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You’re undoubtedly used to those bills coming in every month, such as your housing costs, food, and car insurance, but you may sometimes wonder if there’s a way to better manage them. Budgeting for your recurring living expenses can help you take control of your cash and spend and save smarter.

While there are various techniques you could use, a good starting point can be to first get a handle on your needs vs. wants and next determine which budget technique will work best for you.

What Are Living Expenses?

Basic living expenses, as the name implies, are ones necessary for daily living, with main categories including housing, food, clothing, transportation, healthcare, and relevant miscellaneous costs.

Although not everyone would define basic living expenses in the exact same way, here is a breakdown of expenses to consider.

Housing

For homeowners, this can include their mortgage payment, property tax, and insurance payments, along with monthly utilities and basic maintenance costs.

If living in a condo, this includes condominium fees. For renters, it can include the monthly rent payment, utilities, renters insurance, and any other housing-related costs they’re responsible for paying.

Food and Beverage

Basic expenses would include buying groceries for the family, but not restaurant food or other optional food or drink expenses. So while, yes, dinner at a sushi restaurant is technically food, dining out doesn’t count as a basic living expense. You could do without it.

Clothing

This includes clothes for work and school for the family, plus footwear, underwear, outerwear, casual clothing, pajamas, and so forth. Designer clothing and other pricier items are typically not categorized in basic living expenses. The same holds true for buying a cool sweater that’s on sale but you don’t truly need it.

Recommended: Ways to Save Money on Clothes

Healthcare

Expenses in this category can range from monthly payments for healthcare insurance, to copays and additional bills from doctors, dentists, specialists, and so forth. It also includes copays for prescription medications and over-the-counter meds.

Transportation

Transportation expenses can include car payments and insurance, gas, and maintenance. It can also include Uber and taxi expenses, public transportation tickets, parking fees, and so forth.

Other Expenses

Cleaning supplies for the home or apartment, personal care items, cell phone and internet bills, and similar items can also be included in a list of basic living expenses.

Minimum Debt Payments

Not to be overlooked are making sure you stay current on such things as student, car, and personal loan payments, as well as at least the minimum due on credit cards.

Average Living Expenses in the USA

The average living expenses can vary greatly depending on where you live and your household size. Here is a snapshot of a few locations across the country and how much monthly living expenses are, using data from the Economic Policy Institute.

Wants Versus Needs

The challenge, in many of these categories, can be to successfully determine which of these expenses are truly needed and which are extras that would be more appropriately categorized as “wants.” In and of itself, there’s nothing wrong with paying for “wants” that fit within the budget but, for the purposes of making a basic living expense budget, it’s important to tease them apart.

Paying a cell phone bill, for example, could be considered important for safety and to facilitate communicating with work and family. Getting the latest and greatest cell phone for its bells and whistles, meanwhile, is crossing over into a want, not a need.

In the 1970s, something called the Growth-Share Matrix was developed, and it may help people who are wondering how to categorize living expenses and then prioritize them. The process includes listing all expenses, and then putting wants in one column and needs in another. Each column can then be divided into high or low priority. So, when budgeting living expenses, there would be four categories:

•   High-priority needs

•   High-priority wants

•   Low-priority needs

•   Low-priority wants

Another way to name these categories is:

•   Must have

•   Should have

•   Could have

•   Won’t have

This makes it easier to see what must be paid and what is optional. When making a budget, it can make it easier to choose where to put any discretionary funds. In other words, these methods may be able to help people answer these questions: What are living expenses that must be paid? Which ones are more optional?

When making a budget, it’s important to also account for any credit card payments, personal loan payments, student loan payments, and other debts that must be paid. After documenting all these expenses, figuring out how to calculate living expenses is as easy as some quick math. Figuring out how to budget for these expenses is the next item on the agenda.

Allocating Your Income

Although no two financial situations or budgets are exactly the same, there’s been a long-standing rule of thumb when making a budget that says people shouldn’t spend more than 30% of their after-tax income on housing.

According to the U.S. Bureau of Labor Statistics’ most recent analysis of how people spend their income, the percentages stack up as follows:

•   Housing: 32.9%

•   Transportation: 17%

•   Food: 12.9%

•   Personal insurance/pensions: 12.4%

•   Healthcare: 8%

•   Apparel and services: 1.2%

This accounts for nearly 85% of what people, on average, have been spending. It shows that, on average, people are slightly above the recommended percentage for housing expenses.

