Here is my December 2022 journal report on my path to financial freedom. This is part of an on again, off again financial journal about how I am moving towards financial freedom in less than 10 years. The plan is to make far more regular updates to this in order to keep ourselves accountable.
Side Hustle(s) Update
- Continued side hustle #1
- Re-started 2nd side hustle
- Re-did 2nd side hustle site configuring it with some SEO best practices.
- Contracted for work on 2nd side hustle (3rd side hustle or my wife and I).
- Bought course to bring myself back up to speed for 2nd side hustle. (Which I loved the course BTW).
Side Hustle #1 Financials
- Gross Revenue = $4957.12 (This is a bit higher since we had receivables from November that hit in December).
- Expenses = $2258.99
- Net Revenue = $2698.13
Health Business Side Hustle Financials
- Gross Revenue = $1255.95
- Expenses = $455.17
- Net Revenue = $800.78
Real Estate Hustle Update
- Up to 4 total rental properties in all, 2nd two purchased in September 2021.
- Finalizing eviction on 1 property for non-payment.
- Continued working with another tenant who has applied for rental assistance
- Switched property management for one real estate business
Real Estate Business #1 Financials
- Gross Revenue – $747.00
- Expenses = $1212.89
- Net Revenue = -$465.89
Real Estate Business #2 Financials
- Gross Revenue = $2914.72
- Expenses = $1168.64
- Net Revenue = $1746.08
Total Financial Freedom Number for December 2022 = $4779.01
We were positive cash flow overall for all side hustles combined (Phew!)
We were indeed in the positive, although our rental properties and their cash flow continue to be extremely variable. 50% of our properties in December had $0 income from them, so that had made it difficult to pull any of the profits from them to help us fund our next rental property.
We do anticipate the one eviction to finalize in January. This means that the renter should move out and we can begin what is known as the “make-ready” process for that one turnkey rental property. That could eat of a fairly large chunk of our positive cash flow and put us into the negative for January. So be it though. Whatever it takes to get that real estate sub-business back into positive cash flow.
The concept of having business reserves for our rental has been the determining factor to us staying afloat with the in 2022, as we’ve had a lot of maintenance expenses this last year, with the largest individual repair being roughly $5000. At this point, we’ve been slightly cash flow negative for all of 2022 for the rental properties, our first year of being in the negative for them.
For our side hustles, I had a lot of expenses to kick start side hustle #2 for me, but the plan is for it to be a source of very passive income for us, once it get’s going in the future. I don’t expect to have any positive cashflow from it until September / October 2023, but I’m fine with that. We are pretty busy with lots of irons in the fire, so another source of very passive income is welcome.
Goals for next month:
- Start make-ready process for one rental property
- Stabilize income from another rental property
- Administrative work catch up for business entities
- Generate first bit of revenue on my 2nd side hustle (Our 3rd overall)
What do you think? How about your own side hustles and quest for financial freedom?