The trend, driven mainly by Gen Z and Millennials, sees nearly half of people (45%) using additional income from their multiple side hustles to cover day-to-day living expenses
Three quarters of people in the UK believe running multiple side hustles alongside employment is the future of work.
That’s according to new research from accountancy tech provider Sage, which found that 75% of people in the UK see running a number of money-making enterprises at the same time as holding down a 9-5 job as the new normal – with one in five (19%) running more than one side hustle alongside their day job.
The trend, driven mainly by Gen Z and Millennials, sees nearly half of people (45%) using additional income from their multiple side hustles to cover day-to-day living expenses. According to the research by Sage, the average side hustler earns £2,337 per month after tax from employment and boosts their salary by an extra £590 a month from their side hustles – close to £7,000 a year.
Others use the money they generate to top up their savings (38%), pay for holidays (30%) or reinvest in their side hustle (29%). Nearly a quarter (24%) reinvest their earnings back into their side hustle.
Natalie Glaze – Founder of Stay Wild Swim and By Glaze, who set up her businesses as side hustles in 2018 and 2021 respectively, said: “I started both of my businesses as side hustles while working full-time, so I understand the hard work and passion that goes into balancing a main job with other ventures”
“I agree it could be the future of work. Side hustles are the perfect way to dive into something you love without the risk of quitting your day job – and in today’s economy, they’ve become a crucial way to start a business with the safety net of a salary.
“My journey with Stay Wild Swim and By Glaze has shown me how valuable it is to have the right tools at your side, like Sage’s support for self-starters and small business owners. With a system that simplifies taxes and financial tracking, I can stay focused on growing my business.
“It’s exciting to see that so many people now see side hustles as the future of work, and I can’t wait to see what’s next for this generation of entrepreneurs.”
While seven in 10 (71%) view their side hustle as a source of financial freedom, whether or not an individual has ambitions to take their side hustle full-time is largely age dependent: 66% of 16-24 year-olds want to, compared to just 23% of over-55s.
Yet Sage reports a majority of side hustlers (63%) would keep their main job no matter how successful their business became – with their side hustles seen as a counterweight bringing ‘joy and personal fulfilment’ alongside employment.
Dropshipping or reselling is by far the most popular side hustle for nearly a quarter of people (24%), followed by freelance writing (15%) and handmade products (14%), IT/ tech support (13%), custom products (12%), and consulting (12%).
Income streams from side hustles are now so high that half of 25-34-year-olds have sought help from an accountant or accounting software to manage their cash.
Grace Hardy, founder of Hardy Accounting, said: “As a Gen Z accountant, I’ve seen firsthand how our generation is embracing side hustles to build new income streams. We’re balancing everything from freelance work to digital reselling alongside our main jobs.
“Tools like Sage are game-changers for us – they make keeping up with finances easy, which means we can spend more time creating and less time worrying about the numbers.
“With so many of us wanting to turn our side hustles into something bigger, having tech that simplifies admin and taxes is crucial. I love showing my followers that managing your finances doesn’t have to be stressful – with Sage, you get the support you need to focus on growth, whether you’re making an extra £500 a month or preparing to go full-time.
“It’s not just about the money; it’s about pursuing passions and building something meaningful for the future.”
Nikola McNicol-Kenney, VP Small Segment UKI at Sage said: “If you’re just starting out, have a few side hustles, or are a seasoned small business owner, Sage has the tech to meet your needs. “We have accounting tools that take the stress out of keeping you compliant with the latest changes.”
The boom in side-hustles is also having an impact on the world of employment as people seek to balance their main job with their entrepreneurialism, rather than using their side hustle as a way to exit the workplace.
Almost two thirds (58%) of under 34s have made changes to their working hours to make time to invest in their side projects. Employers seem willing to accommodate this cultural shift. Over four in 10 people (43%) say their boss has allowed them to make changes to their working hours in order to accommodate their side hustle(s).