3 Types of Living Expense Budgeting Methods

There are numerous ways to craft a budget; in fact, we’ve created a guide to cover the different types of budgeting methods. One of the keys to effective budgeting is picking a strategy that allows for consistency. Here are some approaches to consider:

1. Proportional Budget

For people who have divided up their expenses into needs and wants, proportional budgets may make sense. This is a budgetary strategy where monthly income is divided into three categories:

•   Needs

•   Wants

•   Savings

In one type of proportional budget, known as the 50/30/20 rule, 50% of income would go towards needs; 30% towards wants; and 20% towards savings and debt repayment beyond the minimum. It typically makes sense to do this calculation with after-tax income, which is take-home pay.

Advantages of a proportional budget include that it’s a simple formula, which may make it easier to stick to. Plus, it keeps a focus on the big picture, clearly distinguishing between needs and wants. It can also be a useful method for people who want to save money in a straightforward way.

However, this budget method may not work well for people who are still working on separating needs from wants. And if a person’s needs currently take up more than 50% of income earned, then the 50/30/20 percentage breakdown may work as a goal vs. something that can be fully implemented right away.

Recommended: 50/30/20 Calculator

2. Line-Item Budget

A line-item budget is a granular method where you track expenditures, line by line, in relevant categories. This can be helpful for people who want to keep their focus on spending money on basic living expenses because they can easily see how much of their money is going into what category.

This approach offers clear financial tracking and detailed insights into spending patterns, but lacks flexibility and can be time-consuming to manage.

3. Envelope Budget

The envelope system is another way to create a household budget, and it may be the most hands-on way to manage money. People using this method withdraw enough money from the bank each month to cover each budget category. Then, they put the appropriate amount for each category in a separate envelope: housing expenses in one, grocery expenses in another, and so on.

Once a particular envelope is empty, then no more money can be spent in that category for that month, unless cash is taken from another envelope, which reduces the amount that can be spent on that envelope’s category.

This method can work well for people who appreciate a tactile way of handling money. If you’d prefer not to work with cash, you can adapt the envelope method to a cashless system using digital tools like a budgeting app or spreadsheet.

Recommended: Money Management Guide

Budgeting Tips

Here’s some advice as you create and live on a budget:

•   When creating a budget, look for expenses that can be eliminated or at least reduced. For example, you might cut a streaming service or two or drop all that you subscribe to and find free entertainment through your public library’s resources.

•   It is also wise to incorporate savings into a budget. If you don’t already have a healthy emergency savings fund, you might first focus on that. “You’ll hear that a healthy emergency fund should cover between three and six months’ worth of living expenses — rent or mortgage, bills, food, and other essentials,” says Brian Walsh, CFP® and Head of Advice & Planning at SoFi. “Since you never know when an emergency might happen, it’s best to keep your fund relatively liquid.” Once that’s funded, you might then save for other personal goals, including retirement.

•   Consistency is key. When budgeting is a part of daily life, it can make it much easier to reach financial goals than when it’s a sporadic activity. If budgeting fades from focus for a month, don’t quit. Get right back on track.

•   Finally, when help is needed, ask for it, whether from trusted friends and/or relatives or a qualified financial advisor.

What If Your Income Doesn’t Cover Your Living Costs?

If your income doesn’t cover your living expenses, you have two options (or you could do a combination of both):

•   Reduce your expenses. You might take a roommate, move in with a family member for a while, start shopping at warehouse clubs, or decide not to eat out as often.

•   Increase your income. This might mean looking for a new job, training up for a different career, or starting a side hustle.

These methods can help you cover your living costs. Worth noting: If part of the issue is considerable debt that is negatively impacting your spending power, you might meet with a nonprofit credit counselor for advice on eliminating that drain on your funds.

The Takeaway

Understanding and managing your living expenses is a critical step toward achieving financial stability. By clearly identifying your needs vs. wants and choosing a budgeting method that fits your lifestyle, you can take better control of your money and make more informed financial decisions.

Whether you’re looking to trim costs or boost your earrings, smart budgeting can help you live within your means and work towards your financial goals. Your financial institution may offer tools to help you track your money and budget successfully.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

FAQ

What are considered living expenses?

