You’re thinking of starting a car-based side hustle, which is good. You can work whenever you want and make good money, but there are a few things you need to be aware of that you might not have considered. The following are some things you should keep in mind.
Consider the Law
If you’re going to do this, you need to check up on certain laws. You’re going to be spending more time in your car, which means the chances of making mistakes are higher. One mistake people sometimes make when driving is texting.
Many states issue fines for texting while driving, and some will revoke your license for repeat offenses. You may need your phone a little more than usual, which could tempt you to text and drive. Use rest stops, park whenever possible, and do what you need to do to stay legal at all times.
Think of Insurance
The next thing you have to worry about is insurance. An auto insurance company requires that you update them if you’re going to be doing something like this. This is needed because you’re taking additional risks they haven’t factored into the policy.
You might need to get additional coverage for ridesharing or delivery services. Keep in mind that while working, your car is a business car. When you’re not working, your car becomes a personal car. It’s a tricky thing, but it’s something you have to address with the help of your car insurance company. Be sure to call a few places to see who’ll give you the best rates.
Maintenance Is a Big Deal
Your vehicle will deal with more wear and tear than average, which means regular maintenance should be a priority. You’re going to be driving people around, or you’re going to be delivering packages in your care. Ensuring your car can meet these new demands is vital.
On top of that, the more you drive your vehicle, the more issues it could have. You’re going to have to invest a little more money in maintenance and repairs. The sooner you catch problems, the better because it means you can keep working in no time. If you have significant issues, you might not be able to work. That means you’ll be losing money, so make sure maintenance is a priority.
Track Your Mileage
You also need to consider the miles you drive and how much gas you use. This is important since you’ll need this information when you file your taxes. You’ve got a part-time business car, which means information like miles driven becomes essential, especially if you do this more than part-time.
People can make good money with this side hustle, and the more you make, the more Uncle Sam will want to take. Keeping track of your mileage also helps you to see if you need to rethink your routes.
Since you’re going to be driving a little more than usual, it might be time to get better at it. You are probably a good driver, but everyone could continually improve a little more. The good thing is you could take classes, like defensive driving classes, to get a little better. You’ll learn defensive maneuvers that could help you avoid an accident.
Hopefully, you don’t have to worry about that, but it’s good to have the skills. You’ll also learn how to zero in on dangerous drivers and avoid them. Certain insurance companies offer discounts if you take some of these defensive driving classes, so find out if you qualify.
There you have it. Now, you’ve got several things to think about now that you’re going to be driving to make some extra money. Be sure to take all of these things into account because it’ll help you get everything right.