Side Hustles to Thrive in a Recession: Best Options

Imagine you’re at your kitchen table with coffee, looking at your bank balance. News of a looming recession makes you anxious. Suddenly, the cash in your account looks more important than ever. The unstable job market seems like a big storm cloud over your money plans. In times like these, starting a side job isn’t just for extra cash. It’s a light of hope and strength.

The U.S. has seen its fair share of recessions. But we’ve learned something important. Many strong and lasting businesses started in tough times. For example, during the Great Recession, even as many lost their homes, others found success in side jobs. It’s not just about surviving; it’s about taking charge and padding your wallet for the hard times ahead.

Side jobs help us save for emergencies, keep our skills sharp, and ensure money keeps coming in, even if jobs are uncertain. There’s a wide range of options, from online teaching and being a virtual assistant to website testing and grocery delivery. These side gigs are safe bets during a downturn. They’re also very flexible, fitting your unique skills and life situation.

Last year, 39% of U.S. adults made extra money this way. Many of them were young people, like Gen Zers and millennials. They’re full of energy and quick to adapt, making over $1,000 a month from their side jobs. The big question isn’t if you should get a side job. It’s which side job fits you best in a recession.

Key Takeaways

• Side hustles can provide a crucial financial buffer during economic downturns.
• Approximately 39% of U.S. adults engaged in side hustles last year, making it a widely adopted strategy.
• Gen Zers and millennials are particularly successful, frequently earning over $1,000 a month.
• Diverse side hustle options allow individuals to leverage personal skills and schedules efficiently.
• Understanding the types of side hustles that thrive in a recession can help you choose profitable and flexible ones.

As the economy looks uncertain, embracing a side hustle can show you the way. For tips on the best side gigs, you can read more here. Side jobs offer a solid way to secure your finances or find peace of mind. They’re both a smart move and a powerful step forward.

Why Side Hustles Are Essential During a Recession

In tough economic times, recession-resilient side businesses are vital. They help you stay financially stable. Over a third of U.S. adults have a second income source. Nearly half of the younger generations, millennials and Gen Z, use side jobs for extra security.

About 45% of Americans with side hustles use them to tackle debt and daily costs. The average side job adds about $250 a month. Though it seems small, five months of saving can get a $1,088 ticket to Taylor Swift’s Eras Tour. This shows side earnings can boost your fun money.

Interestingly, those making over $100,000 annually often seek side hustles for extra cash. This shows people of all income levels find side jobs helpful. Also, 52% of side hustlers add their extra money to savings or use it for fun. This highlights how crucial side jobs are for better financial health.

With more recession-resilient side businesses popping up, flexible work trends like hybrid and remote jobs are a big help. They give people time to grow their side businesses. For many, one job isn’t enough, making side hustles key to staying financially sound.

During downturns, small businesses are super important. They make up 44% of the U.S. GDP and employed 62 million Americans in 2023. Even when big companies struggle, side businesses offer steady money. This makes them vital for folks trying to make it through hard times.

Best Side Hustles During a Recession

In times of economic instability, some side jobs offer a financial cushion. Roles like virtual assistant and freelance creative shine due to their flexibility and earning potential. These jobs are high in demand when the economy is down.

Virtual Assistant

Virtual assistant jobs are on the rise, especially in sectors like finance, healthcare, and media. They help with customer service, scheduling, managing emails, and handling social media. Virtual assistants can make an average of $5,232 per month.

Their pay ranges from $15.07 to $39.93 an hour. This varies with the task’s complexity. As companies look to cut costs in today’s economic setting, hiring a virtual assistant saves about 78% compared to an on-site employee. Sites like Upwork and Fiverr have seen a 22% jump in freelance jobs, making them great places to find work.

Freelance Creative

The growth of the gig economy highlights valuable freelance creative roles. These roles stay in demand, even in hard times. Content creators, web developers, and digital marketers remain sought after as companies switch to project-based work. Depending on skills and expertise, freelancers can earn between $62,000 and $108,000 a year.

Freelancer.com, Upwork, and Fiverr are key platforms connecting creatives with clients. Freelance work provides a reliable income, even when full-time jobs are not available. For example, during the 2001 and 2008-2009 recessions, the pet care industry grew. Freelance creatives helped companies reach the 90 million U.S. pet owners.

Virtual assistant and freelance creative roles are excellent during economic downturns. They offer financial security and flexibility. Taking on these side hustles can also lead to career growth and resilience in tough times.

Recession-Proof Side Hustles for Flexibility and Earnings

In tough economic times, finding flexible side jobs is key to keeping money coming in. Let’s explore two top side gigs that offer you freedom and a chance to make good money.

Delivery Driver

Working with Shipt, DoorDash, and Instacart as a delivery driver is a great choice. These platforms let you set your schedule and drivers can make about $18.88 an hour on average. Since everyone needs food, delivering groceries is always in demand, even when the economy is not doing well.

To make more money, plan your delivery routes well and take advantage of higher pay during busy times. Being a top-notch driver with great service can bring in more tips. If you’re looking to make extra cash or need a flexible schedule, delivering goods is a smart move.

Online Tutoring

Online tutoring is perfect for those with a strong knowledge base. Depending on the subject, tutors can earn $30 to $50 per hour. With platforms like Skooli and TutorMe, payments are usually weekly.

This job is not only flexible since you can work from anywhere, but it also meets the learning needs of students worldwide. The demand for tutors is rising as more students look for help beyond school. If you’re skilled in a particular area or have teaching experience, tutoring online can be rewarding and profitable.

