BEST SITES HUSTLERS 2023
High inflation and stagnant wage growth are contributing to cost-of-living pressures, with more Australians than ever launching a side hustle to make extra money. Here’s a few ideas to get you started.
Forty per cent of Australians were experiencing some form of financial hardship at the end of 2022, which is the highest level since before the Covid-19 pandemic began, according to a survey by NAB.
It is therefore unsurprising that the number of people holding more than one job is at a record high in Australia, with 925,000 people reporting a side hustle. Almost 7% of all workers have multiple jobs, according to the Australian Bureau of Statistics (ABS).
At the same time, the tight jobs market appears to be cooling, with vacancies falling by more than 11% from September to December.
Those most likely to have a second or even third job are employees in comparatively low paid sectors that include education and training, healthcare and administrative support, according to the ABS.
Related: Best Passive Income Investments
What Is a Side Hustle?
“A side hustle is a way of generating income that someone pursues in addition to their full-time employment or main source of income,” says Michael Nuciforo, CEO at financial management platform, Thriday.
“Most side hustles are undertaken on a part-time basis which is usually after hours or on weekends.”
Side hustles can include freelance work, selling goods or services online, tutoring, dog walking or sub-leasing a room.
They are different from taking on a second job in that the person with a side hustle is usually self-employed
Many people launched side hustles during the pandemic when existing sources of income dried up and they had extra time on their hands during lockdowns.
Side hustles can include freelance work, selling goods or services online, tutoring, dog walking or sub-leasing a room.
While the goal is typically to make some extra money, side hustles can turn into a full-time business opportunity. For many, they are an enjoyable way of creating a new professional network and pursuing latent talents.
How To Find The Perfect Side Hustle For You
A side hustle typically requires initiative to turn a profit, so finding the right side hustle will be key to success. For most people, a side hustle takes up their only spare time outside of work or eats into time with family and friends—so ideally, it ought to be an activity that appeals.
Think about your strengths and look for ways to leverage them. If you love cooking, for example, consider selling your home-made creations.
8 Best Side Hustle Ideas
- Freelancing/consulting outside your day job. It takes less than an hour to join freelancing sites like Upwork and Fiverr and create a profile for prospective business leads. You can work at times you wish and set your own rates based on the brief provided by the person outsourcing the work. With each recommendation you acquire from a satisfied customer, your ability to tap new business grows.
- Pet minding. If you love animals, pet minding can be a fun way to make some extra cash. Pet owners who go on holidays may request one or two visits a day of around 30 minutes each to feed and care for their pets. Dog walking has the added benefit of getting some exercise and fresh air at the same time as you are earning money and contributing to a pet’s wellbeing. Alternatively, you can take in dogs or cats in your own home when their owners travel. Some dog-sitters charge $100 a night for this service. Popular sites include Mad Paws and Pawshake.
- Offering up your spare space. With the national housing shortage getting worse and international students returning after a hiatus caused by the pandemic, many people are in need of a spare room, which is where sites such as Airbnb come in handy. Or, if you have a spare garage, you could rent the space for someone to park their car or store their belongings. Try listing on Spacer, Parkable AU, or Parkhound. Parkhound claims you can make up to $450 per month for an indoor or lock-up garage.
- Sell your art online. The emergence of digital platforms make it easier than ever to sell original artwork in a way that minimises any risk of fraud or non-payment. Bluethumb connects more than 20,000 Australian artists to buyers—it is the largest of its kind in Australia. Other popular buy-and-sell platforms for a range of goods include Shopify, Etsy and eBay.
- Teach English Online: Obtaining a Teaching English as a Foreign Language (TEFL) Certificate will provide you with an internationally recognised entry-level credential for teaching English as a Foreign Language (EFL) in schools and communities. Not all online teaching companies require a degree or TEFL certificate, however the largest and most reputable ones do. In order to maximise your chances of finding work, it may be a worthwhile upfront investment of time. It is then possible to travel and teach in-person around the world, should you wish to do so.
- Become a virtual assistant. The rise of the gig economy has led to an increased demand for virtual assistants, as they can carry out office administrative tasks in an economical way, rather than taking on a full-time or part-time admin assistant. Depending on your past experience, some training may be needed. If you have bookkeeping skills, you may find your services even more in demand and your hourly rate can be higher.
