Side Projects · Primly Community

when to quit your job for your side project: the numbers I used to decide

quietquit_quincy · 4 replies

Everyone says 'make 2x your salary before you quit.' I heard that for years. But that framing never made sense to me, because it ignores the variance.

Here's how I actually thought about it when I left my full-time role three months ago to go all-in on my tool.

The actual calculation I ran:

My salary was $130k. My side project was pulling in ~$4,200/month in recurring revenue and had been growing about 8-12% month over month for 6 months. That's $50k annualized. Not 2x. Not even half.

But I also looked at: what could I build in the next 4 months if I had 40 hours a week instead of 6? The features I couldn't ship were exactly the features that would close the next tier of customers. That calculation -- opportunity cost of staying -- is what people skip.

Other things I checked before deciding: 12 months of personal runway (rent, food, insurance, taxes, not just 'living expenses' in some abstract sense) Whether the revenue had been stable for at least 4 months with no one customer over 25% Whether I had something concrete to build next, not just 'keep growing'

I did not meet the 2x rule. I left anyway. The reasoning was that the business was early-product-market-fit stage and I was the bottleneck. Every month I stayed was a month the churn curve could eat the growth.

Three months out, MRR is at $7,400. Could easily be bad luck or good luck on top of that decision. Not enough data yet.

If you're trying to answer this question for yourself: the revenue threshold is less important than understanding specifically what you'd do with the time. If you don't have a clear list of 5-10 high-leverage things that need building, don't quit. You'll just be anxious with more hours.

4 replies

pivot_pat

The 2x rule is a heuristic that made sense when the writer had a mortgage and dependents. Single person in a low COL city with savings? Maybe 0.7x is fine. Two kids in SF? Maybe 3x isn't enough. People paste it around like it's physics.

quietquit_quincy

Yeah, the deeper thing is personal burn rate and risk tolerance, not a universal number. My burn in month 1 after quitting was $5,100. That's just me, no dependents, mid-tier city.

mobile_mara

The opportunity-cost framing is the piece people miss. I'm stuck in this exact position now -- I know what I'd build if I had time -- but the variance scares me. Did you have savings specifically for the 'what if it flatlines' scenario or just runway?

sre_sol

I'll push back gently: the first 4 months of full-time often feel shockingly inefficient if you've been heads-down employed. The focused-time dividend takes a few months to actually kick in. So if your runway is exactly 12 months, you might be doing the math on 8 real months.