The Real State of Side Hustles in America!

Noah Pressley
May 18
2 min read

Side hustles have officially shifted from “nice-to-have” to “need-to-have.”

What once was a way to earn a little extra cash for a weekend treat or vacation fund has become a financial necessity for millions of Americans. According to LendingTree, 44% of U.S. adults currently have a side hustle, and nearly half of them say it's essential for covering basic living expenses. In a separate study by Bankrate, 32% of side hustlers believe they’ll always need that extra income just to stay afloat.

This trend isn’t just a response to rising prices—it's a signal of deeper economic shifts. At The Preppy Family, we see side hustles as more than just financial lifelines; they’re windows into the evolving nature of work, income diversification, and entrepreneurial mindset.

How Much Are People Actually Making?

The majority of side hustlers—about 71%—are earning $500 or less each month. That number jumps to 80% among Gen Zers. While 19% of side hustlers report making between $501 and $2,000 monthly, only 9% bring in more than $2,000.

For most, the side hustle is supplemental. For a growing few, it’s transformative.

What Are People Doing?

The most profitable side gigs tend to be digital and skill-based:

Web design
Video editing
Voiceover work
E-commerce (think: drop-shipping)
Gig economy jobs like ride-hailing or delivery

Experts consistently recommend choosing a side hustle that aligns with your existing skill set—an approach we strongly advocate for in our consulting sessions. When you leverage what you already do well, you're far more likely to create sustainable and scalable income streams.

The Privilege Paradox

Interestingly, many side hustlers aren’t just scraping by—they're already doing well. A report from Side Hustle Nation found that 40% of respondents had household incomes of at least $100,000. Fast Company’s research echoed this, noting that most side hustlers ages 18–35 described their financial situation as “comfortable.”

So why the hustle?

For some, it’s about building a business or long-term independence. For others, it’s about hedging against job insecurity, inflation, or even automation. And speaking of automation…

Hustling in the Age of AI

AI is disrupting industries—fast. Some side hustles, like ride-hailing or basic copywriting, are already feeling the impact. But new AI-based hustles are emerging just as quickly. Data from NetCredit shows that Fiverr freelancers offering AI-related services (like prompt engineering or AI consulting) earn an average of $44.50 per day.

It’s not retirement-level income, but it’s a start—and perhaps a signal to future-proof your skills now.

What This Means for Business Professionals

At The Preppy Family, we believe side hustles are not a trend—they're a movement. Whether you're navigating career transitions, looking to diversify income streams, or exploring new business models, the side hustle economy presents both a challenge and an opportunity.

And with projections showing 26 million more Americans expected to join the side-hustle economy by 2027, the time to think strategically about your next move is now.

Looking to turn your side hustle into a sustainable business? Let’s talk. We specialize in helping professionals and entrepreneurs build scalable income streams aligned with their strengths and long-term goals.

Thanks for reading!