03 Jan Underpaid & Overworked – Life as a Hospitality Employee
Today’s Author:
Fred Dole – Lead Blogger for the Biz Wizards
The Biz Wizards – We help Hospitality employees make money online!
If you’re reading this article you’re probably like me. You work in the hospitality industry and love everything about the industry. Well almost everything, we work a crazy amount of hours which I don’t mind, as I love working with and pleasing our guests. What I do mind, is working a crazy amount of hours and then struggling to pay my bills at the end of every month.
Find the Best Books for Side Hustlers
According to the US Bureau of Labor Statistics the hospitality industry employs over 16 Million people in the US and only 2.2% are in unions, this means that our hourly wage (or salary wage) is fully dependent upon our employer. You have no representation to help get higher wages. Moreover, when you compare hospitality wages to all other industries: Wages Ranked by Industry, hospitality wages rank near the bottom at 942 out of 1034 industries. Meaning our wages are at the bottom 8% of all US industries! (Note: Low wages does not necessarily mean literal “low” wages – with inflation, even many management positions are not paid enough to survive, especially, if you have children).
The Paycheck-to-Paycheck Nightmare
Blog: How a Side Hustle Lets you Get Ahead of Your Bills
So, the statistics, (and your own reality every payday) bears out that you just don’t make a lot of money. But, besides the financial stress this brings, there are other realities that our low wages bring.
Low wages means that you are living paycheck to paycheck. You stretch your paycheck as far as it will go just to ensure all of your bills are paid each month. However, with your full paycheck being used to pay bills every month, that means you have zero household savings. Additionally, if you have kids, it also means no savings for college. So, adding to your financial stress are unexpected bills. You hope and pray that you don’t have an unexpected bill because you don’t have any emergency savings either.
Unexpected Bills and Credit Card Debt
Blog: 8 Real Life Reasons to Start a Side Hustle
Remember, having no emergency fund means to pay an unexpected bill, you generally turn to your credit cards. Sadly, this just adds to the mountain of debt you’ve already accumulated just in trying to get by each month, as you use your credit cards to cover any gaps your paycheck doesn’t cover.
Meanwhile, the unexpected bill is paid, but you just added more to the already crushing amount of debt you’ve already accumulated. Sadly, by just paying the monthly minimums, you’ll have the debt paid off, maybe, by age 100, if ever.
Not Saving for Retirement
Blog: How to Save for Retirement even if You Live Paycheck to Paycheck
Speaking of age 100, living paycheck to paycheck means you aren’t saving for retirement. Retirement is a reality and being able to save enough for a comfortable retirement seems like a pipe dream. Only 31% of hospitality employees even have access to a retirement benefit plan. Unfortunately, only half of those employees (or 15%) actually participate in a retirement plan.
It comes down to a choice: do I pay my rent, or do I contribute to a retirement plan? Let’s talk reality! You can use your paycheck to have a roof over your head now or save money that you can’t touch. Roof now and never be able to retire. It’s an ugly choice, but a choice that’s made every payday by the 4.9 million people that actually have access to a retirement plan; but can’t put any money into it.
There is Hope!
Blog: How to Start Your Side Hustle and Keep Your Full Time Job
OK– so, we love working in our industry, but does it mean that we can never be secure financially?
No, absolutely NO! There is hope! Keep reading so that I may share the hope with you (instead of only sharing the doom and gloom of your current situation). Leave your money woes behind! The answer is to make more money, but more specifically, to make more Passive Money with a Side Hustle. Read on for insights and answers to make more money.
The Illusion of Trading Time for Money
Blog: Are You Caught in the Trading Time for Money Trap?
Active income is the income you make from your job. You do a task for your employer and they pay you an hourly wage or salary. It’s called “trading time for money.” It’s the fallacy that we have all grown up being taught. You think, “I’ll work harder, advance my career, and get paid more per hour.” Great, but your paycheck will always be restricted by the number of hours you can humanly work in a week.
Time is finite, so when you trade time for money, you cap your income. Whether you’re paid $15 or $150 per hour, your income is limited by the number of hours you can put in. Working 2 or 3 jobs doesn’t help, because you will very quickly exhaust yourself, get sick, and not be able to work any of the jobs!
Side Hustles & Passive Income
The answer to making more money is to make Passive Income. Passive income is money derived from any enterprise in which a person doesn’t need to be actively involved when the money is earned.
In other words, you set up your online side hustle and you can then earn money even while you sleep!
The Conclusion – You Can Have Financial Freedom
Once you can get past the Trading Time for Money myth, you can open your mind to starting your side hustle. Don’t let me kid you, starting your side hustle takes time (your off hours) and commitment. The best news? It DOESN’T require a ton of money! You can start most side hustles for under $100!
If you just want to get some extra money coming in to help with any of the issues we talked about above. Or, if you want to take your side hustle to the next level, eventually quit your job and live on your side hustle earnings, there is paid training available for that option, too!
The bottom line is that it’s your life, and you do have options. Will you continue to work endless hours and continue to struggle to pay your bills? Or, will you take a leap of faith, bet on yourself, start your side hustle, leave your money woes and financial stress behind, and finally find financial freedom?
Ready to Start Your Side Hustle? We Can Help!
Start your side hustle today with tips from this FREE ebook: https://newebook.thebizwizards.com/ebook
More Books to Start Your Side Hustle at Amazon
Subscribe and Follow
Subscribe now to our site so you never miss any of our tips, reviews and blogs and don’t forget to use the buttons on the left to follow us on social media!
★☆★ The Biz Wizards on Social Media ★☆★
★ Blog: https://www.thebizwizards.com
★ FB Profile: https://www.facebook.com/thebizwizards
★ Instagram: https://www.Instagram.com/thebiz_wizards/
★ Twitter https://Twitter.com/biz_wizards
★ YouTube: https://www.youtube.com/channel/UClGT6o0PZb71snoKrds5-FA
★ Join our FB group: https://firefreedomfacebookgroup.thebizwizards.com/request-group
No Comments on Underpaid & Overworked – Life as a Hospitality Employee