Can You Afford to Quit Your 9-5 Job?

So many people want to quit they’re 9 to 5 job but do not know where to start. Hundreds of questions usually come up. Will I have enough money to sustain myself and my family? What will my partner think? What about job security, and the pension that I’ve been saving up for?

Can you quit your 9-5 job? The way you can know if you can quit your nine-to-five job is by evaluating your social and economic circumstances and context. What is your current cost of life? Could you live more humbly? What is the cost of your aspirations and dreams? How motivated, dedicated and skilled are you?

If you are thinking about quitting your 9-5 job to build passive income streams there are some things to consider before going all in. We have added to color boxes to this article to provide more examples. The purple is a context of someone who is in a great space to leave their 9-5 job to go full time at making passive income. The red is someone who may not want to leave that 9-5 job at this point. Read on to learn more.

What are Your Circumstances & Context?

Your circumstances and context play a major part in your decision in leaving your 9-5 job, or not. A couple things coming to play with into play in this decision, notably with regard to your social and economic situations.

Social Circumstance

By social circumstance we would like to focus your attention on where are you in life at the present moment. Are you in your early twenties, living at home, with no overhead and a paying job? In that case, this may be a great time for you to dip your toes in building passive income sources. However if your 40, have a full-time job, and three young children, a mortgage and student debt, your ability to commit yourself to building passive income maybe a little more slow (but all the more important).

Family & Peer Context

Along the same lines as above, do you have a supportive family and peer group? Building passive income is extremely time demanding. Building a sustainable passive income source will require long days and long nights of work and dedication. Will your spouse or your life partner be supportive of your building passive income sources? If the answer is yes, that is great news 🙂

Not many people are fortunate to have a supportive partner when building passive income sources. However if you believe that your family or your spouse may not be supportive of your work, rest assured that there are ways to make compromises and also to find that support outside of your family and home.

One of the biggest drawbacks a life partner may talk to you about is “job security.” Although you can tell them over and over again, they may never understand that job security just does not exist. One way you can help reassure them while opening up more time for you to create your passive income, is by negotiating your terms at work. We talk about that more below.

It’s important to have a strong support system. One way you can find this is by subscribing to other YouTubers who talk about making passive income while providing inspiration and motivation. We highly recommend the following channels: Pat Flynn, Gary Vaynerchuk, Income School and our own channel Beginners Passive Income.

Employment Context

It’s really important to think about this before leaving your current job. What is it at your 9-5 that you do not like? Some things that usually keeps people from enjoying their job is a lack of:

  • Alignment with personal goals
  • Purpose
  • Flexibility
  • Free Time
  • Income
  • Encouragement

The main reason that people leave their 9-5 jobs is because it does not align with their personal goals. Therefore “know thyself.” No matter what you decide to do, create your own business, create passive income sources, or get a different job, make sure that what you chose aligns with your personal goals. We will have a closer look at that in the section on the cost of your dreams (below).

Before you decide to jump ship and leave your nine-to-five job, consider having a look at other options. Why not rearrange your schedule to free up your time? After testing things out, you may see some success and want to go part time. Being part-time will provide you more time in the week to build your own income sources.

Personal Motivation

Working for yourself is very very different from working for someone else. Instead of having your task list dictated to you, you are responsible for creating your own schedule and providing yourself your own income. The best way to know if you’re cut out for this is to give it a try before you leave your 9-5 job. Another criteria that’s important with regards to personal motivation is your tolerance to stress and risk. If you are highly risk-averse, you may not be willing to leave your 9-5 right away, and that’s okay.

You can start out with a couple side hustles and see how much you enjoy them. These are income sources that can be fairly active initially, but can be made passive through delegation and automation. Starting out with a side hustle will allow you to better understand how you work for yourself, and if you actually like it. Not everyone is cut out to be an entrepreneur and that’s also okay 🙂 We have a full list of passive income ideas available in this guide. Some are more risky than others, some require more entrepreneurial skills than others. But each guide covers both criteria. Check them out.

Economic Circumstance

Your economic circumstance is also a key factor in evaluating if you’re ready to leave your 9-5 job. What is your current cost of life? Can you live more humbly? And what is the cost of your dreams?

What is Life Costing You?

We cannot tell you the number of people who do not know how much life costs them every month. Of course this number does vary month to month, however it is very easy to create your monthly average once you have calculated this over a year. The reason people do not calculate this is often because they do not have a tool to do so.

Click on the button above for our budget planning Excel spreadsheet. If you do not have Excel on your computer you can open it in Google Drive (free for anyone with a Gmail account). Fill in that document to calculate your monthly average. And be honest with yourself. Now you have no excuses 🙂

Can You Live More Humbly?

