Need some advice from the wiser Rokslider's

[Bachto]

This is a job and career question. Here is my current predicament.

I am 30 years old and live in eastern WA (might be relevant).

I currently work a really good sales job for a small local company. I make really good money considering I don't have a college degree (last year I made $140,000 gross as I think it's relevant), I don't get retirement benefits but I do get health and dental. Our company is growing every year with visions to triple in size in 5 - 10 years. I am the longest employee (8 years) besides my direct manager (part owner). I am also the highest paid employee besides that by about double. My manager and other owner are the best people ever to work for and I do love my job and I am very good at it. There is for sure opportunity to manage a sales team and make even more money in the future.

Here's the flip side that I am wrestling with. Ever since I was a kid I have always been drawing, designing and building stuff. I am super good at it. I currently as a hobby sew duffles, chest packs and other outdoor gear (Some of you know this from the sewing thread). I have more and more of my friends and family say that I need to start looking at doing this more seriously as a business. doing this solo I really couldn't make the money I do now and most likely wouldn't until I was big enough to have an employee or two even that is a maybe. my wife makes good money but we 100% need my current income to pay the mortgage/bills.

The thought of doing the designing and making full time is exciting though would take me really focusing on it and not giving it my all for my current job which I have a hard time doing and isn't fair to my current employer who I respect very much.

What are your thought, wise ones of Rokslide?

 

[Pacific_Fork]

Why not do what you love on the side until you see a path where you can go full time and quit your day job? Got to start somewhere.

 

[Crusader]

I don't think I'm a wise one, just a careful and conservative one. If you like your current job and it pays well, WITH the likelihood of significantly more income in the future, I think you'd be crazy to quit it for a start up. Especially in the dicey economy we are in right now. I'd say just keep doing your packs and duffles and stuff as a fun "side job"/avocation and use the money from it for fun-hunting, family, whatever.

Good luck in whatever you decide to do.

 

[Ross]

Stay where you are and start a side business. Test the waters first. New startups are tough enough and often look good on paper, but not reality.

 

[Truck24hr]

If a wise ass can help, gimme a holler.

 

[IdahoElk]

Personally I would keep my great job in these unstable economic times and pursue your dream at nights and weekends until you have a better feel if it's a viable alternative to your current job.
Are you single? If you are I might try something else, If I was married with children no way would I quit my job.

 

[Dos Perros]

Start with it as a side hustle, grow and learn, and then at some point make that terrifying leap into the abyss.

I have a friend now that is doing something much like you and he's grossing something like $30k a month in sales as a side hustle and is still making improvements and production optimizations and employing a relative to help out. At some point he'll leave his full time engineering gig (good job) to do this full time, but not yet. It has taken him a year or two to get to where he is now, so you have time to chew it over.

 

[PoniBoy]

Given your current situation I tend to agree with others, and to first give it a go as a “side hustle” This will allow you to maintain your current job, and provided the income stability you and your family need. At the same time you can set specific and dedicated time to your sewing passion outside of normal work hours. Which will allow you to begin to develop a business plan, targeted markets, set financial goals etc. Ultimately the decision is yours and you’ll need to carefully consider your risk tolerance. Gradual and strategic approaches often lead to a more sustainable and fulfilling outcome. Best of luck!

 

[mtnbiker208]

Do you have a pair? are you willing to make a decision and stick with it? are you willing to sign a bunch of signature guarantees, which could mean losing you house? If you can not answer yes to all three, stay with your current employer.

I have been self employed for a couple of decades. I don't sleep, i am always stressed and I could not work for someone. I had an aunt who spent her life savings on a business and it failed, like most do. She ended up going back to her 6 figure job and had to work past most peoples retirement age. The money you are making is pretty good, stick with it.

 

[Maxhunter]

I would definitely recommend keeping your current job. My dad worked as a millwright for years and on the side did cabinets and remodeling jobs. Once us kids left home he retired from the millwright job and did his side job full time until he fully retired. He told me that he stayed at the millwright job because of the health benefits etc were cheaper. That’s my recommendation.

 

[HairyScandinavian]

What are your thought, wise ones of Rokslide?

You may already be doing so, but if not you need to be contributing to independent retirement accounts since your company doesn't have anything setup. My #1 regret looking back is not starting with at least small contributions when I was younger.

Any way to dedicate some time on the side to get things started as a business? Seems to me if you can grow it in your spare time to the point where it's taking over you'll have some realistic numbers to calculate income on and figure if you can ever take it full time.

 

[Skerhunter]

If you enjoy your current job and are happy, then don’t give it up (sounds like a good one)! I would only consider going self employed if I knew I could make it financially and still have the free time I do now.