Living expenses are the minimum expenditures needed to survive. They typically include housing and utilities, food, clothing, healthcare, insurance, and minimum debt payments.

What is the average living cost in the U.S.A.?

The average monthly expenses for American households total $6,440, according to the most recent Consumer Expenditure Survey from the U.S. Bureau of Labor Statistics (BLS).

What salary is needed to live comfortably in the U.S.A.?

The salary needed to live comfortably in the U.S. will depend on many factors, such as cost of living, location, and household size and configuration. In Bankrate’s 2025 Financial Freedom Survey, nearly half (45%) of all adults said they would need to make $100,000 or more a year to feel financially secure; roughly one-quarter (26%) said they need to make $150,000 or more; and a smaller group (16%) said they would require over $200,000.

About the author

Kelly Boyer Sagert

Kelly Boyer Sagert is a full-time freelance writer who specializes in SEO-optimized blog and website copy: both B2B and B2C for companies ranging from one-person shops to Fortune 500 companies. Read full bio.

SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. The SoFi® Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 11/12/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet

Eligible Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Eligible Direct Deposit”) via the Automated Clearing House (“ACH”) Network every 31 calendar days.

Although we do our best to recognize all Eligible Direct Deposits, a small number of employers, payroll providers, benefits providers, or government agencies do not designate payments as direct deposit. To ensure you're earning the APY for account holders with Eligible Direct Deposit, we encourage you to check your APY Details page the day after your Eligible Direct Deposit posts to your SoFi account. If your APY is not showing as the APY for account holders with Eligible Direct Deposit, contact us at 855-456-7634 with the details of your Eligible Direct Deposit. As long as SoFi Bank can validate those details, you will start earning the APY for account holders with Eligible Direct Deposit from the date you contact SoFi for the next 31 calendar days. You will also be eligible for the APY for account holders with Eligible Direct Deposit on future Eligible Direct Deposits, as long as SoFi Bank can validate them.

Deposits that are not from an employer, payroll, or benefits provider or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, Wise, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Eligible Direct Deposit activity. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. SoFi Bank shall, in its sole discretion, assess each account holder's Eligible Direct Deposit activity to determine the applicability of rates and may request additional documentation for verification of eligibility.

See additional details at https://www.sofi.com/legal/banking-rate-sheet.
*Awards or rankings from NerdWallet are not indicative of future success or results. This award and its ratings are independently determined and awarded by their respective publications.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at sofi.com/legal/banking-fees/.
Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Third Party Trademarks: Certified Financial Planner Board of Standards Center for Financial Planning, Inc. owns and licenses the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®

SOBNK-Q325-062

If you have a bank account, cashing a check is a simple process; you just deposit it and can then use the funds once it’s cleared.

However, about 4.5% of American households don’t have a bank account, according to a recent study from the Federal Deposit Insurance Corporation. They must therefore rely on alternative methods to cash a check. These workarounds can take a bit of time and energy, but can help you access cash if you are in this situation.

Here, you’ll learn about how you can cash a check if you don’t have a bank account or can’t use it for some reason. You’ll find out the pros and cons of each technique, as well as some important information about using checks and checking accounts.

7 Places Where You Can Cash a Check

There are several ways to cash a check if you don’t have a bank account. Some of these alternatives may come with fees or extra legwork. And some may have restrictions on the dollar amount they will cash. Here’s a closer look at the different ways you can cash a personal or business check without a bank account.

1. Cash the Check at the Issuing Bank

Look at the check to see which bank issued it and if there is a brick-and-mortar branch near you. Sometimes that bank will allow a non-customer to cash a personal check without a bank account if the payee comes in person. The teller can usually determine whether funds are available. The same often holds true for business checks.

•  Those that do provide this service often charge a flat fee (say, $8) or percentage of the check amount.

•  Some large banks will cash a check under a certain amount, $5,000 for example, without a fee.

•  Worth noting: If a bank does collect a fee, it may try to persuade the non-customer to open an account to avoid paying that charge.

2. Cash at a Retailer

Where else can you cash a check without a bank account? Several retailers such as Walmart and some grocery-store chains offer check-cashing services through their customer-service departments, usually for a flat fee based on the size of the check. For instance, at Walmart, there is a $4 fee for checks of up to $1,000 and a $8 fee for those over $1,000.

