The hustle is back in style, and it seems like everyone is getting in on the action. According to a recent survey by Bankrate, more than one in three U.S. adults have a side hustle. This trend is only growing, with side hustlers making an average of $891 per month in 2024, up from $810 in 2023.
Men are more likely to have a side hustle than women, and younger workers are more likely to participate than older generations. Gen Zers are leading the pack, with nearly half of 18- to 27-year-olds reporting that they have a side hustle. This surge in side hustling can be attributed to the high cost of living and inflation rates that show no signs of slowing down.
Despite the financial strain many Americans are facing, not all side hustlers are using their extra income to cover essential expenses. In fact, a significant portion of side hustle earnings are being spent on discretionary items like shopping and entertainment. Only a small percentage of side hustlers are using their earnings to save or pay down debt.
This spending trend is concerning, as it indicates that many side hustlers may be stuck in a cycle of needing extra income to support their lifestyle. While side hustling can provide a temporary solution to financial challenges, it may not be a sustainable long-term strategy.
Financial experts recommend that young workers focus on saving and investing their extra income from side hustles. By starting early and consistently saving a portion of their earnings, individuals can build a solid financial foundation for the future. Investing early can lead to significant returns over time, providing a comfortable lifestyle in the years to come.
Ultimately, the decision to side hustle or not comes down to personal financial goals and priorities. While side hustling can provide extra income and financial flexibility, it’s important to consider the long-term implications of how that money is being used. By prioritizing saving and investing, individuals can set themselves up for financial success and security in the future.
