Tired of waiting for a raise? There are faster ways to fatten your pockets. One idea: get a side scramble.
Nearly 4 in 10 Americans (37%) have a side job, according to a new Bankrate survey. Amanda Austin is one of them.
The 35-year-old works full-time as a digital marketing manager in Erie, Pennsylvania. But in her spare time, she sells wooden dollhouse kits and miniatures online. Her grandmother sparked her interest in collecting doll-sized objects at a young age.
When she launched her website in November, Austin was just looking for an easy way to make some extra cash.
“I was just curious to see how well it could work,” says Austin. “It was a low-investment type of business.”
For now, she earns around $500 a month. But she hopes to earn a lot more, especially during the holidays.
Raking the dough
Secondary scammers earn an average of $686 per month. In one year, it is possible to earn more than $8,200. Those who work a second job at least once a month earn an average of $836 per month.
Most survey respondents (59%) say they consider the money they earn from their side job to be disposable income. And 38% say they use their extra funds to cover ordinary living expenses.
A side hustle can give you the chance to earn some extra money. But you’ll need to make sure you use it responsibly. Automating your savings — having money taken out of each paycheck and put into a savings account — is a good idea. And if you have a few part-time jobs, you may need to take the initiative to enroll in a pension plan, for example, because your employer may not offer you this benefit.
“People who live and breathe the gig economy sometimes have to take more ownership of their personal finances than other employees,” says Alan Moore, CFP professional and co-founder of XY Planning Network.
Of course, money isn’t the only thing that drives people to get a second job. There are other reasons why someone might want a side hustle, says Diane Mulcahy, author of “The Gig Economy” and senior lecturer at Babson College.
“They might want to explore whether an idea or a service or a product they have is a viable business,” she says. “Or they may want to explore an area of interest or learn another skill or expand their network.”
Who works the most?
Not everyone with side hustle is consistent.
Only 11% of survey participants said they worked on the sidelines every week. Republicans are 8 percentage points more likely than Democrats to have a side job. Part-time workers are also more likely to take on tasks related to their second job on a weekly basis.
Millennials are more likely than members of other generations to say they have a side job. In fact, a person’s chances of making money from a second job decrease with age.
“When I talk to millennials, I think two things really stand out. One is that they’re very aware that there’s no job security, so they’re the least likely generation to settle down. in a full-time job and assuming everything will be fine,” Mulcahy says. “The other reason is clearly economic. of them are looking for ways to build a financial cushion or reduce debt more quickly.
Other studies indicate that younger Americans are also interested in side gigs. In a Deloitte report that surveyed participants around the world, 62% of Gen Z workers said they would consider joining the gig economy to supplement a full-time job. Fifteen percent already work full time and have a side job.
These are the most important jobs
The gig economy is growing rapidly and changing the way we work. More and more Americans are choosing freelance and part-time work over the traditional 9-to-5 job.
“The future of work that I’ve always believed in is that you don’t have to be stuck in one place. You can work from anywhere in the world and most services are also delivered digitally,” says Archie Ravishankar, CEO and Founder of Cogni, a mobile banking platform that aims to provide workers in the economy with demand features that traditional banks do not offer. “So it creates a new economy where people use creative talent to generate cash flow and also pursue much more creatively independent careers.”
These days, secondary scammers have a variety of jobs to choose from. Besides traditional side gigs like mowing the lawn and substitute teaching, you can drive for Uber or Lyft.
Among survey respondents who earn extra money on the side, the most popular job is home repairs and landscaping. Compared to women, men are more likely to report doing this type of work.
Women are more likely to say they have side jobs related to babysitting or babysitting, crafts, or selling online.
Men earn more from side jobs
When it comes to jostling, men seem to work more often than women. Fourteen percent of men say they do extra work every week. Only 9% of women would say the same.
This may be one of the reasons why men make nearly three times as much money from their side gigs. In an average month, they earn $989. Women, on the other hand, earn only $361 per month on average.
While you have the power to set your own rates, men and women need to make sure they get paid what they deserve. Mulcahy says to do your homework to see how much other people earn.
“Look at who else is there, what experience and expertise they bring to the table, and what rates they charge for different types of work,” she says. “So basically you’re just doing competitive research or market research 101.”
This survey was conducted for Bankrate via landline and mobile by SSRS on its Omnibus survey platform. The interviews were conducted from June 6 to 10, 2018 with a sample of 1,006 respondents. The margin of error for all respondents is +/- 3.68% at the 95% confidence level. SSRS Omnibus is a bilingual, national, weekly, dual-frame telephone survey. All SSRS Omnibus data is weighted to represent the target population.