The rise of the side hustle

Plus: A red-hot job market update [  Advertiser disclosure]( [View in browser  ]( [Bankrate®]( While the saying goes that you work to live, more Americans are finding themselves living to work – especially outside of the 9-to-5. As prices rise, more people are taking on side hustles to boost their budgets and bulk up their savings. Read on to learn about the side hustle world, along with updates from the summer housing and job markets. The great American side hustle More Americans take on extra work to survive [alt goes here]( Whether it's selling spreadsheets on Etsy or pet sitting, more Americans are taking on a side hustle – and for some, it's on a [permanent basis](. What started as a way to earn some quick extra cash is now becoming a vital source of income for full-time employed Americans, and with the economic turmoil of the past three years, many believe it's going to stay that way, as what was once beer money is now becoming part of the rent payment. Here's what Bankrate found in their [latest survey](. The big numbers: • Nearly two in five (39 percent) U.S. adults have some sort of side hustle in 2023. Over half of Gen Zers (53 percent) and millennials (50 percent) reported earning income on the side, [vastly outpacing]( baby boomers (24 percent). • Side hustle income is nothing to sneeze at. The average side hustler makes an extra $810 per month - with 8 percent of respondents [making over $2,000]( in income. Don't quit your day job just yet, however. Over a quarter (28 percent) make less than $50 monthly. • One in three respondents (33 percent) with a side hustle said they use their gigs to pay for their [everyday bills]( with 27 percent reporting they use their extra income for non-essentials and only one-quarter putting their funds into their savings. • Lower-income households (42 percent) and female respondents (37 percent) are [more likely]( to put their side hustle earnings toward essentials. While households that make over $100,000 and households that make under $50,000 are similarly likely to have a side hustle (45 percent and 40 percent, respectively), higher-income households are more likely to use their earnings for discretionary spending. The big impact: With inflation making everyday bills skyrocket for the average American, what once might have been a passion project or a hobby is now becoming as essential as a 9-to-5. Over one quarter (28 percent) of respondents said they would [always need their side hustles]( to make ends meet, and 23 percent reported spending more time on their side hustle because of inflation. One in five (20 percent) would rather not be working a side hustle but have to anyway. Where do we go from here? Extra income can be a great cushion when your finances are looking thin, but you shouldn't let your moonlight job take over your life completely. You might be better off [maximizing your income]( by paying off debt or bulking up your emergency savings than losing sleep on your side gig. That way, if you end up with a thinned income stream, you can still weather the storm. Ted’s take “Side hustles have become more common, but like so many things in this inflationary environment, people are working harder but not necessarily getting ahead. Side hustlers are much more likely to view this extra income as essential, rather than a passion project or a way to get ahead financially.” [Ted Rossman, Bankrate Senior Industry Analyst]( 2023's bizarre job-seeking adventure Despite downturn predictions, worker confidence still high [alt goes here]( If you're on the hunt for a new job, you're in luck! Sort of. While 2022 and 2023 have seen scores of layoffs from big tech players such as Apple, Microsoft and Twitter, unemployment is, bewilderingly, at its lowest in 54 years. Workers are still willing to quit their positions for greener pastures – and hybrid arrangements -- despite a possible recession on the horizon, slowing job growth and continued layoffs. [Learn more]( about what the market is looking like for job seekers. Quick bite: Looking for a new career? Nurses, truck drivers, delivery drivers and shift managers are all in demand, and all make an average salary of over $68,000. Learn more about the [fastest-growing job fields](. [Read article]( Quiz: The average savings account with $10,000 in it will net you $25 in interest a year. How much interest can a 4.85 percent APY high-yield savings account (HYSA) with $10,000 earn you in a year? A.   $0.49 B.   $4.80 C.   $48.50 D.   $485 Check out the answer at the end of this week’s edition! Housing tug-of-war continues Interest rates and mortgage woes plague buyers and sellers [alt goes here]( Despite a cooling housing market in April, home buyers aren't seeing much luck. Inventory is still at a historical low, and increased interest rates are sending mortgage payments skyrocketing. What's more, lenders are tightening their standards on niche mortgage products such as jumbo mortgages, making it harder for certain buyers to borrow. [Check out]( this month's rundown. Quick bite: Housing supply is sitting at 2.9 months – well short of the five to six month supply needed for a more balanced market. Rising interest rates are leaving homeowners reluctant to give up their low-interest mortgages, further tightening things. [Here's what that means]( for buyers. [Read article]( Quick tips My dog needed emergency care and it cost me thousands. [Here’s what I learned](. Planning a summer trip? Here's how to [use your credit card to the max](. If you're starting a family, you need to [do these five things right away](. Did you know? Your roof could be getting you a tax credit. The Residential Clean Energy Credit runs through 2034 and offers a tax credit valued at 30 percent of the total cost of a solar system that you own and have installed on your property. You can also combine it with local and state solar tax credits and rebates. [Here's where and how to apply](. This year's biggest bank mergers and acquisitions Guess I'll have to re-learn my routing number [alt goes here]( Bank mergers are a fact of business -- and a possible fact of failure. Silicon Valley, Signature Bank and First Republic have all been taken in by new owners in order to float the losses of their collapse. Learn what to expect during a bank merger, and what it means for you. Quick bite: The pool of American banks is shrinking. The number of FDIC-insured banks has decreased nearly 27 percent from March 31, 2015, to Dec. 31, 2022, and will likely keep decreasing. [Is yours one of them]( [Read article]( Quiz answer: D. $485. A high-yield savings account can earn you a lot more than a traditional savings account, especially if it's at an online bank. HYSAs can be a great place to park funds you don't need to use immediately but want to have relatively quick access to, such as your emergency savings. [Find the best rates here](. Getty Image illustrations are used for editorial purposes in this newsletter. Below is credit to contributors: • AndreyPopov/Getty Images • RichVintage/Getty Images • C.J. Burton/Getty Images • ATU Images/Getty Images [fb]( [insta]( [in]( [tw]( [yt]( [tiktok]( © 2023 Bankrate, LLC. All Rights Reserved. Bankrate, LLC • 16 45 Palm Beach Lakes Boul evard • Su ite 12 00 • West Palm Beach, FL 33401 You received this update at {EMAIL} because you have a Bankrate account. You may unsubscribe from this email [here](. View our [privacy policy](.