To say that side hustles are a big deal right now would be an understatement. Over 40% of us now embark on these part-time positions during evenings and weekends. As well as giving us a chance to pursue passion projects, efforts like these can also go a long way towards boosting our annual incomes.

While the internet is rife with the benefits of side hustles, though, debt clearance rarely gets a look in. We think this is a crying shame considering that, as well as helping dreams come true, side hustles can come to the rescue where debts are concerned.

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Let’s face it; attempting to pay mounting credit card bills from your main account can be tough. So much so that you might miss payments altogether, leading to snowballing issues that you have no way to tackle.

By comparison, side hustle money is a bonus payment in a way. Few of us rely on this extra income for bills, making it the ideal payment playground for debt repayments management at last. All you need to do to make it happen is keep the following crucial pointers in mind.

Find out the lowest-capital side hustles

If you have to spend money to get your side hustle off the ground, then it probably isn’t the best option for debt clearance. Luckily, there are now plenty of choices here that require next to no capital. By making the most of them, you make ROI far more likely and bring debt clearance within reach in the process. As such, your first step should be to learn what those low-capital choices are, and which would best suit you.

The good news is that there are a few options to choose from. Blogging, for instance, costs next to nothing, while selling old stuff online can literally see you earning from nothing. All you’ll need to do to guarantee these options work is to find out how to make money with a blog, or how to set up a selling page online. Then, you can start clearing your debts in no time.

Refocus your debt repayment plan

A debt repayment plan is always a 101 for tackling your debt. Typically, though, we try (and often fail) to squeeze plans like these around limited primary incomes. The first step to clearing debt with your side hustle is, therefore, to refocus your debt management plan around the money you make. 

Admittedly, this may be hard when your side hustle income is unstable and uncertain, but you should be able to gain a pretty decent idea of its worth within a few months. Then, you can start deciding how much you can afford to pay back each month, how long repayment will take you at that rate, etc. Plans like these can, of course, change a great deal over time, but laying this groundwork is fundamental for keeping your side hustle on the right track. Being able to set an end date on your debt, for instance, will inspire you to keep going. Equally, knowing how much you need to pay back each month may allow you to tailor side hustle hours so that you aren’t working all evening long!

Set up an automatic side hustle savings account

As you can probably guess, putting side hustle income into your main account is asking for trouble. It’s certainly no way to guarantee debt clearance. Instead, the money you make here will end up contributing to bills, shopping, and other things that you don’t necessarily need it for half as much. 

To make sure that doesn’t happen, it pays to set up a separate savings account in which you can place your sole side hustle income. As well as (hopefully) making your finances a little easier to manage, this simple step will guarantee that you never spend money without meaning to or fall behind with your newly planned debt undertaking. You won’t even have to think about debt clearance to make it happen. Instead, you’ll be able to clear your debts at last, all without feeling as though you have any less money as a result!

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A final financial word

Debt clearance isn’t easy no matter how you embark, but side hustles are certainly a savvy way to clear things up without necessarily having to tighten your belt. Even better, that extra side income could soon make your life a whole lot more financially comfortable once you’ve beaten debt at last. It isn’t often you can say that about a repayment method!