- Join a ride sharing app or deliver food: If you have your own car, you can join a ride sharing service like Uber or DiDi Rider or Shebah (for female drivers and passengers only). Some people join multiple platforms to ensure they are as busy as possible while working a shift at a time that suits them. There are also a number of food delivery services, such as Milk Run, Door Dash and Uber Eats. Transport options include bicycles as well as motorbikes and cars.
- Take marketing surveys: Brands and government departments regularly carry out market research to determine whether a product or service will be popular before rolling it out to the general public. They generally use marketing survey companies to handle the research—you can find these companies online and sign up with them for email alerts. To be eligible for a survey, you will need to meet certain criteria, such as your age or consuming a certain type of product.
What Are the Most Profitable Side Hustles?
The most profitable side hustles are likely to be those that leverage a person’s skills and passion. Enthusiasm will go a long way in turning a profit, says Nuciforo.
“The best place to start is by thinking about what you excel in. If you were a great football player in your youth, could you train young kids after hours? If you love cooking food on the weekend, perhaps a food truck is a good fit.”
Once you have narrowed down the list, consider the potential demand for such products and services in your area, and if there is a gap in the market.
How Much Money Can You Make From A Side Hustle?
It is not out of the question to earn an extra $20,000 to $30,000 in additional income per year, says Nuciforo.
More flexible work practices and digital and automated tools (such as email marketing) have helped spur the growth of the gig economy.
It is not out of the question to earn an extra $20,000 to $30,000 in additional income per year
The Pros and Cons of a Side Hustle
The biggest downside to having a side hustle is the time it will involve— and in the beginning, the financial payback may be negligible. Be aware of burnout and try to make sure you are still carving out time to spend with friends and family.
The two biggest advantages are the personal satisfaction that a side hustle can bring and the extra income it produces. It may help you achieve your financial goals, such as saving for a house deposit or overseas holiday.
How are Side Hustles Taxed?
Be aware that having a second job or a side hustle can significantly increase your income, which may impact the tax bracket that applies.
“If you are working and operating a side hustle or multiple businesses simultaneously, it’s important to understand the tax implications of having different income streams,” says Nuciforo.
Many people mistakenly assume that having multiple income streams creates different tax implications, rather than the total amount of income earned.
“Regardless of how many jobs, businesses, or side hustles you have, the taxes you owe are calculated based on your total income and any applicable deductions, which are reported on your annual tax return,” explains Nuciforo.
Each income source is usually tracked separately on your BAS or tax return, but it does not increase your overall tax liability. The tax rate for a second job is the same as for your primary job, but additional tax may be due if your combined income from both jobs pushes you into a higher tax bracket.
Seek advice from an accountant and visit the ATO website for information about starting your own business. Always declare the extra income, or risk being pursued by the tax department.
“Generally, when you provide your labour, skills or goods for a fee, you need to report this income in your tax return,” states the ATO. “This applies regardless of whether you’re using a digital platform or more traditional means, such as word of mouth.”
Frequently Asked Questions (FAQs)
Is a side hustle a passive income?
What are side hustles you can do from home?
Will a side hustle make me an extra $1000 a month?
What are the most profitable side hustles?
- Is The Australian Property Market Going To Crash?
- How Inflation Is Spreading To Uncharted Territory
- Australia’s Inflation Rate Reaches 7.4%
- Australian Budget: ‘Solid, Sensible And Suited To The Times’
- Australian Property Market Update
- Interest Rates News
- Will Australia Go Into Recession?
- How High Will Interest Rates Go?
- Why is Australia’s inflation rate so high?
- How long can the Aussie jobs boom last?
- Australian property prices: how rate hikes hurt some more than others
- Six Scams To Watch Out For
- Will Interest Rates Go Down In 2023?
- Australia Budget Update 2022
- Best Budgeting Apps
- Best Side Hustles
- What Are Term Deposits and How Do They Work?
- What Causes Inflation?
- Secured Loan Guide
- How To Check Your Credit Score In Australia
- How To Beat Electricity Price Rises
- How To Save Money As Cost Of Living Rises
- Are Electric Vehicles Worth It?
- How To Protect Yourself From Scams
More from ![Advisor]()
Australian Property Market: Housing Values ‘May Fall Further’
Interest Rate Rises: ‘A Pause In Hikes Is Coming’
Australian Inflation Rate: CPI Falls To 7.4%
Guide To Term Deposits In Australia
Quick To Hike, Slow To Slice: Why Banks Play ‘Rate Tango’
What Causes Inflation? A Guide To Australia’s Price Crisis
Comments
Post a Comment