Since late 2014, a few months after I started Bright Cents, I knew I was on a journey bigger than just paying down my student loans. I could feel that this was like the gates to something bigger, but I didn’t know what or why.
I was reading and learning about financial independence, retiring early, being debt free, and was feeling so energized by everyone I learned from. I woke up excited to learn more and teach others what I was finding.
Then I discovered podcasts.
I started off listening to the Dave Ramsey show (a recommendation from my coworker at the time – thanks Nicole!) and was loving it. I learned a lot but after a month or two was getting kind of bored with what his show was providing.
I looked around the iTunes/Podcast store to see if another financial favorite of mine, Suze Orman, had a podcast version of her show, and of course she did. I listened for a few weeks but then got bored again (an hour commute each way gives you a lot of time to consume podcasts).
I did a search for something related to money, and I then found the podcast that would change everything for me: Smart Passive Income.
At the time, podcasts were big, but they weren’t as mainstream as they are today. I had never heard of passive income and was curious what that was, so I downloaded an episode.
It was episode 3 of the Smart Passive Income podcast and it seemed pretty interesting from the description.
This episode was all about how Glen Allsop of ViperChill had built a ton of affiliate and niche sites and was making a gobs of money.
At the time, my brain could barely comprehend this. I had never considered the fact that a regular person could make money online like that.
It sounds bad, but I hadn’t really thought about there potentially being another path for people like me. I was average, boring, and felt I had no over-the-top skills to start something of my own— it just never really crossed my mind.
My Journey Into Online Business
I was doing dishes at the time I listened to episode 3 of Smart Passive Income and got chills immediately. Something about this felt so right.
I listened to the episode again and then started doing some research.
This niche site thing seemed fun, but I didn’t know if it was exactly what I’d be good at. But I was definitely interested in this whole online business thing.
I stopped listening to everything else and consumed only this podcast. Pat Flynn, all day, every day.
I started learning more about niche sites and blogs, and decided to start my own. A few months passed and I decided I wanted to write about my student loans and how I was paying them off.
No one I knew was talking about this stuff in public. With friends, we’d get on the topic of being broke, laugh, and throw out numbers of what we owed for our degrees, but that was it.
I also felt like having all of my information out in public would force me to work harder towards paying off my loans and stop spending mindlessly.
I knew money was a taboo topic, and most people don’t talk about the nitty gritty details over drinks, so I felt this was the next best way. I just wanted to talk about this and help my friends in any way I could.
I started the site and wrote consistently there every week for about 2 years. I published debt reports on how much I had paid off each month and how I had done that.
Before I knew it, family, friends, and even strangers were reaching out for advice on how to get out of their own debt faster. I loved helping wherever I could.
From Blogging to Business
As time went on, my podcast listening habits switched from Pat Flynn to more mindset/business type stuff, Achieve Your Goals with Hal Elrod, then Fizzle, and then the one that changed me: Gary Vaynerchuk.
Gary has impacted my life in many ways. Most importantly, he helped me realize that I didn’t want to be working the same job for someone else the rest of my life.
I wanted to do my own thing, and take my skills outside of the workplace to help more people. Especially people I cared about vs. one larger organization.
I started helping family and friends with marketing work and building websites.
They started to pay me.
And then they started to refer other people to me.
With all this extra work meant a lot more time was needed to keep up.
Before I knew it I was working 3:30am to 9pm. My schedule looked like this:
3:30am -7am — Wake up and work on client stuff
7am-8am — Take the train to my day job (write, listen to podcasts, read)
8am-12pm — Day job
12pm-1pm — Walk outside and listen to podcasts, or work on client stuff
1–4pm — Day job
4pm-6pm — Commute home (write, listen to podcasts, read)
6–9pm — Work on client stuff
9-9:30pm —Go to bed and do it all over again
People thought I was insane, and rightly so – it was tough, but I flung out of bed (once I got over the 3:30am thing) excited to get started. And a short Gary V podcast in the morning re-energized me even more.
Saving Every Single Dollar
With this new schedule and new goal of leaving my day job, I changed my money focus quite a bit.
I started saving money instead of using it to pay off my student loans faster. And then I realized I couldn’t write my debt reports anymore, and I stopped writing for Bright Cents audience altogether.
I wrote a few posts about money but it didn’t feel right because I wasn’t being completely honest anymore with my audience.
I felt terrible about it because I knew I was helping people learn about their finances, but I also knew that I couldn’t write about what I was actually doing.
My coworkers and boss were reading the site soI couldn’t exactly post “I’m saving money to quit my job.”
But that’s what I was doing. I even had a goal date in my head: June 1st.
And over the course of 12 months, I had saved up $22,000 as an 8 month “runway” — i.e. money to have in case everything I touched turned to crap.
I started getting more clients to the point where 3:30am to 9pm wasn’t cutting it anymore.
I had to make a decision — stop taking on clients, or leave my day job.
I was almost at the point of having enough money saved up, and once that happened, I knew that I had no more excuses. I was going to actually quit my job.
My comfy, secure, day job. June 1st was becoming a reality.