Now that you have an idea of your monthly expenses, it’s time to look at if you can live more humbly. Gary vaynerchuk often talks about moving in with your parents. This may sound absurd and socially unacceptable, but it is one way to save a lot of money.

After housing, Another thing that costs people a lot of money is there transportation. Is there a way that you could lower your transportation expenses, by taking public transit, commuting to work with others, walking, or using alternative means of transportation?

Also have a look at your monthly subscriptions. There are certainly things that you are currently paying for in a recurring manner that are not providing you that much value. If you can cut these things out of your budget you will save a lot of money in the long run.

What do Your Dreams Cost?

This is so underestimated but so important. How much would it cost you to achieve your dreams? And it’s actually possible to calculate this! 

“What would you do if there was no way you could fail if you were ten times smarter than the rest of the world?”

Tim Ferriss, The 4-Hour Workweek

We are very grateful to have read the 4-Hour Work Week by Tim Ferriss (learn more about the book in our Passive Income Book Guide here). This book contains a PDF document that he calls a “Dreamline.” What dreamlining entails is calculating how much your dreams will cost you per month, in the following categories:

  • Own: Things you would like to have
  • Be: The person you would like to be
  • Do: The things you would like to do
 

Take the cost of all of these things and then divided over the time in which you would like to achieve your goals. Check out this PDF document to be able to calculate how much your dreams cost you.

You May Not Need to Quit Your 9-5

“Jump when you can afford to drown.”

Gary Vee
After having evaluated all these things you may be wondering if you should leave your nine-to-five job. Gary Vee says “jump when you can afford to drown.” That’s excellent advice. Only you can decide once it’s time. But there is no reason not to get started right now.

You will die. What legacy are you planning on leaving?

Related Questions

How can I make enough money to quit my job? Some ways to make enough money to quit your job include lowering your expenses, saving money, living more humbly, and replacing your current income with passive income.

Should I quit my 9 5 job? Knowing if you should quit your 9-5 job can be based on factors such as social and economic circumstances and context. Evaluate your current cost of life, ability to cut expenses, and the cost of your aspirations and dreams. Also have a look at how motivated, dedicated and skilled you are.

Disclaimer: The information contained on this Website and the resources available for download through this website are for educational and informational purposes only and are not intended as, and shall not be understood or construed as, professional advice. Results mentioned are not guaranteed. Starting a business or an online business always involves risk and demands a lot of time. The success of your (internet) business depends on your hard work and skill. We do not guarantee any business or income. It is also imperative that you consult a tax and/or legal professional in your area to ensure you comply with local, or nation-wide rules and regulations that pertain to your area before you join a peer-to-peer platform or start a business with the purpose of making money. Consult our Disclaimers page for more information.

Beginners Passive Income

Passive income for beginners. Ideas, guides, motivation, inspiration and everything in between.

Affiliate Disclaimer

Beginnerspassiveincome.com is a participant in affiliate programs designed to provide a means for sites to earn advertising fees by advertising and linking to their sites and is compensated for referring traffic and business to these companies. There are no extra costs to you if you sign up to any service through an affiliate link. Please refer to our Disclaimers page for more information.

Content Disclaimer

This blog does not provide legal, financial or tax advice and does not create an attorney-client or client relationship. We are not trained or certified financial advisors, and we are not your financial advisor. For legal, financial or tax advice, please contact a qualified professional in your area.We do not guarantee any business or income. Consult our Disclaimers page for more information.

Try Tidio Chatbots
5 Step Passive Income Blueprint
Our passive income blueprint provides five steps to financial freedom. From learning what passive income is, setting up your passive income goals, choosing your passive income idea, having what it takes to achieve your financial dreams, and then give back.
Outsource The Work
Plan Your Passive Income Success
passive income journal tracking

Plan your success to financial freedom over 24 months. Commit. Organize. Track. Grow. Build and execute your plan to replace your current active income with passive income.

Related Articles

Passive Income

18 Passive Income Ideas You Can Start in Canada

You can earn passive income in Canada from well-executed passive income ideas like blogging, podcasting, chatbots, eCommerce, niche sites, dropshipping, or print-on-demand for example. It is important to choose an idea you are passionate about or interested in learning because it takes skill, patience, dedication, and hard work in order to succeed.

Read More »
Passive Income

14 Passive Income Ideas You Can Start in India

Some passive income ideas you can carry out in India include eCommerce, gaming, podcasting, monetized chatbots, niche sites, dropshipping, and blogging. You can also participate in side-hustles like food delivery apps, flipping items on craigslist, flipping domains, flipping items on eBay and more. Learn more here.

Read More »
Passive Income

12 Passive Income Ideas You Can Start in The USA

Some excellent passive income ideas that can be done in the USA include blogging, podcasting, monetizing chatbots, eCommerce, monetized niche sites, dropshipping, print-on-demand, and more. You can also engage in side-hustles like food delivery apps, or peer-to-peer rentals. It all depends on what you are able to do and passionate about.

