58% of American Consumers Make Extra Money by Selling Used Clothes

In the latest edition of “The Paycheck-to-Paycheck Report: High-Income Consumers Lead Surprising New Data on Side Hustles,” PYMNTS Intelligence delved into the various methods U.S. consumers are using to earn extra income. The report highlighted that for many individuals, having a side hustle is not just a choice but a necessity. With 59% of U.S. consumers living paycheck to paycheck, including 42% of those earning over $100,000 per year, supplemental income can help alleviate financial stress and provide a buffer for unexpected expenses.

Interestingly, the motivation behind taking on side jobs varies among consumers. While some do it out of financial need, others do it for the ease of access to additional funds or simply for the enjoyment of the work. Surprisingly, the likelihood of having a side gig is more closely tied to age than financial circumstances. Generation Z consumers were found to be the most likely to engage in side hustles, regardless of their income level.

One of the most popular and accessible ways for consumers to earn extra cash is by selling used goods. The report revealed that 31% of all consumers surveyed had sold at least one used item in the past year, while over 40% had purchased a secondhand item during the same period. Gen Z emerged as the demographic most actively involved in both selling and buying used goods, with a significant percentage engaging in these transactions.

When it comes to the types of items being sold and bought, clothing emerged as the top category for both activities. A majority of respondents reported selling and buying clothing items in the past year. Other popular categories included furniture, home decor items, electronic items, and appliances. Interestingly, while some items like books, music, and hobby items saw a higher number of buyers than sellers, categories like collectibles, tools, gardening equipment, and baby and children’s items had more sellers than buyers.

The data also revealed some interesting trends in consumer behavior. For instance, while 23% of consumers reported selling collectibles, none reported purchasing them, suggesting a preference for new items in this category. Similarly, the resale market for tools, gardening equipment, and baby and children’s items showed a similar pattern, with more sellers than buyers.

Overall, the report sheds light on the evolving landscape of side hustles and the growing trend of buying and selling used goods. It highlights the diverse motivations behind engaging in these activities and the impact of age on the likelihood of having a side gig. As consumers continue to seek ways to supplement their income and make ends meet, the resale market is likely to remain a popular avenue for earning extra cash.