The amount charged and restrictions on the types of checks cashed will vary, however. For this reason, it’s important to check with each retailer in your area that offers this service to find one that works for your situation.

3. Payday Lending Store

Stand-alone check-cashing and payday-lending stores will cash many types of checks of varying amounts. However, the problem with payday loan check cashing services is that they are often the most expensive, charging a percentage of the check amount as well as a flat fee. For many people, this is best thought of as a last-chance option.


💡 Quick Tip: Fees can be a real drag when you’re trying to save money. SoFi’s high-yield checking account has no account fees, including overdraft coverage up to $50.

4. Prepaid Debit Cards

Some banks and financial institutions allow unbanked consumers to deposit checks directly to a prepaid debit card. Some big banks allow you to use their ATM system to deposit checks onto the card for a monthly service fee.

In other cases, using an app, you can use your smartphone to take pictures of your checks and deposit them into any type of account, including a prepaid card. This is often free, but you may have to wait up to 10 days before the funds from the check are available. In some cases, you can pay a relatively large fee, usually about 2% to 5% of the check value, for quicker access to the funds.

5. Employer-Sponsored Payroll Debit Card

Some large employers have programs that allow you to deposit your paycheck directly onto a reusable debit card. Be sure to look at the various types of fees associated with these cards. You may wind up paying overdraft, ATM, transfer, and inactivity fees in addition to general service fees.

6. Sign Your Check Over to Someone Else

Another option would be to sign a check over to a trusted friend or relative. This person could then deposit the check in their account and withdraw the funds, once available, and give them to you.

This is a simple process. Some verification is involved, and then you usually just need to write “Pay to the order of” and the name of the person on the back of the check and then sign it. However, it’s vital that this person can be relied upon to give you the cash once they deposit the check in their checking account and it clears.

7. Check Cashing Outlet

If you need to cash a check without a bank account, you could also visit a check cashing outlet. This can be expensive, though: Fees can be around 10% of the check’s value.

Here, consider the pros and cons of each in chart form:

What to Consider Before Cashing a Check

To help determine which check-cashing option is best for you, keep the following in mind.

Check Amount

In general, larger checks are harder and more expensive to cash without a bank account than smaller sums. Walmart, for instance, will usually only cash checks up to $5,000 or $7,500.

Check-cashing stores may have similar limits, or higher fees for larger checks. For large checks, depositing into a prepaid debit card may be the best option.

Fees

As we’ve seen above, almost every non-bank checking service entails fees when cashing your check. They can vary widely, with check-cashing and payday-lending stores usually being the most expensive.

It can pay to look for the least expensive alternative in your area, especially if you are able to access the bank that issued the check.

Identification Requirements

To show that the check rightfully belongs to you, you’ll need to show at least one form of government-issued identification, such as a license or passport. With large checks, you may be required to show two forms of ID.

Recommended: How to Write a Check to Yourself

Personal Checks

Personal checks can be more difficult to cash without a bank account than government-issued or payroll checks. Many check-cashing stores won’t accept any personal checks, and retailers may have lower limits on how much they’ll cash, usually a couple hundred dollars.

Here’s one workaround: Ask the person writing you the personal check to send a money order or cashier’s check instead.

Can You Cash a Check Without ID?

To cash a check without ID, you have a few options:

•  Check with the issuing bank and see if they will allow you to cash it without identification or with an alternative method of identification.

•  Sign the check over to someone else, have them cash it, and give you the funds.

•  If you have an account but no ID, deposit the check, wait for it to process, and then withdraw the funds.

•  Use ATM check cashing, if possible.

Recommended: How to Make Money From Home

How to Cash a Large Check Without a Bank Account

The methods for cashing a large check without a bank account are similar to methods for cashing any other check. You will likely want to be a bit more cautious and double-check the process in advance:

•  Sign the check over to a trusted friend or relative

•  Visit a check-cashing outlet.

Opening a Bank Account

Cashing a check without a bank account can often be costly and inconvenient. After exploring the options above, you may find that your best option for the long term involves opening a bank account. A bank account makes saving and spending easy, safe and flexible. Some points to consider when opening an account:

•  What do you need to open a checking account? You’ll usually need to make sure you qualify for an account, have an ID, and be willing to share basic personal information such as your birthdate, address, phone, social security number, etc. You’ll also need an initial deposit, which can often be as little as $25.