I wrote out my resignation letter, but didn’t print it out. But once I did that, it made me extremely uncomfortable to even sit in my chair at work.
It was scary, exhilarating, and made me question my sanity.
Every. Single. Day.
May 1st came and I had enough money saved to live off of for 8 months if I didn’t make a single dollar after I left.
I handed in my resignation letter shortly after.
My boss and I both cried when I gave it to her. I loved the people I worked with and for, but it just wasn’t healthy anymore to keep living like I was. Something had to give.
My final day came and went, and it was like a wave of relief fell over me.
All of the hard work, saving money, stress, anxiety, the tears, the laughs, and the long hours of that commute were worth it.
I published this on Facebook two weeks before I left my job – this is my “I’m terrified but am going to try my damnedest to make this work” face 🙂
3 Months After Leaving My Job
It’s been almost 3 months now since I had my last day with that job. I’ve made mistakes and dumb moves, but I’m learning every day.
I’m finding new ways of getting things done and meeting lots of new people. It’s great and I wouldn’t change that decision at all.
The biggest thing I’ve learned so far, is that you can take that big scary goal and turn it into a reality. All you need is a plan, and the support of your loved ones, but most importantly, yourself.
You can’t do this without you, I promise you that much.
It’s officially been more than a month now that I can call myself a business owner/”entrepreneur.” It’s weird – but also exciting, fun, and terrifying all at the same time.
I’ve learned a lot already, and am seeing myself grow in many ways. I’ve also watched myself make some pretty decent mistakes already.
Honestly, I made my first big mistake before I even left the corporate world….when I put in my two weeks notice.
Now, contrary to what you immediately thought just now, I’m not saying leaving was my mistake. Read on.
June 1st, 2017
I had known for a few months that I was planning on leaving my job around June 1st. I had picked a date before to leave and never followed through. So I prepared as much as possible by saving up 8-12 months expenses, and having a few clients already in the works so I could really hit the ground running. Essentially, I left myself no more excuses to not leave the middle of that year.
While I knew I was planning on leaving, I was waiting to tell my employer until closer to the date to “CYA” if you know what I mean. I didn’t have quite enough money saved up just yet, so getting let go would have foiled the plan a bit.
Anyway, a little more than a month before June 1st, I learned that an employee on our team got let go – which for our department was kind of unheard of.
On top of that, their last day would be…….June 1st.
I felt awful knowing that I was going to quit soon and leave practically the same day they were going to lose their job. I thought maybe I could have saved their spot if I had given my notice earlier.
No time like the present!
Handing in My Resignation Letter
In an effort to potentially save this person their job, I sat down with my boss the next day and gave her my resignation letter. I even mentioned that they should give the person their job back and they could take on some of the projects I was managing.
I don’t think it worked – but the coincidence around June 1st was a definite motivator for me to hand in my notice, as honestly I kept putting it off.
My First Mistake as an Entrepreneur
So what did I mean when I said my big mistake happened when I was handing in my resignation letter?
My mistake was the date I gave as my last date of employment with the company.
Why is this so significant? Well May 31st happens to be the last day of the month. You know what also ends on the last day of the month for people leaving a company?
Now, I was able to get health insurance through healthcare.gov (we won’t go into the debate about this program). Getting a health insurance policy wasn’t a problem at all. I got a decent policy for a pretty good price of $284.42 a month.
I had been under the impression that you have healthcare coverage with your current job until the end of the month following when you leave. I’m really not sure why this was in my head – and even after looking at the policy on the company’s intranet, I still got it wrong.
You know what would have happened if I had put in that letter that my last day was going to be June 1st?
I would have had healthcare coverage through my previous employer until June 30th.
Entrepreneurship: 1 Chenell: -$284.42
You live and learn folks. And my big tip for those getting ready to leave your job: do your due diligence and make sure you know when your health coverage is going to end once you leave.
As you may have noticed, I haven’t been updating this site as regularly as I had in the past. I was previously blogging about paying off debt, putting every extra dollar you could towards getting out of debt, and making smart money decisions along the way. It was what I was doing, so chronicling the challenges I faced and things I learned while paying off debt came pretty naturally to me.
But last year, I started embarking on a different journey. One that was very important to me but also something I couldn’t share publicly just yet.
And because my goals had shifted and changed so much from the original reason for publishing on this site, I felt like I couldn’t write about it. In addition to that, I couldn’t share this secret with some of the people in my life, because…well you’ll find out in a minute.
Because I wasn’t actively paying off my loans and writing debt reports, it felt inauthentic to pretend like I was, or to publish articles about how important paying off student loans is while I’m saving money – so I didn’t end up publishing much of anything. It killed me to just leave you guys wondering for that long but I really couldn’t publish a post about this.
But the time has come where I can share that journey with you all.
So what have I been up to for the last several months?
I’ve been preparing to quit my full-time job and take my “side business” full-time. So I stopped paying off debt and started saving money instead. I was saving up enough money to quit my job and go full-time with my side business and I needed to have some cash on the side in case I don’t make any money the first year.
