And of course, you have to consider the cost of that commute. Work out a budget for extra gas and wear and tear on the vehicle. Or if you take public transportation, add up the costs of tickets, tokens, or passes. There may be other incidental expenses involved, like clothing appropriate for the second job or supplies that aren't provided by the employer. Opportunity Costs There are indirect costs to working a second job. The opportunity cost of working a second job represents what you have to give up to make it work. In other words, what would have been the difference if you had chosen your next best option? For example, you decide to take a second job for $10 an hour for a total of eight hours per week. The job's starting time is only an hour after you get off work from your main job, so you have to rush home, throw something together for dinner, and rush off to the new job. Many employers have policies against employee moonlighting, and for good reason. You no longer have time to make dinner from scratch.
All jobs are going to cost a bit extra to do (gas, taxes, and other small expenses), but once you subtract the costs of working, you should still be making a significant amount of money. If you are not making any progress on your goals after you take on the job, you will need to evaluate whether or not the job is worth it. If you take on a retail job, make sure you are not spending your entire paycheck at the store. A job at your favorite retail store might sound like fun, but if you end up spending extra because you see the new items all of the time, then it is not benefiting you. Similarly, if you see a sharp rise in your expenses because you are eating out more, then it might not make sense to keep working. Protect Your First Job AndreyPopov / Getty Images You should be sure that your first job does not have any conflict of interest issues with your second job. This means that you should inform your manager that you are working a second job at a specific company. Usually, the conflict of interest comes up to protect company secrets and to make sure that you are not scheduling to work both jobs at the same time.
Working two jobs takes finesse and planning. Working full time and getting a second, part-time job can be exhausting. It may be a good short-term solution to a financial problem, but it is likely not the best long-term solution. Even if you are only taking on a holiday job to help afford holiday activities, it can be draining on you. It is not fun to finish one job and then head to the next. It can cut into your social life and wear you down physically. If you are taking on a second job, you need to plan carefully so that it is worth your time. You should have a long-term plan to solve the situation. You may even want to ask for a raise before committing to a second job. Find the Best Possible Second Job shironosov / Getty Images First, you should consider all available options when choosing what your second job will be. If you have the necessary skills, you should try to find something that will pay more than minimum wage. Working for tips in a job like a pizza delivery driver or as a waitress can increase the amount that you make an hour.
You do not want to work yourself to death. Make sure that you are getting enough sleep regularly. It is also important to have downtime to relax each day. It will help you to be able to continue working at your second job until you reach your goal. You need to take care of yourself physically, especially if you know you are going to be doing this for more than three months. Be sure that you are eating well and exercising regularly. If you do not balance your time effectively, you will have a difficult time lasting long enough to benefit from the second job. Apply the Extra Money to Achieving Your Goals JGI/Jamie Grill / Getty Images Apply all of the additional money you are making directly to the financial goal that you are working toward. It will help you to achieve the goal more quickly, and make the extra time you are spending worth the effort. Monitor your spending with on the second job carefully. Make sure that you are not spending extra money to work at this job. An example of increased expense is if you have to spend more money on clothing or transportation to the second job.
You should not have any problems, but it is better to protect your full-time job by taking this precaution. Additionally, do not let the second job encroach on the quality of your work performance of your first job. Since your first job provides you with benefits and usually a larger paycheck, it should always take precedence over your second job.
When money is tight, it may be tempting to pick up a second job to help make ends meet. But is the extra income worth the time you spend moonlighting? There are a number of issues to consider when deciding whether to take on a second job. Key Takeaways Tote up all of the expenses of working a second job to see if it's really worth it. Don't risk your day job. If the pressure is too much, quit moonlighting. Beware of the tax bracket creep. Childcare Costs If you have young children, you need to consider the cost of their care while you're working a second job. If your goal is to bring in an extra $1, 000 a month but you have to spend $350 on childcare, you are only adding $650 to your budget every month. In some cases, it may not be worth the time and expense. Transportation Costs Both the time and the cost of getting to and from your second job must be factored in. If you spend an hour commuting each way for a low-paying job, you will have to decide whether the total amount of time, including the commute, is worth the extra income.