When Should You Quit Your Day Job?

Right now!... Just kidding.

Many business gurus will tell you that you need to drop everything and start your own business. Jump into the ocean of entrepreneurship and start swimming. This is nice but it won’t work for most people.

What should you do?

I always tell people they need two kinds of jobs

1] A job where you are making money.

2] A job where you are not making money.

Why would anyone want to work at a job where they are not making money?

A job where you are not making money is something that you are working on at home on your free time. Robert Kawasaki says that the reason many entrepreneurs become successful is because they know what to do with their free time. When you know how to use your free time you will learn that you can really build up a nice business.

The only way you can build up a business in your free time is when you are doing something you really enjoy doing. It’s taking your hobbies and likes and turning them into a business.

The reason why you should keep your day job is because you always need a cash flow of money into your bank account. This is critical. With out that cash flow you will not be able to work on your own projects. The cash flow gives you the money, time and leverage that will allow you to build up your own business. It will give you the piece of mind while you are working.

Deciding when it's time to quit is a very personal decision for each person when he or she feels ready. A strategy that will help you reach the decision is that once your income from your home based business is earning more then your regular day job for over a period of three months – then this a good sign that its time for you to quit your day job. If not, then stick with your day job in the mean time.

What is the most important aspect here?

You and your family come first. You need to do whats good for your family and not just for yourself. Keeping your day job will allow you - as we said - that critical need of cash flow into your bank account. Dont make quik decisions that will destroy your home.

[If you are single it's a different story....]