Now of course, I already have clients and money coming in from this business so I really doubt that will happen, but there are also emergencies I can’t predict and who knows what can happen in a year.
Why couldn’t I post here about this journey?
Well my boss and other coworkers had been amazingly supportive in my journey to pay off debt and many of them were also reading the blog. Since I wasn’t sure exactly when I’d have the money saved, it wasn’t like I could give a date of when I was planning to leave. So I couldn’t just tell them I’d be done in 6 months and that was that, it was a little more difficult.
I’ve Saved Enough Money to Quit My Job
It took me this long, but I’ve saved up a good chunk of money that will last me for 8-12 months as long as something grave doesn’t happen.
So, in late April, I handed in my resignation letter. Even after saving money for so long, it was still an extremely hard decision to make. I had been with the company for over 7 years – it was my first “real job” out of college.
The company taught me a lot about relationships, business, and marketing, and I’m forever grateful for the people I’ve worked with along this journey.
But I have the itch to try and make this work on my own, and I’ll never know if I’ll be successful at it until I try. In my eyes, I can always go get another job if I fail – marketing isn’t going away. And if I can’t find a job in my field, I’m more than willing to try other industries and do what I need to get by.
This is a big risk in many people’s eyes, but at the same time I’ve tried to mitigate the known risks as much as I could before leaving.
In addition, no job is “stable.” And if it seems that way today, tomorrow could absolutely change that. I want to do what I can to get closer to the lifestyle I want to live and take control of my “stability.”
With all of that said, moving forward this blog is going to cover what it’s like to prepare to leave your day job, the challenges I faced and will face along the way, and other entrepreneurship/side hustle related topics. Of course, having written and learned a lot about personal finance in my life, that will likely come out in the future of this site.
Thanks for being so patient and understanding this huge shift in my life.
If you have any ideas for articles, have experience with this and want to share it here, or any words of encouragement, please comment below or submit them here.
It can take some hard work, but it is well worth it to be able to use your income for life’s milestones, such as buying a car or a house. On top of this, many borrowers are completely blindsided by the interest they are required to pay on their loans.
For many, student loan debt hanging over their heads means that they can’t achieve these major steps in their lives. Despite this, there is a way out. I am beating my $22,371 in student debt so I can pursue very important financial goals sooner rather than later. Continue reading →
In the past eight to ten years, the financial world has seen the rise of a new way of getting financial guidance through robo-advisors. This relatively new investment concept was not widely used at first, but it has picked up momentum and is now a serious consideration for those seeking financial wisdom and help with investing for retirement.
In a world where money is constantly changing hands, it seems that robo-advisors are here to stay. But just how are robo-advisors changing investing? Are they really making it easier for people to get started investing? Here are just a few of the ways robo-advisors are changing investing.
Cost of Investing
Before robo-advisors made their appearance, investment consultants could typically be found wearing fancy suits and working in expensive looking buildings. If you wanted to talk to one, you first made an appointment with that firm’s young, pretty secretary.
Next, you would come to meet your financial advisor in a huge, luxurious office sitting behind a massive, highly lacquered desk. Finally, your advisor would explain how investing with him, or her, would turn your small savings into much, much more. But of course, there were always some fairly significant fees attached.
Robo-advisors are changing all that. They take the human element out of investing. As a result, robo-advisors can provide financial knowledge for more people at a lower cost. In the future, fees charged by suite wearing investment advisors may be reduced just to keep up.
Not only are robo-advisors making the cost of investing more affordable, they are also making it easier. Everywhere you go you see cell phones and other internet linked devices in the hands of the people you pass. We are connected now in ways we never have been before, allowing us to get information of all kinds, including investment information, almost instantly. Instead of having to go to a land line to call your investment consultant by phone you can simply pull out your phone and check your investments yourself. There is no wait and you can make changes in your portfolio while you are stuck in traffic or in line at the grocery store. Of course, technology plays a part, but robo-advisors are the tool that makes it possible to manage your investment portfolio just about any place and any time.
Ease of Use
One of the wonderful things about robo-advisors is that they make investing much easier. If you want more control over your investment options, using a robo-advisor can help. You can compare services and fees at the touch of a few buttons without having to go through a person. This means you don’t have to wait for someone else to get back to you with answers. Instead you can get them yourself.
When you want to see what is happening with your portfolio right now, pull out your tablet or laptop, go to the website of your robo-advisor, and check to see how your investments are performing. It’s fast and it’s easy to keep your eye on your investments through robo-advisors.
There are many ways robo-advisors have changed investing in the past few years. They’ve made it significantly easier for beginners to start investing by taking a lot of the fear and uncertainty of the equation.
Beginning investors can use robo-advisors to invest based on their risk assessment with a low beginning investment and low costs. Only time can tell us whether or not robo-advisors are here to stay and if they will be able to keep up as technology advances in the future.
Have you used robo-advisors for investing? Do you think the changes are a good thing?
Kayla is a personal finance blogger in her mid-20s who loves to write about money topics of all kinds.
*If you’re looking to get started with robo-advisors, Betterment is pretty beginner-friendly and easy to use – using this affiliate link gets you 6 months free.