What Is A Side Hustle and Why Should You Have One?

Written by: Ruby Layram

In today's fast-paced world, where financial stability and personal growth often intertwine, the concept of a "side hustle" has become more than just a buzzword.

But, what is a side hustle? It's a key to unlocking a world of possibilities, financial freedom, and self-discovery. Imagine having the power to shape your destiny, to turn your passions into profits, and to safeguard your financial future. That's precisely what a side hustle offers—a gateway to a brighter, more empowered tomorrow.

Side hustles are no longer a niche pursuit; they are a global phenomenon reshaping how we work, earn, afford our dream lifestyles and build wealth. These supplementary income-generating endeavors hold the promise of financial security, personal enrichment, and the ability to chase your dreams beyond the confines of a traditional 9-to-5 job. In this article, we will delve into exactly what side hustles are and why you should consider starting one in 2024.

What Is a Side Hustle?

A side hustle is a supplementary income-generating activity that individuals pursue alongside their primary source of income, such as a full-time job or other primary commitments. It represents a versatile approach to earning extra money, which often involves leveraging one's skills, interests, or resources to tap into additional revenue streams.

Unlike a traditional job, a side hustle typically grants individuals the flexibility to manage their time, allowing them to strike a balance between their primary responsibilities and this secondary income pursuit.

What sets a side hustle apart from a full-time job or a dedicated business venture is its inherent adaptability and part-time nature. Unlike a regular job, side hustles don't usually demand a fixed schedule, and they can be pursued during evenings, weekends, or other available pockets of time.

Read: Best weekend side hustles

Furthermore, side hustles often require less initial investment and commitment compared to starting a full-scale business, making them accessible to a broader range of individuals. While side hustles may initially be modest in scope, they have the potential to grow into more substantial income streams if nurtured and developed.

What is an example of a side hustle?

Selling digital products on Etsy is an example of a side hustle that is free to start and accessible for beginners. Selling products on Etsy is a good example of a remote side hustle that requires just a laptop and Wi-Fi connection so can be done from anywhere in the world. Other types of side hustles such as pet sitting or renting out your car are less flexible because they have location or time requirements.

A side hustle, such as pet sitting, is different from a part-time job because there is usually no contract involved. Instead, side hustles allow you to pick and choose when you work and how much work you do.

Also read: How to spot a side hustle scam

Popular UK side hustles compared

Here is a table that compares some popular side hustles to consider in the UK. Passive: Indicates whether the side hustle can generate income with minimal ongoing effort.

Start-Up Costs: Reflects the initial investment required to begin the side hustle.

Remote: Specifies whether the side hustle can be conducted from anywhere.

Beginner-Friendly: Indicates if the side hustle is accessible to individuals with little to no prior experience.

Earning Potential: Provides an estimate of the income potential, ranging from low to high.

What Are the Benefits of Having a Side Hustle?

Google searches for side hustles in the UK have grown significantly over the past few years. But, why are so many people hopping on the side hustle bandwagon?

Side hustles are a popular venture because they allow people to earn extra money relatively easily. What’s more, some side hustles can grow into six-figure businesses that allow people to quit their 9-5 and become their own boss.

Read: Best side hustles for passive income

Here is an overview of the benefits of starting a side hustle in 2024:

Supplementing Income

One of the primary benefits of having a side hustle is the ability to supplement your existing income. Whether you're aiming to cover essential expenses, save for a vacation, or pay off debt, a side hustle can provide that extra financial cushion, offering peace of mind and improved financial stability.

Diversifying Income Streams

Side hustles offer the advantage of diversifying your income sources. Relying solely on a single job can be risky in today's dynamic job market. A side hustle ensures you have multiple avenues of income, reducing your vulnerability to unexpected financial setbacks.

Achieving Financial Goals

Side hustles can be instrumental in helping you achieve your long-term financial goals. Whether it's saving for a down payment on a house, building an emergency fund, or investing for retirement, the additional income generated from your side hustle can accelerate your progress toward these objectives.

Skill Development

Side hustles provide an opportunity for continuous skill development. Engaging in a side hustle can enhance your existing skills or even help you acquire new ones. Whether you're honing your marketing abilities, refining your communication skills, or learning the intricacies of online entrepreneurship, these experiences can have a profound impact on your personal and professional growth.

Pursuing Passions and Interests

Many side hustles allow you to pursue your passions and interests. Whether you're passionate about photography, writing, crafting, or teaching, a side hustle can transform your hobbies into income-generating activities, making work feel less like a chore and more like a fulfilling endeavor.

Balancing Work and Life

Side hustles often come with flexible schedules, allowing you to strike a balance between your primary job, personal life, and the side hustle itself. This flexibility empowers you to better manage your time, reduce stress, and maintain a healthier work-life equilibrium.

Preparing for Unexpected Financial Challenges

Life can be unpredictable, and unforeseen financial challenges can arise. Having a side hustle provides an additional layer of financial security. It can act as a safety net during times of job loss, economic downturns, or unexpected expenses, ensuring that you're better prepared to navigate uncertain times.

How to Find the Right Side Hustle

It is clear that having a side hustle comes with many benefits in the UK in 2024. But, how do you find the right one?

Finding the right side hustle is key to being able to stick at it during the initial stages when earnings will be slow. If you choose a side hustle that you don’t enjoy or can’t afford, you are more likely to quit before making any profit.