•  Keep in mind, most banks have a minimum age to open a bank account; they won’t allow those under 18 to have an account without a parent or guardian as the joint owner.

•  If you have a history of banking issues, such as unpaid overdraft fees, you may not qualify for a traditional checking account. Instead, you may want to consider what’s known as a second-chance account, offered by many lenders. These accounts often charge a monthly fee and come with more restrictions than a traditional checking account. That said, many allow solid customers the opportunity to convert to a regular checking account in six months to a year.

The Takeaway

It is possible to cash a check without a bank account. Options include signing the check over to a trusted friend to cash it and give you the funds, seeing if the issuing bank will cash it, using the check to buy prepaid debit cards, and other tactics.

That said, opening a bank account can be a simple process and can provide not just check cashing but the foundation for your daily financial life.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

FAQ

Can I cash a $5000 check without a bank account?

You will likely be able to cash a $5000 check at a retailer, such as Walmart, or at a check cashing outlet. Inquire about fees, though, before proceeding to be sure you are prepared.

How can I cash a large check immediately?

To cash a large check immediately, try your bank if you have one or the bank that issued the check. You might also be able to cash it by signing it over to a friend or relative who can give you the cash once it clears, buying prepaid debit cards with it, or going to a check cashing outlet.

What bank will cash a check without an account?

It’s often best to go to the bank that issued the check and see if they will cash it. They will be able to verify that the funds are available and may be willing to give you the money.

Photo credit: iStock/AndreyPopov

SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. The SoFi® Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 11/12/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet

Eligible Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Eligible Direct Deposit”) via the Automated Clearing House (“ACH”) Network every 31 calendar days.

Although we do our best to recognize all Eligible Direct Deposits, a small number of employers, payroll providers, benefits providers, or government agencies do not designate payments as direct deposit. To ensure you're earning the APY for account holders with Eligible Direct Deposit, we encourage you to check your APY Details page the day after your Eligible Direct Deposit posts to your SoFi account. If your APY is not showing as the APY for account holders with Eligible Direct Deposit, contact us at 855-456-7634 with the details of your Eligible Direct Deposit. As long as SoFi Bank can validate those details, you will start earning the APY for account holders with Eligible Direct Deposit from the date you contact SoFi for the next 31 calendar days. You will also be eligible for the APY for account holders with Eligible Direct Deposit on future Eligible Direct Deposits, as long as SoFi Bank can validate them.

Deposits that are not from an employer, payroll, or benefits provider or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, Wise, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Eligible Direct Deposit activity. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. SoFi Bank shall, in its sole discretion, assess each account holder's Eligible Direct Deposit activity to determine the applicability of rates and may request additional documentation for verification of eligibility.

See additional details at https://www.sofi.com/legal/banking-rate-sheet.
*Awards or rankings from NerdWallet are not indicative of future success or results. This award and its ratings are independently determined and awarded by their respective publications.

We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at sofi.com/legal/banking-fees/.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Third Party Trademarks: Certified Financial Planner Board of Standards Center for Financial Planning, Inc. owns and licenses the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®

SOBNK-Q325-044

If you’ve always dreamed about quitting the rat race and retiring early, you may want to take on a side hustle to help bring in extra money. While a side hustle is usually a part-time job, some side hustles have the potential to turn into a career or business that can provide a significant source of income.

Read on to learn more about early retirement side hustles, including some easy side hustle ideas that could help you secure your financial future.

Why Are Side Hustles Your Secret Weapon for Early Retirement?

The average retirement age in the U.S. is currently 62, according to a 2024 study from MassMutual.^[1] If you are hoping to retire early — in your 50s, say — a side hustle can serve as a tool to help generate extra income.

An early retirement side hustle, which is sometimes referred to as an early retirement job, doesn’t have to involve a lot of time and effort. Even a small side hustle that you do on weekends can give you some extra money you can use to build your retirement accounts. A profitable side hustle may even give you enough funds to set up an additional retirement account — for instance, you could open an IRA — which can add even more money to your retirement savings overall.

The F.I.R.E Movement

The concept of early retirement is so appealing that it has launched movements. For example, the F.I.R.E. movement has attracted a community of people who are looking to retire early. F.I.R.E. stands for “Financial Independence, Retire Early,” and many of its followers hope to retire in their 40s or even their 30s.

