I’ve recently been thinking about Sam’s challenge to earn $200,000 from online income or go back to a traditional job. My own challenge isn’t quite as ambitious, but it’s in the same spirit. I’ve decided that from July to December 2013, I’m going to live solely off my blogging income.
Here are the rules I’ve set for myself:
– Payments received after July 1st for deals closed before that date won’t be counted.
– Since my income is in US dollars on a PayPal account, I’ll apply a 2% exchange rate and a 2% transfer fee on all cleared PayPal balances.
– Income from my freelance travel writing won’t count.
– Only income from my blogs, Reach Financial Independence and Make Money Your Way, along with any other websites I develop during these months, will be considered.
– Income from my ad referral network will count, as it’s related to my blogs RFI and MMYW.
By the end of the year, I aim to have saved $3,000 from that income for a vacation either in late 2013 or early 2014. If I take the vacation in 2013, the cost will be covered by my blogging income and count against the $3,000 savings goal.
This challenge won’t change my lifestyle. If I go over budget, it’ll be deemed a FAIL, but I won’t stop traveling, eating well, or spending on things I want. In fact, my boyfriend doesn’t even know about this challenge, so our spending will continue as usual.
Money spent on investing in assets won’t count. I have two financial ledgers: one for “house and land investments”—like building new rooms or paying contractors—which won’t count, and another for “life investments”—like buying a car or boat, which will be included in my spending.
I’ve set three income tiers for myself:
– $1,000 a month should cover basic daily expenses but won’t allow for holiday savings.
– $2,000 a month should cover emergency expenses (like replacing a dying laptop) and meet holiday savings goals.
– $5,000 a month is my ultimate goal, as it would make me feel secure with my passive income. It would allow me to live comfortably by my standards and continue investing and building wealth. This is the goal I’ll aim for over these six months.
WHERE WE STAND NOW
I’ve been plateauing at the $2,000-$3,000 mark. June was just under $3,000, not my best month. Summer tends to be slow. Reach Financial Independence started making good money after six months, and Make Money Your Way is just a few days old, so I don’t expect much from it yet. However, I won’t lose the two months I initially did when I started RFI.
I’ll disclose my blogging income on Make Money Your Way for both sites and share the results month by month.
WHAT DOES YOUR ONLINE/FREELANCE/SIDE HUSTLE INCOME COVER? LIVING EXPENSES OR YOUR BLOGGING COSTS?
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