Here is an overview of how to choose a good side hustle in 2024.

Assess your skills, interests, and goals

One of the best ways to find a good side hustle in 2024 is to look at your existing skills interests and goals. Are you talented at arts and crafts? Can you confidently build and run a website? Do you know how to do social media marketing? Asking yourself these types of questions is a good way to establish what type of side hustle might be better suited to your strengths.

Choosing a side hustle that fits with your existing skillset is a good way to reduce the costs of training and online courses. It will also make it easier for you to do a good job which typically leads to higher earnings.

Research different side hustles

It can be tempting to jump straight into the first promising side hustle opportunity that you see. However, taking time to research different side hustles is a good way to ensure that you choose an option that is best suited to you.

Starting a side hustle is an investment of either time or money so, it is important to take your time and look into as many potential opportunities as possible. Here are some useful articles to help:

1. 12 ways to make money on your phone

2. Side hustles that pay well

3. Top 10 free side hustles

4. Side hustles for software developers

5. Side hustles for students

Evaluate the feasibility and market demand

Before investing your time or money into a side hustle, make sure that it is actually profitable and achievable. Look for hustles that have a good demand and are doable, even for beginners in the UK. There are thousands of side hustle ‘guru's’ who sell get-rich-quick schemes that are simply too good to be true. Genuine side hustles won’t make money overnight but should have a clear path to eventual profits.

Top tips for getting started with a side hustle

Starting a side hustle comes with challenges such as time management, investing in resources and education, and even burnout. To ensure that your new side hustle venture goes smoothly, here are some top tips for success.

Read: How to start a side hustle

1. Set Clear Goals: Define specific, measurable, and achievable goals for your side hustle. Whether it's earning a certain amount of money, gaining a specific number of clients, or acquiring new skills, having clear objectives will keep you focused.

2. Create a Business Plan: Develop a simple business plan that outlines your side hustle's mission, vision, and strategies. It should include details about your target audience, marketing plan, budget, and projected income.

3. Manage Your Time Wisely: Balancing a side hustle with your primary job and personal life requires effective time management. Create a schedule that allocates dedicated time for your side hustle activities, ensuring you maintain a healthy work-life balance.

4. Start Small and Scale Gradually: Don't overcommit in the beginning. Begin with manageable tasks and gradually expand as you gain experience and confidence. This approach minimizes the risk of burnout or financial strain.

5. Build an Online Presence: Establish an online presence through a website, social media profiles, or an online marketplace, depending on your side hustle. An online presence can help you reach a broader audience and build credibility.

6. Network and Seek Support: Connect with others in your field or industry to learn from their experiences. Networking can provide valuable insights, collaborations, and opportunities for growth. Joining relevant online communities or attending local events can be beneficial.

7. Keep Finances in Check: Maintain a separate bank account for your side hustle to track income and expenses accurately. Set a budget and be mindful of your financial goals. Consider consulting a financial advisor or accountant for guidance.

8. Stay Compliant: Understand the legal and tax implications of your side hustle. Depending on your location and the nature of your work, you may need licenses, permits, or tax registrations. Compliance to side hustle tax is essential to avoid legal issues.

9. Learn Continuously: Embrace a growth mindset and be open to learning. Invest time in acquiring new skills, staying updated with industry trends, and adapting your side hustle as needed.

10. Market Effectively: Develop a marketing strategy to promote your side hustle. Utilize social media, email marketing, content creation, and word-of-mouth referrals to attract clients or customers.

11. Seek Feedback: Encourage feedback from your clients or customers to improve your offerings. Constructive feedback can help you refine your services or products and enhance customer satisfaction.

12. Track Progress and Adjust: Regularly assess your side hustle's performance against your goals. If something isn't working as expected, be prepared to make adjustments and pivot your strategy.

Side Hustle Rules and Regulations in The UK

Before starting a side hustle in the UK in 2024, it is important to understand the rules and regulations around doing so. It is legal to work a side hustle or side gig in the UK. However, some job contracts may prohibit employees from taking on a second job or ‘moonlighting’. In this case, starting a side hustle could be a breach of your job contract.

Is a side hustle tax-free in the UK?

In the UK, it is possible to earn £1000 per year tax-free outside of your 9-5 job. If you earn more than this from your side hustle, you will need to pay additional income tax, which is filed yearly through a self-assessment tax return.

The amount of tax that you will need to pay on your side hustle is dependent on your personal circumstances. If you’re unsure, it is a good idea to ask a financial advisor or account to look over your profits and expenses and work out how much you owe HMRC.

What Is a Side Hustle? - Conclusion

A side hustle is not just an income booster; it's a gateway to financial empowerment, personal growth, and an enriched life. We've explored what a side hustle truly means and the myriad reasons why you should consider having one in your life. From the financial advantages of supplementing your income and achieving your financial goals to the personal and professional growth that comes with pursuing your passions and building new skills, side hustles offer a world of opportunities.

The flexibility they provide, allowing you to strike a balance between work and life, is invaluable. And in a world where uncertainty can knock on your door at any moment, side hustles offer a sense of security by diversifying your income streams and providing a safety net in challenging times.

So, whether you're dreaming of starting that small online business, sharing your knowledge through online courses, or simply exploring your creative side, a side hustle can be the vehicle that propels you toward your aspirations.

Related post: 5 side hustle mistakes to avoid in 2024

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