A side hustle is supplementary work that generates extra income on top of what you get from your main job. Whether you need a small boost to pay your bills or want to become financially free, side hustles are starting to play a key role in the creation of wealth all around the world.
If you look at search trends, interest for side hustles started to gain a lot of traction in 2019. Today, they are more popular than ever. In fact, around 40% of Gen Z now have one. This won’t come as a surprise to you living on a single salary. Prices everywhere are skyrocketing while wages struggle to keep up. Unless you beat the odds and land a promotion or keep moving companies for better pay, most people end up getting poorer with every passing year.
So then, are side hustles worth it? Well, that depends who you are, what you want in life, and the type of work you’re prepared to take on. Side hustles are a great way to earn extra cash without committing to a second full-time job. But often there is a time investment that can put more stress in your life than you’re willing to take on. Let’s go through some of the pros and cons of side hustles to help you decide the right path forward.
Why side hustles are worth it
The first thing people want to know is how much can a side hustle make, which is like asking ‘how long is a piece of string?’ If you want to make money quick, there are many popular side hustle ideas that can make you £200-400 a month doing phsyical jobs such as gardening, babysitting, and phone repairs. If you already have a professional skill and put yourself out there, it’s an easy way to make extra money without much change in your life.
Side hustles allow you to eventually transition into self employment and earn more per hour than being on a salary. This gives you more control over your own destiny and presents more opportunity to make a lot. Just be prepared to take on other responsibilities that come with starting a business.
Some side hustles produce passive income. When you can make your money work for you with minimal time investment to maintain, it’s a dream come true and can substantially improve quality of life. Don’t expect these types of income to yield mountains of disposable cash but it’s feasible to make investments on stocks, property, and websites that bring in up to 20k a year.
You can turn your interests and hobbies into a side hustle, which adds to the excitement and provides drive to cope with the additional work after your 9 to 5. Start thinking about how you can monetise what you do for fun, have knowledge about, or want to learn. For example, you may learn about history and turn key events into skits on YouTube or develop skills in music production and create a course to sell the basics.
If you get fired from your job you still have other sources of income to pay bills. and find new work.
What is the negative of side hustle?
Side hustles can be exhausting when you already have a full-time job. Most require at least 1-2 hours each evening to be successful. The less time you invest, the more likely it will fail so there is a possibility that you add too much stress to your life.
You have to make sacrifices, which often involve the things you like doing. Relationships with others and personal hobbies have to take a backseat and bring down your mood. You need to build resilience and overcome any laziness or procrastination. There is simply no time to waste when you are juggling multiple sources of income.
Be prepared to spend a lot of time in discomfort. Side hustles can be taxing on your wellbeing. When problems arise you are responsible for finding the solution or risk losing that source of income. Issues tend to appear out of nowhere and may take several hours and money to make it go away so it’s not all smooth sailing.
You are competing against other people so failure to be competitive and learn business acumen to get the advantage will lead to a lot of time (and potentially money) down the drain.
Not all things last forever. The extra money you make from a side hustle may improve your lifestyle in the short-term but these sources of income can disappear just as quick. So you need to be mindful that you don’t live above your means and get into debt with big mortgages and leases that may become unaffordable.