I just read @OurNextLife post where she analyzed the cost of her yoga teaching
I actually did a similar cost analysis with my Phoenix job which led to me adios-ing that thing. I know that’s a super sign of privilege, because so many people have jobs that pay so much less and they don’t really have a choice in the matter, but I gotta do me.
I was earning $17/hr. Which for out here, probably isn’t too horrible to be completely honest. My big frustration with this job is that I was earning this for a job that I had 8 years of specific experience in. There are several jobs I could apply for and earn that with no experience, but I had a lot of self esteem and self confidence issues when I was applying for that job.
Anyways, I was driving 30 miles each way on my commute. The IRS values that mileage at a few pennies over $0.50/cent mile, so $30-ish/day was going just towards maintaining my car.
I was always feeling rushed in the morning so I ended up going out to breakfast, and going out to lunch. Oh, and I’m starving after work, so I’m going out for dinner too. I’m easily spending $20/day on food. Sometimes more, sometimes less.
My net pay for 40 hours of work was just under $700. $150 of that going to the cost of commuting. I’m down to $110/day (or $13.75/hr after tax) just to pay for my commute to work and my taxes. $100 of that weekly $550 is going towards food. Food that is less healthy than if I had time to plan my meals. I’m down to just over $11/hr after tax just to eat and drive myself to work. And that doesn’t even consider all the polo shirts I bought specifically for the job, or the dry cleaning…or all the uncompensated time, like waking up early at 6 am to get ready and be at work no later than 8. Sitting in traffic after work. My 8 hour work day easily turns into 12 hours of time that I could spend doing something else.
Since my savings rate was so low,I looked at lowering the costs of my meals. I ordered a bag of Huel for breakfast (about $2/meal) and bottles of Soylent (about $3/meal) to take in for lunch. Probably won’t be purchasing these again since I can cook eggs and toast for a lot less, and they taste better, but I’ll use up what I have.
Bottom line, the experience really taught me how much extra I’m spending just because I want to “feel productive” by “having a job”. If 8 hours of $17/hr is good enough to get by but 1/3 of that is just going to the extra costs of working, then can I make it work doing 4 hrs @ $30/hr per week or 2 hrs @ $50/hr per week? We’ll see. Having savings certainly gives the freedom to test the options for which I’m super grateful.
If I pursue another job, I’ll definitely be negotiating for as much as i can, or I will be looking for something closer to home/ work from home. But there’s also part of me that hopes I might be able to manipulate enough freelance hours to maintain my status quo lifestyle and then I can just let my investments continue to do their thing.
BTW, the following is someone’s actual business. Is anyone else extremely jealous that they didn’t think of this first?