Secondary gig income becomes more critical: 41% need it for living expenses, up from 31% in 2019
Forty-one percent of American adults who have a side job in 2022 need extra income to pay for daily living expenses, up from 31% in 2019 (the last survey year), according to a new Bankrate survey. .com. Fewer and fewer are investing this money in savings (17% vs. 24% in 2019) and using it for discretionary spending (26% vs. 36% in 2019).
“Unfortunately, due to high inflation and other financial burdens, more and more scammers are working side-by-side just to make ends meet. Instead of using this income to increase savings, eliminate debt or pay for a vacation, there has been a surge in the number of people who simply need those funds to pay for their day-to-day expenses,” says Ted Rossman, senior industry analyst for Bankrate.
|Why people are scrambling in 2022|
|Need income for living expenses||31%||41%?|
|Income available for expenses||36%||26%?|
|Income to boost your savings||24%||17%?|
|Pay off the debt||(not surveyed in 2019)||12%|
Inflation plays a role: 37% of secondary hustlers spend extra time at these gigs due to inflation. 48% work about as much and 16% say they work less.
Men earn almost triple the average income from their secondary activities and are less likely to need their income for living expenses:
|The division between the sexes: secondary jostling|
|Avg. Revenue||Use income to increase savings||Need income for living expenses|
Among all American adults, 31% have secondary agitation in 2022 compared to 19% in 2017, 37% in 2018 and 38% in 2019. The average income for a side gig in 2022 is $996/month, the median is $400.
|Generational trends: who earns and how much?|
|% working in parallel||Median income||Need income for living expenses|
|Generation Z (18-25 years old)||34%||$200||32%|
|Millennials (26-41 years old)||38%||$400||46%|
|Young millennials (26-32 years old)||43%||$400||39%|
|Older Millennials (33-41)||34%||$250||53%|
|Generation X (42-57 years old)||33%||$400||40%|
|Baby boomers (58-76 years old)||21%||$500||40%|
“I have to wonder if high gas prices and other inflationary pressures are making people wonder if their side efforts are worth it,” Rossman added. “Driving people and making deliveries has become very expensive, with gasoline approaching $5 a gallon nationwide.
Probably the most lucrative side businesses right now are those that can be done from home. Even then, inflation could be an issue if you need to source materials for crafting or other pursuits.
This study was conducted for Bankrate by SSRS on its Opinion Panel Omnibus platform. The SSRS Opinion Panel Omnibus is a national, probability-based, bimonthly survey. Data collection was conducted May 20-23, 2022 with a sample of 1,000 respondents. The survey was conducted via the Internet (n=970) and telephone (n=30) and administered in English. The margin of error for all respondents is +/- 3.5 percentage points at the 95% confidence level. All SSRS Opinion Panel Omnibus data is weighted to represent the target population of US adults aged 18 or older.