Core Insights - The article emphasizes the importance of effectively managing side hustle income to maximize its potential for growth rather than merely saving it in a traditional savings account [1][2]. Investment Strategies - Side hustle income should be divided into four categories to simplify financial management [3]. - Opening a tax-advantaged account, such as a 401(k) or IRA, is recommended once an emergency fund is established [3]. - For those focused on growth, a regular brokerage account is suggested for its flexibility compared to retirement accounts [4]. Investment Allocation - A beginner-friendly investment strategy could involve allocating 80% to 90% in a global or total stock market index fund and 10% to 20% in bonds or cash equivalents for stability [5]. Reinvestment and Debt Management - Reinvesting in the side hustle is advised, with a focus on balancing growth and wealth accumulation outside the business [6]. - It is recommended to set aside 20% to 30% of side hustle income for taxes, 10% for an emergency fund, and 20% to 30% for paying off high-interest debt before investing the remainder [7].