The basic idea of the movement is to save a significant amount of your income as a young adult so that you can become financially independent and achieve retirement early. To reach this goal, proponents of F.I.R.E. put 50% to 75% of their income into retirement savings. That can be challenging because after that money is directed to their retirement accounts and their bills are paid, there typically isn’t much left over for fun stuff, like going out to dinner or to the movies.

Individuals planning for early retirement, like those in the F.I.R.E. movement, may find a side hustle especially appealing. It could help them generate extra income for their retirement savings accounts.

19 Easy Side Hustles to Fund Early Retirement

Whether you’re a follower of F.I.R.E. or not, and no matter what your preferred age for early retirement, having a successful side hustle can help you get there faster. Here are some easy jobs for early retirement to consider.

1. Freelance Writing

One of the benefits of having a side hustle is the flexibility to be able to work on your own schedule. If you have a knack for writing, becoming a freelance writer might be a good side hustle for you. With most freelance writing gigs, you can work whenever you like as long as assignments are done by a certain date.

Look for brands or clients who specialize in industries or fields where you already have skills or experience. For instance, if you love to knit, check out opportunities to contribute articles to knitting websites or blogs. Be sure to have examples of your work to share with potential employers so they can see what you are capable of.

2. Online Tutoring

If you’re in college and already thinking about early retirement, good for you! It’s never too soon to start planning and saving for the future. You can even find a side hustle that plays to your current strength — teaching others what you’ve learned in school.

One of the best side hustles for college students is online tutoring. You could tutor other college students or even high school or middle school students. Tutoring can typically be done on evenings or weekends, so you can fit it around your classes.

3. Graphic Design

If you have graphic design skills, another potential side hustle is doing graphic design work for small businesses and individuals. Think about specific services you might be able to offer, such as marketing layout, logo creation, and adding design elements to blogs, videos, or online articles.

Create a portfolio of your design work or set up a website to showcase your work. Then, look for freelance side hustle opportunities on platforms like Upwork or Fiverr.

4. Web Development

In this digital age, web development is another side hustle that can be done remotely, from wherever you are. Many small businesses and individuals need simple websites created and/or maintained for them, and many people don’t know how to do it themselves.

If you work in web development and have the skills and knowledge to create online platforms, you could be just what these clients are looking for. You can show them samples of your work, such as other websites you’ve designed.

5. Virtual Assistant Services

Becoming a Virtual Assistant (VA) is a newer side hustle that has recently increased in popularity. In fact the demand for virtual assistants increased by 35% in 2024, according to market research.^[2]

A VA can help a small business by performing tasks like data entry, scheduling, bookkeeping, and customer support so that business owners can focus on their core business. According to one estimate, entrepreneurs gain up to 15 hours a week by using a virtual assistant to perform such tasks.

Some of the industries using virtual assistants are health care, real estate, and e-commerce businesses. You could start your search for a VA side hustle by concentrating on these fields and/or looking for opportunities on Upwork and FlexJobs.

6. Creating and Selling Online Courses

Another side hustle option you might consider if you’re an expert on a particular subject is creating and selling online courses. For example, maybe you’re a talented amateur pastry chef, a photographer, or you’re skilled at DIY home improvement projects. You could create courses showing other people how to achieve some of the things you’ve mastered, whether it’s decorating a cake, taking wedding photos, or remodeling a bathroom.

In fact, you may be able to combine two side hustles in one. If you’re good with plants and flowers, for instance, you might get a side hustle planting gardens for people on weekends, and then create videos to share your tips and tricks with an online audience. That way you’ve got even more money to save for early retirement, perhaps in an investment account.

7. Starting a Blog

A blog can be a way to share your passion or knowledge on a certain subject with others. While many blogs are passion projects where it might be difficult to make a lot of money, it all depends on your subject, how diligent you are with your blog, and how you choose to monetize it.

For example, you could host display ads on your blog (you can talk directly to companies to see if they’d like to advertise with you or use an online advertising platform), write sponsored content, or include affiliate links to products you mention so that you can earn commission whenever a reader clicks on the link and buys the product.

