The Rise of Side Hustles Among Young Americans: Trends and Aspirations, (from page 20240421.)
External link
Keywords
- side hustle
- entrepreneurship
- job security
- Gen Z
- millennials
Themes
- side hustle
- entrepreneurship
- financial decisions
- job security
- generational trends
Other
- Category: science
- Type: blog post
Summary
A recent Bankrate survey reveals that a significant portion of young adult Americans, particularly Gen Z (53%) and millennials (50%), are engaging in side hustles to supplement their income. Many express a desire to transition these side hustles into full-time careers, with 22% of Gen Z and 25% of millennials aiming to make their side gig their primary source of income. In contrast, only 26% of Gen Xers and baby boomers share this ambition. This trend of entrepreneurship among younger generations is attributed to economic instability, a lack of job security, and increased access to platforms for self-employment. Millennials earn the highest average income from side hustles ($1,021.83/month), while Gen Z averages $753.48. The report highlights the growing appeal of entrepreneurship among young adults, driven by technological advancements and changing workplace dynamics.
Signals
name |
description |
change |
10-year |
driving-force |
relevancy |
Rise of Side Hustles |
Increased numbers of young adults engaging in side hustles for extra income. |
Shift from traditional jobs to gig and freelance work for financial stability. |
A significant portion of the workforce may rely primarily on side hustles as main income sources. |
Economic instability and lack of job security are prompting young adults to seek alternative income streams. |
5 |
Entrepreneurial Aspirations Among Youth |
Many young adults aspire to turn side hustles into full-time careers. |
Transition from side hustles as supplemental income to primary sources of income. |
Increased number of young entrepreneurs shaping the future job market and economy. |
Desire for autonomy and control over career paths amid corporate instability. |
4 |
Technological Influence on Employment |
Younger generations have a better understanding of technology, aiding side hustles. |
From traditional employment to tech-savvy, self-employed opportunities. |
A tech-driven entrepreneurial landscape with diverse business models. |
The ubiquity of social media and digital tools facilitates self-employment. |
4 |
Increased Job Insecurity Among Millennials |
Millennials express heightened concerns about job security compared to older generations. |
Greater emphasis on self-employment as a response to corporate job instability. |
A workforce that prioritizes freelance and gig work over traditional employment. |
Diminished trust in long-term corporate employment and benefits. |
5 |
Shift in Business Goals for Gen Zers |
Gen Zers show interest in starting businesses in retail and technology. |
From aspiration for stable jobs to entrepreneurial endeavors in creative industries. |
A landscape dominated by businesses initiated by young innovators in diverse sectors. |
Desire for creative expression and financial independence among young people. |
4 |
Concerns
name |
description |
relevancy |
Economic Instability and Job Security |
Young adults are increasingly anxious about corporate job security, leading to reliance on side hustles for income stability. |
5 |
Rise of Gig Economy |
The increasing prevalence of side hustles reflects a shift towards gig economy employment, which may lack benefits and job security. |
4 |
Entrepreneurial Risks |
The desire to turn side hustles into full-time businesses can lead to financial instability if not approached carefully. |
4 |
Over-Reliance on Social Media |
Younger generations may depend too heavily on social media for business opportunities, leading to vulnerabilities in changing digital landscapes. |
3 |
Mental Health Strain |
The pressure to succeed in side hustles and entrepreneurship can contribute to mental health challenges among young adults. |
4 |
Changing Work Environment |
As corporate commitment to employees decreases, younger generations may face uncertainty in traditional employment pathways. |
5 |
Content Creation Saturation |
The aspiration to become content creators may lead to an oversaturated market, making it harder for individuals to achieve success. |
3 |
Behaviors
name |
description |
relevancy |
Transitioning Side Hustles to Full-Time Careers |
Many young adults aim to convert their side hustles into primary income sources, reflecting a shift toward entrepreneurship. |
5 |
Increased Entrepreneurship Among Youth |
Economic instability drives younger generations to pursue self-employment, highlighting a growing trend in entrepreneurship. |
4 |
Job Security Concerns Driving Side Hustles |
Younger generations exhibit heightened job security worries, motivating them to create alternative income streams through side hustles. |
5 |
Utilization of Social Media for Business Opportunities |
Younger individuals leverage social media and technology to find and manage side hustles more effectively. |
4 |
Holistic Planning for Side Hustle Success |
Prospective entrepreneurs are encouraged to plan intentionally before transitioning side hustles into full-time careers. |
3 |
Preference for Self-Employment in Retail and Technology |
Gen Zers and millennials show a strong interest in starting businesses in retail and technology sectors. |
4 |
Content Creation as a Career Goal |
A significant portion of Gen Z aspires to become content creators or influencers, highlighting a shift in career aspirations. |
4 |
Rising Side Hustle Popularity |
The number of young adults engaging in side hustles is increasing, with notable year-over-year growth. |
5 |
Technologies
description |
relevancy |
src |
Online platforms that facilitate freelance and gig work opportunities for individuals seeking side hustles. |
5 |
d5d4d4929fcf951e8f90d91ed40751e5 |
Technologies that enable users to create, edit, and share content, crucial for aspiring influencers and content creators. |
4 |
d5d4d4929fcf951e8f90d91ed40751e5 |
Using social media channels to promote products or services, essential for entrepreneurs aiming to grow their side businesses. |
5 |
d5d4d4929fcf951e8f90d91ed40751e5 |
Technologies that allow individuals to sell products online, supporting the rise of retail businesses among younger generations. |
5 |
d5d4d4929fcf951e8f90d91ed40751e5 |
Platforms that provide educational resources for skills development, aiding young entrepreneurs in mastering their crafts. |
4 |
d5d4d4929fcf951e8f90d91ed40751e5 |
Issues
name |
description |
relevancy |
Rise of Side Hustles |
An increasing number of young Americans are pursuing side hustles as a primary source of income, reflecting economic instability and changing job security perceptions. |
5 |
Youth Entrepreneurship |
Younger generations, especially Gen Z and millennials, show a growing interest in entrepreneurship, driven by a desire for financial independence and control of their future. |
4 |
Job Security Concerns |
Younger workers express heightened anxiety about job security, leading them to seek alternative income sources through side hustles. |
4 |
Impact of Social Media on Employment |
The rise of social media provides unique opportunities for younger individuals to monetize their skills and creativity, influencing career choices. |
4 |
Changing Nature of Work |
The shift from traditional employment to gig and freelance work signifies a broader transformation in how work is perceived and pursued by younger generations. |
5 |
Content Creation as a Career |
The increasing aspiration among Gen Z to become influencers and content creators highlights a shift in career aspirations towards creative industries. |
4 |
Financial Planning for Self-Employment |
The importance of strategic financial planning before transitioning from side hustles to full-time self-employment is becoming crucial for success. |
3 |