 

[TheViking]

I agree with most everyone else - keep your job and try to start doing your sewing on the side more seriously. Yes, it will require sacrifices, but I think you will find out soon whether you want to do it for a living or not. There's also a lot of competition in that field, I think you will need to stand out to make it 'big time'. Just my opinion. Having steady income is (mostly) stress free living. And with your company growing, I am willing to bet you will keep on being pushed up in the company, which your pay will increase as well. Don't kick a gift horse in the mouth. I am in a similar situation (kind of) I like my company, I get paid a ton, I'm very good at it - I don't necessarily love it all the time, but I can't go do something else at this point in my life. I will retire here (hopefully). Money isn't everything, but it damn sure helps make life and retirement a hell of a lot easier.

 

[Bachto]

You may already be doing so, but if not you need to be contributing to independent retirement accounts since your company doesn't have anything setup. My #1 regret looking back is not starting with at least small contributions when I was younger.

Any way to dedicate some time on the side to get things started as a business? Seems to me if you can grow it in your spare time to the point where it's taking over you'll have some realistic numbers to calculate income on and figure if you can ever take it full time.

I started a roth IRA when i was 22 and contribute to it monthly. Looking to add some investment real estate to that later.

To comment on everyone else, that was what I am kind of doing now and was leaning towards (doing it on the side and seeing what happens). If I hated my job and/or didn't make the money I do now this decision would be way easier. The problem with doing it on the side is between my job, which is demanding at times, my stepsons crazy baseball schedule, and the 3 boards I sit on I don't have a ton of time. I know this is a bit of an excuse and I could make time more time.

 

[dr.mooseknuckles]

Listen to ScreamingPotato and if you're not doing it already, start yesterday.
If you're the highest paid employee outside of the partners, that's pretty good. That means they like your work and trust you.

You may be able to parlay that into some ownership of the business yourself, giving you more financial freedom to pursue your passion without financial repercussions.

Just a separate thought.

 

[fmyth]

I'd recommend you call a health insurance broker and get a quote to see what it will cost you to insure yourself and your family with coverage similar to what you have now. Then consider that if you were to become self employed you'll be paying 100% of the fica taxes on your earnings which is 15.3% or $21,420 on 140k vs the $8,680 you pay now. The difference is $12,740 plus your health/dental insurance. I'd keep the job and the side hustle.

My son is 35 and is a successful independent auto glass pro. Three weeks ago he was at the glass warehouse putting a case of glue into the bed of his truck when another customer of the warehouse backed into him and crushed him between the 2 trucks. He spent a week in the ICU and had a 5 hour surgery to screw him back together. He is currently in a wheelchair and won't likely return to work for at least 6 months. He is now screwed financially. Had he been an employee he would be getting workmans comp until he could return to work.

 

[fngTony]

Until you don’t need to work don’t quit your day job. Mathematically you could take your best margin on a given product and see how feasible it is for that to replace your income. Don’t forget about scale of business, you will be putting out a lot of cash for materials until it trickles back in.

 

[P Carter]

Maybe something like: keep at it for a preset time (3-5 years?); keep building the side hustle; save as much as you can for some seed money; in 3-5 years reevaluate whether to take that seed money and go out on your own. Ideally-ideally, you'd angle for, or at least keep an eye for the opportunity for, some equity in your current company, but that might be a pipe dream.

You never know what will happen--building some seed money would give you an option if, for example, the company gets bought out or if something else prompts you to leave.

 

[Bachto]

I'd recommend you call a health insurance broker and get a quote to see what it will cost you to insure yourself and your family with coverage similar to what you have now. Then consider that if you were to become self employed you'll be paying 100% of the fica taxes on your earnings which is 15.3% or $21,420 on 140k vs the $8,680 you pay now. The difference is $12,740 plus your health/dental insurance. I'd keep the job and the side hustle.

My son is 35 and is a successful independent auto glass pro. Three weeks ago he was at the glass warehouse putting a case of glue into the bed of his truck when another customer of the warehouse backed into him and crushed him between the 2 trucks. He spent a week in the ICU and had a 5 hour surgery to screw him back together. He is currently in a wheelchair and won't likely return to work for at least 6 months. He is now screwed financially. Had he been an employee he would be getting workmans comp until he could return to work.

I'm get insurance through work but I am insured through my wife's insurance as she get's better benefits.

 

[String&stick]

Echo what everyone else is saying, I currently have 3 kids, 2 side hustle, 7 rental properties and a full time job. . . There is more time than you think if you want to make things happen.

Keep your job and keep kicking ass at it. If I was you I would work the sewing job as a side hustle while building a nest egg to expand. Down the road I wouldn't look to quit my job at first, but look to go to 4-10s or just 4 days a week. If you're good at what you do and are making the company money there is a good chance that down the road as they grow they would rather have you 4 days a week than zero! Use that to keep growing the side business while still giving the job your attention.

I Won't quit my job until the side hustles are providing 1.4x my current salary. That's what it's going to take when factoring company match, time off, etc. and that's with having insurance through my wife!

Keep pushing, but make sure your day job gets 100% while you're there!