8. Starting a Podcast

If you want to share your knowledge on a topic, and you love to talk and interact with other people, starting a podcast may be a fitting side hustle for you. Podcasts are hugely popular: In the U.S., approximately 158 million people listen to podcasts every month.^[3]

Almost anyone can start a podcast. All you need to do is decide on a topic (pick a subject you love to talk about), identify what makes your podcast unique, and determine who your audience is. Next, figure out the format (interview, roundtable, or whatever), and then get ready to start recording. You may be able to produce the podcast using only your computer and some headphones. Finally, decide how you’ll distribute your podcast — via Spotify, YouTube, Apple Podcasts, and so on.

The amount you can earn by podcasting varies widely. In general, podcasters may earn $25 to $50 per 1,000 downloads.^[4]

9. Offering Coaching Services

If you’re an expert in business or in a specific area like fitness or human resources, you may want to explore the idea of launching an online coaching service. You can take the skills you’ve learned and teach them to others during online coaching sessions. You’ll need to determine who your clients might be and develop a coaching program. Then, you can figure out how much to charge for your services.

For instance, if you’ve worked in HR, you might offer your services as a career coach helping people land new jobs or move up the ladder in their current job. Try to pick a topic that will engage an audience and offer them valuable content that they’re willing to pay for.

10. Offering Consulting Services

Like a coaching service, starting a side gig in consulting is a side hustle that can be a good fit for someone with expertise in a given field. For example, maybe you’ve worked as a project manager in construction. You could offer your consulting services to people who are renovating their home and looking for guidance and someone to oversee the job.

Or maybe you’ve worked in the admissions office at a college. You might be able to provide consulting services to people applying to school to earn their degree. Think about what your skills are and what valuable services you can offer to others.

11. Driving for Ride-Sharing or Food Delivery Services

Ride-sharing and food delivery services like Uber, Lyft, Grubhub and DoorDash have become ubiquitous, and these companies are always looking for new drivers. Essentially, all you need is an eligible car, a valid driver’s license, at least a year’s worth of driving experience, and auto insurance.

In 2025, the average hourly pay for a rideshare driver is slightly more than $21, according to ZipRecruiter. Exactly what you can earn depends on where you live and what you earn in tips.^[5]

Just be sure to take into account the expenses involved, including gas, and wear and tear on your vehicle.

12. Affiliate or Influencer Marketing

Affiliate and influencer marketing is another popular side hustle today. The job involves promoting products or services on social media or a website and earning a commission or fee for driving sales or audience engagement.

If you have a large social media following or online audience, this may be an avenue to explore. Talk to brands you know and like and see if you might be able to work with them to help promote their products or offerings.

13. Pet Sitting or Dog Walking

Love pets? You could earn extra money by starting a side hustle as a pet sitter or dog walker. Basically, you need to be responsible and good with animals for a job like this. You’ll do such tasks as walk pets, clean up after them, feed them, give them medication if necessary, and possibly stay overnight with them if their owners are out of town.

To find clients, reach out to friends and neighbors who have pets, or join platforms like Wag or Rover to find freelance dog walking and pet sitting opportunities in your area.

14. Renting Out a Spare Room (e.g., Airbnb)

Whether you join Airbnb or rent out a spare room on your own, offering rental space to others can be a lucrative side hustle, especially when it comes to passive income ideas. This is a gig that allows you to earn money for early retirement without requiring a lot of work on your part.

Once you get set up and start renting out your space, your main responsibilities will be vetting prospective renters and maintaining the room or space.

15. Selling Crafts or Handmade Goods Online (e.g., Etsy)

Another platform that you can use to start a good side hustle is Etsy or another similar platform. You can sell almost anything on Etsy, from homemade crafts to jewelry to wedding invitations. The platform does charge fees including processing and transaction fees, but using it can be a good way to reach an audience interested in buying what you’re selling. Over 96 million people are active buyers on Etsy.^[6]

16. Testing Websites and Apps

Websites and apps need people to test them to make sure they work properly and provide a good experience. For individuals looking to earn extra income for early retirement, this could be an interesting and flexible side hustle.

The job typically involves evaluating the functionality, usability, and design of digital products before they’re launched. Many companies pay users to perform specific tasks and provide feedback, and report bugs or user-experience issues. This side hustle often requires only basic tech skills.^[7]

17. Participating in Online Surveys

There are a number of websites and platforms such as Swagbucks, Opinion Outpost, and MySurvey, that will pay you to fill out online surveys. The surveys can be on just about any topic, and they may be tailored to you based on your interest and demographics. While most surveys don’t pay very much — sometimes just a few dollars per survey and some surveys only offer points that you can eventually redeem for cash — they do offer flexibility since you can do them anytime.^[8]

18. Offering Neighborhood Tours

A unique side hustle if you live in an area that tourists like to visit is to become a neighborhood tour guide. For example, if you live in a historic area, a place with a unique heritage, or a locale with interesting geographic landmarks, you may be able to offer your services by giving neighborhood tours to those who are interested.

