How To Make Money Working For Yourself: A Step-by-Step Guide

Last Updated on October 9, 2023 by John Cirelly

If you’re looking to completely quit your job or start a freelance side hustle, you’ll need to know how to make money working for yourself.

I’ve been job-free for many years now as I work for myself on projects and with clients I enjoy. Below, I’ll share with you the exact steps you’ll need to be successful, what industries are best for the self-employed, and how to avoid common mistakes along the way.

What Skills You’ll Need To Work For Yourself

If you want to be your own boss you’re going to need a few hard and soft skills if you plan on never having another boss again. These skills can be learned along the way, and reinforced through habit.

1. Self Discipline

Self-discipline is the cornerstone of success when working for yourself. Developing this skill means cultivating a strong work ethic, creating a structured daily routine, and mastering the art of time management. Self-disciplined individuals are more likely to resist distractions, stay focused on their tasks, and consistently meet deadlines, all of which are vital for entrepreneurial success.

Tip: Create a physical list of a few tasks you’ll get done each day. The day prior, I list three things I will get done no matter what. I don’t set a time, but I make sure they have to be done before I get to do anything else.

2. Accountability

Being accountable to yourself is crucial when you’re your own boss. Accountability means having the courage to admit mistakes, learn from them, and make necessary adjustments. Accountability also involves setting realistic expectations, tracking your progress, and seeking feedback from mentors or peers to ensure you stay on the right path toward financial independence.

Tip: I assume everything in my business both good and bad, is my responsibility. The faster you can own up to problems, the faster you’ll be able to fix and learn from them.

3. Willingness To Learn

A willingness to learn is a vital skill for anyone working for themselves because the business landscape is constantly evolving. This involves seeking out relevant courses, workshops, and resources to expand your skill set and staying up-to-date with industry trends. Successful self-employed individuals understand that learning is an ongoing process, and they embrace it as a means to stay competitive and innovative in their chosen field.

Tip: Doing something you enjoy makes learning much easier. You don’t have to be in love with what you do, but you should find it interesting and sometimes challenging in a fun way.

How To Make Money Working For Yourself

If you’re starting out it can feel overwhelming, especially if you have no idea where to start. Below are the ten steps I used to make money working for myself and quit my job in about one year.

1. Identify your skills and interests.

Begin by taking stock of your skills, hobbies, and passions. Consider what you excel at and what genuinely excites you. This self-assessment will help you determine which path to pursue as you embark on making money working for yourself.

Consider what you do professionally already. Would you want to do this as a business? If not, can you leverage any of your current skills somewhere else? If you’re struggling to identify your skills and interests, I highly recommend finding your “Ikigai, or purpose for being.

2. Choose a path and stick to it.

Once you’ve identified a business idea that aligns with your skills and interests, commit to it wholeheartedly for at least three months. I slowed my progress initially by bouncing around from idea to idea. Success often comes from perseverance and dedication, so stay focused on your chosen path even when faced with challenges.

Freelancing is by far the fastest way to make money working for yourself, but it’s not the only way. As you freelance, you can spend your spare time building assets that work for you. For instance, a blog or YouTube channel will make money for you, even when you’re not working. These systems take time, but are well worth it.

A few ways to make money working for yourself include:

• Pilot Car Driving – Get paid to escort oversized loads across the country.
• Freelance Writing – Get paid to write blogs or advertisements.
• Video Editing – Businesses and YouTubers are constantly looking for video editors.
• Web Design – Design custom websites for businesses.
• Programming – Programmers and app developers are almost always in demand.

3. Build and learn while working for someone else.

If possible, gain relevant experience and knowledge by working in a related job or industry before venturing on your own. This will allow you to learn valuable skills, build a network, and save money for future self-employment endeavors. Bonus points if your current 9-5 is related to your self-employment venture.

4. Grow your network.

Networking is essential when working for yourself. Attend industry events, join professional organizations, and connect with colleagues, mentors, and potential clients or customers. Building a strong network can open doors to opportunities and valuable collaborations.

I find LinkedIn is a great way to start to mingle with other people slowly you look up to, as well as find potential clients for your business if applicable.

5. Do excellent work and collect testimonials.

Delivering exceptional results will earn you the trust and satisfaction of clients and employers, which can lead to valuable testimonials that boost your credibility. Early on, it’s essential to over-deliver since you’re starting from zero. This will increase the likelihood of you getting referred out, and make it much easier to make money working for yourself.

6. Use testimonials in your marketing.

Incorporate the glowing testimonials you’ve received into your marketing materials, such as your website or promotional materials. This is called social proof, and it’s one the strongest ways to attract new customers. Positive feedback from satisfied clients or employers can significantly influence potential customers and clients.

7. Document your processes.

Create clear and organized documentation of your business processes and workflows. This will not only improve efficiency but also make it easier to delegate tasks or scale your business in the future. Even if you’re just keeping rough notes, it’s better than nothing and will save you a ton of time in the future.

8. Establish good financial tracking habits early.

If you’re doing to make money working for yourself, you’ll need to learn how to track it. Set up a reliable accounting system or use financial management tools to ensure you have a clear picture of your finances. This practice will help you make informed decisions and stay financially stable.

Tip: I personally love Wave for my accounting. It’s super simple and completely free. If you find Wave limiting, consider Harvest.

9. Save your earnings and reinvest.

As you start making money, resist the temptation to spend it all. Prioritize saving a portion of your earnings for emergencies and future investments in your business. Reinvesting in your business, whether through further education, equipment, or expansion, can accelerate your growth and financial success over time.

If you’re working for yourself to quit your job, consider saving at least six months of living expenses before ditching your boss.

10. Don’t quit.

Truth is, it might take a years to see the the progress you want when working for yourself. Building great things takes time and unwavering focus. Stick with your business and challenge yourself to overcome obstacles as you inevitably face them. It may take months or even years, but you’ll still be way ahead of someone stuck working the same dead-end job.