You can sell your product on Gumroad for a small fee.
• Become a ghostwriter: If you’re not ready to put your name on a piece of writing, attempt ghostwriting. I’ve hired ghostwriters from Fiverr before. You can sell your services there for a fee.
• Flip/Resell: This is when you buy a product that’s in high demand and then selling it for a profit. You can start small, depending on the capital available to you. Why not try Facebook Ads to promote the product? There is a “big budget” myth surrounding Facebook Ads, but you can start advertising on the platform with R50 per day.
• Brand deals: Monetizing your audience should always be a long-term goal. Brands pay for visibility. We are currently in a cross-over era for marketing, and it’s an exciting time where anyone can become a marketer for products and services they use and love. But be patient with landing your first brand deal. To become an overnight success can take years.

How to find the best side hustle for you:

• Start with what you’re good at.
  • Are you passionate about what you’re good at?
  • Does the world need what you’re good at and passionate about?
• Can you monetize this skill/talent/story?
• Ask for help and never give up!

SIDE HUSTLE TIP: In the right format, anything can be monetized. Consider paying for a monetization coach. I did.

The biggest mistake people make when starting a side hustle is that they create products based on what their inner circle would approve of or buy. There are 5 billion internet users, which represents 63% of the world population. If you’re creating a digital product, think bigger. If you’re creating a physical product or service, widen your reach to people you don’t know. Thinking and creating small will only result in you giving up.

Rochelle Warries is a qualified chartered accountant with 16 years of experience and a seasoned stock market investor. Her passion is helping novice investors build healthy investment portfolios through financial education.

She is founder of Soul Financial, a website offering financial education and coaching. You can find her on Twitter: @soulfairy3