Elevate Your Side Hustle!

I have an aversion to essays and presentations that start with, “Merriam-Webster’s dictionary describes [insert word here] as …” However, since I’ve ventured into this territory, I might as well conclude: “… work carried out for income that supplements one’s main employment.” There it is: I’ve officially diminished my self-worth, yet at least we have a mutual comprehension of what “side hustle” entails.

In the past, I used to perceive side hustles merely as a fashionable way to state, “I have a second job.” Yet, a side hustle transcends being just an additional job; it frequently represents a cherished hobby, passion, or interest someone aims to monetize—and why shouldn’t they? In our modern economy, if someone offers to pay me for photographs of my little toe, I’m off to find the best nail polish at the dollar store!

The Backstory of Side Hustles

Operating a business with employees can be quite costly. According to estimates from GGFL, a tax planning and accounting firm based in Ottawa, an employee earning $1.00 needs to produce approximately $3.15 in revenue for their employer to profit $1.00.

For those who enjoy numbers, that translates into an extra $1.15 in overhead costs, 40 to 60 percent of which is tied up in non-wage employee-related expenses (including payroll taxes, paid leave, training costs, and health taxes).

From the worker’s perspective, the cost of living (including my grocery bills) has reached new heights, with a staggering 8.1 percent increase in essential goods and services in June 2022, which was already expensive.

The surge in popularity is understandable: “gig economy” roles hinge on contractual work where an individual is not regarded as an employee but rather as an independent contractor (thus skirting the expenses previously listed). This has led to the phenomenal growth of side hustles.

Is It Worth It?

Depending on the survey, nearly half of the workforce (in both the U.S. and Canada) engages in a side hustle, contributing approximately 11 to 16 hours each week to these endeavors. The most common monthly earnings for side hustlers typically range from $200 to $625, though this spectrum can be significantly broader.

When viewed solely as a calculation of time-for-pay, these figures can be disappointing, particularly since this work is usually done in the off-hours from their primary jobs.

However, if viewed through the lens of “monetizing my hobby,” evidence highlights positive impacts on mental health, supporting the idea that doing what you love might mean you never have to work a day in your life.

That said, pressing juice can also yield a fair bit of pulp: risks like burnout, less time for other beloved activities, and strain on relationships with family and friends (due to time limitations) loom large.

Research underscores a strong correlation between working hours and increased cases of mental health issues like anxiety and depression. We also recognize that mental and physical health are intricately linked, so approach this path with caution, particularly if you find yourself needing to convince yourself that your side hustle is enjoyable.

Should I Pursue This?

Two essential questions to reflect on prior to diving into or continuing your side hustle journey are:

1. Can I manage this alongside my current job?
2. Am I being considerate to my current employer?

You’ll be on the lookout for extra time to devote to your hustle, and let’s face it—earning time-and-a-half while you’re on the clock can be quite tempting. A word of caution: your employer probably won’t appreciate your side hustle becoming a self-funded venture. Exercise caution, or you might find it transitioning into your only hustle. Time cannot be multiplied; consider this before taking the plunge.