Be sure to bring your expertise into the equation as well. If you are a foodie or an architecture enthusiast, you could share your passion with others by introducing them to remarkable spots in your area and giving them insider information about each one. Whatever your interest or specialty is, you’ll need to develop a tour itinerary and market it to potential customers.

19. Lawn Mowing or Landscaping Services

Mowing lawns and landscaping yards is one of the original side hustles — it’s one that many of us did as kids. And it can be a lucrative side hustle for adults to earn some easy extra money for early retirement. The average price of mowing a half-acre yard is $50 to $75.^[9]

All you need to get started is a lawnmower, a trimmer, and a blower. You can find clients by talking to neighbors, reaching out to friends and family, and going door to door in different neighborhoods near you.

Factors to Consider When Choosing the Right Side Hustle or Career

While there are many potential side hustles to choose from, choosing the right one for you depends largely upon your skills and interests. While it may be possible to succeed in any particular side hustle with enough hard work and determination, picking a side hustle where you already have some experience may set you up for a higher likelihood of success. And the more you like the work you’re doing, the greater the chance you’ll stick with it.

In addition, weigh the potential money you could make with the side hustle against the effort and possible expenses required. If you’ll be putting in hours for a side hustle that doesn’t net you all that much, it probably isn’t worth it. And if you have to buy a lot of extra equipment upfront for a gig that may or may not be successful, you may want to think twice.

How to Integrate Side Hustles Into Your Early Retirement Plan

When you are working at achieving financial freedom, a side hustle can play an important role in helping you reach your goal. Having a job on the side can provide extra money so that you can put more dollars into your retirement accounts or open a new account so that you can reach your retirement goal faster, and potentially with more money.

Plus, if a side hustle becomes very successful, it may be able to help supplement or even replace your income if you quit your “real” job. It might even be something you want to keep doing after you’ve finished saving for retirement because you enjoy it so much.

The Takeaway

When you’re hoping to retire early, a side hustle can help you earn extra money to make that dream a reality. Having the income from a side hustle, along with your salary from your regular full-time job can help you amass more savings so you can retire at a younger age.

With the money you earn from a side hustle, you can contribute more to your retirement accounts or open a new account to help save. The more you can save and invest now, the better your chances of achieving financial security for retirement.

Ready to invest for your retirement? It’s easy to get started when you open a traditional or Roth IRA with SoFi. SoFi doesn’t charge commissions, but other fees apply (full fee disclosure here).

FAQ

Do I need to find a high-paying side hustle to quit my main career early?

Deciding when you can quit your main career depends on a number of different factors, including your age, your family situation, your financial obligations, and how much you have saved for retirement. If your personal and financial circumstances are right, a side hustle that pays well may help give you enough of a financial cushion to retire early.

How much extra money can a side hustle realistically contribute to my retirement savings?

The amount that a side hustle can contribute to your retirement savings can vary drastically, depending on what the side hustle is and how much time and effort you put into it. But consider this: Money that you earn from a side hustle now and put into a retirement savings account can potentially grow over time, thanks to the power of compounding returns. The sooner you start saving for retirement, the better.

What are some flexible jobs that I can continue even after I retire?

Flexible jobs you can start now and continue in retirement include pet sitting, freelance writing and graphic design, and online coaching and consulting. Each of these jobs offers flexible hours and convenience so that you can work when it suits you best.

What is the best side hustle?

What’s the best side hustle for you depends on your skills, interests, and life situation. The best side hustles are ones you enjoy and that make good use of the skills you have. The best side hustles also pay you enough to make them worth your while and offer flexibility so you can do them when you choose.

What is the easiest side hustle to get into?

Some side hustles are particularly easy to get into. Examples include pet sitting and dog walking, working as a virtual assistant, and renting out a room. With each of these side hustles, you can find money-making opportunities through online platforms so that you don’t have to go out and drum up business yourself. Plus they don’t require special equipment.

Photo credit: iStock/mixetto