Read More »
Passive Income

10 Passive Income Ideas Without Investments

Not every passive income idea requires a large financial investment. Some passive income ideas do not require any investment and are fairly easy to start. Some can be done online such as gaming, YouTubing or starting a blog, while others may include AirBnB, renting out your things, ridesharing, or advertising with your car. Learn more here.

Read More »
Jobs

6 Passive Income Streams for Chefs

There are many passive income-earning opportunities for chefs. As long as you are passionate and knowledgeable in something (in the culinary world or otherwise), you can turn it into a passive income source. Passive income sources that may be ideal for chefs include blogging, podcasting, creating niche sites, selling eBooks, affiliate marketing and more. Learn more here.

Read More »
Passive Income

What Does Passive Income Mean?

Passive income is income that is earned without trading time for money on an hourly or per-project basis. Not trading time for money means income is not bound to a fixed rate or a 24h/day limit, thus lifting many limitations of active income. Passive income can, however, require a very large financial and/or time investment to set up. Learn more here.

Read More »
eBooks

How To Make An eBook [Video Guide]

You can easily make an eBook for free. You only need a Google account, a computer, and a stable internet connection and eBook content. Using Google Docs, you can create and format an eBook fairly quickly and easily. Learn more here.

Read More »
Audibooks

Audiobook Narration For Beginners

There are many ways you can improve your narration skills. Some factors that affect narration include your posture, vocal cord exercises, intonation, your interest in the content and what you consume before narrating. With the right posture, healthy diet, and preparation, it is possible to produce high-quality audiobook content. Learn more here.

Read More »
Side Hustles

17 Online Passive Income Side Hustles

There are tons of side hustle ideas you can undertake outside of your normal schedule or day job to earn passive income. Making passive income from a side hustle is not something new. Passive income ideas such as eBooks, eCommerce, podcasts, dropshipping, and stock photography can make for excellent side hustles. Most of these ideas are easy to start even for beginners. Learn more here.

Read More »
Jobs

9 Passive Income Ideas for Illustrators

As an illustrator, you can earn a passive income by sharing a passion via a passive income idea. Some ideas include print-on-demand, blogging, affiliate marketing, chatbots, podcasting or selling eBooks. Your choice depends on your interests and what you would like to share. You can combine ideas to create multiple streams of passive income. Learn more.

Read More »
Jobs

8 Passive Income Ideas for Real Estate Agents

There are numerous passive income-earning opportunities for real estate agents. Some streams include blogging, podcasting, creating niche sites, chatbots, selling eBooks, affiliate marketing, YouTubing and many more. With hard work, dedication, and skill, you can turn your passion into a passive income stream. Learn more here.

Read More »
Chatbots

How to Make Money Selling Chatbots

You can make an excellent income by creating and selling chatbots. One way of monetizing your blog is by selling it to a company/business or offering it to them for free, and earning a commission on sales from it. Many businesses are willing to buy chatbots to automate parts of their sales, support, and marketing processes. Learn more here.

Read More »
Chatbots

9 Ways to Make Money From a Chatbot​

You can make money from chatbots in a variety of ways. You can monetize your chatbot with affiliate marketing, eCommerce, advertising, lead generation, surveys, landing page, and sales funnel processes. You could also sell your chatbot to businesses to reduce customer support overhead. Learn more here!

Read More »
eBooks

How to Sell eBooks on Your Own Website

It is possible for you to create and sell eBooks on your website. eCommerce tools such as Ecwid make it super easy to sell products online. For instance, if you run a niche site on educational content you can create and sell eBooks about your niche topics and earn income through your online store. Learn more here.

Read More »
Jobs

6 Passive Income Streams for Lawyers

There are numerous passive income-earning opportunities for lawyers. So long as you are passionate or knowledgeable in something, you can turn it into a passive income source. Some easy streams you can earn passive income from include blogging, podcasting, creating niche sites, selling eBooks, affiliate marketing and many more. Learn more here.

Read More »
Ideas

10 Ways to Create Multiple Streams of Passive Income

Yes, you can create multiple streams of passive income by combining different passive income ideas. Online, you could combine affiliate marketing, blogging, YouTube, and Ad placement, and monetized chatbots. If you were running passive income businesses (brick and mortar) you could combine a laundromat with an ATM, self-service vending machines and more. Learn more here!

Read More »
Jobs

8 Passive Income Ideas for Massage Therapists

There are numerous passive income-earning opportunities for massage therapists. Some streams include blogging, podcasting, creating niche sites, Chatbots, selling eBooks, affiliate marketing and many more. If you are passionate about massage therapy, you can build a passive income stream to turn it into a passive income source. Learn more here.

Read More »