Delivery driving and online tutoring are great for earning money despite economic ups and downs. These side hustles offer stability and flexibility when you need it most.

Starting Your Own Online Business

Starting businesses online can be smart when the economy is down. In 2023, the U.S. economy did well despite fears of a recession. Economist David Rosenberg said there’s an 85% chance of a recession, the highest risk since the Great Financial Crisis. This makes it critical to look into online business ideas that can withstand a downturn.

Online businesses reach more people and usually cost less to run than physical stores. If you’re thinking of selling things you make, photos, or digital items, websites like Etsy, Shopify, and Squarespace can help. They let business owners reach people more likely to shop online when money is tight. Here’s why starting an online side business is a good idea:

• Low overhead costs: With low running costs and a worldwide audience, online businesses are great for individual entrepreneurs.
• Quick launch: You can start an online business fast with little or no money. This gives individual business owners stability and options.
• Wide range of options: You can do lots of things from home like blogging, virtual assistant work, selling handmade items, consulting, and teaching online. These options save money and offer flexibility.

Freelancing gives individual business owners a reliable income. This can be through web development, writing, designing, marketing, and more. Also, focusing on niche markets can help you stand out. It lets you attract specific groups and be different from your competitors.

During recessions, people spend less and choose cheaper brands. So, it’s vital for solo entrepreneurs to focus on online opportunities. By doing the right marketing, they can keep and get new customers. It’s key to build your brand’s name and trust. This is because keeping a customer costs less than getting new ones. And companies that spend more on marketing during down times often do better later.

To wrap up, starting an online side business can provide safety and chances for growth in uncertain times. Whether you offer special services or products that appeal to many, you can use the power of the internet. This way, you can create a strong business that can survive an economic downturn.

Freelancing: A Lucrative Side Hustle

Freelancing has become a lucrative freelancing choice. It’s a flexible way to work from home in areas like writing, editing, and graphic design. The digital age makes finding freelance work easier. So, many have started using freelance job platforms to boost their income.

Platforms to Find Freelance Jobs

Websites like Upwork, Fiverr, and Freelancer help freelancers meet clients worldwide. According to CNET, these sites offer a way to earn steadily, even when money is tight. They offer jobs in many areas, so freelancers can find work that suits their skills. This makes freelancing a flexible and secure way to earn more.

High-Paying Freelance Roles

Some freelance jobs pay more because they need special skills. Roles in software development, graphic design, proofreading, and writing are top paying freelance jobs. Data show these freelancers can make $15 to $60 an hour. This potential for high earnings is why many skilled professionals choose freelancing to increase their income.

Freelancing is not just a way to earn money but also adds a lot to the economy. Freelancers are about 35% of U.S. workers. They contribute more than $1 trillion to the U.S. economy each year. For those thinking about joining the gig economy, freelancing can be a smart choice, even in tough times.

For tips on doing well when the economy is down, visit this recession-proof industries guide.

Creative Ways to Make Money from Home

In these tough economic moments, finding new ways to boost your income is vital. Working from home has become a great way to add extra money. Jobs like translating, testing apps, and taking care of pets provide unique ways to earn from home.

Translators, for example, can make 6 to 14 cents per word if they know multiple languages. Pet care services pay $16 to $23 per hour, which is perfect for animal lovers. These jobs help you earn more without leaving your house.

The interest in digital products and creative content has grown a lot. Sites like Shutterstock and Etsy are popular places to sell creative work. This includes things like Instagram templates, online courses, and stock illustrations.

1. Stock Photography
2. Website Design Templates
3. Printable Art and Craft Project Instructions

Also, selling digital tools like Procreate brushes and photo presets can create passive income. Websites like Kajabi and Squarespace help you sell these products easily. This is a smart way to earn money while reaching the right people.

The statistics are impressive:

These numbers show why it’s important to have different sources of income from home. By exploring these options, you can secure financial stability. This is crucial, especially during uncertain times.

Financial Benefits of Side Hustles During Economic Downturns

In times of economic downturns, the side hustle financial advantages become very valuable. Having an extra job helps you make more money. This extra cash is important for both needs and wants. It helps keep the same lifestyle.

Having more than one income source is a safety net during tough times. When jobs are hard to find, a side hustle can be a lifesaver. Experts suggest saving for 12 to 24 months for emergencies. Side gigs can help reach that goal.

Paying off debt faster is another plus of side hustles. More money means you can clear debts quicker, which boosts your credit score. Credit scores from 580 to 669 are considered fair, 670 to 739 are considered good, 740 to 799 are considered very good, and 800 and above are considered excellent. Better credit scores can lead to improved loan and mortgage rates when the economy recovers.

Certain sectors like consumer staples, utilities, and healthcare usually do well in recessions. This makes side gigs in these areas particularly valuable. Jobs like delivery driving and babysitting get more in demand. More people staying home means more demand for delivery services.

During The Great Recession, people selling second-hand items did well, showing how resilient some side hustles can be. Selling unique items like personalized drawstring bags becomes popular. Side hustles don’t just bring in extra money; they also give financial security and flexibility when times are hard.

Steps to Get Started with a Side Hustle

Starting a side hustle means checking what you’re good at and what you love. This way, you find side jobs that fit your skills and passion. It’s important to pick something you’re both skilled in and interested in.

Assessing Your Skills and Interests

Begin by assessing your skills and interests. Think about your strengths and what brings you joy. Note down your skills and see how they fit with side jobs. If writing is your thing, try freelance writing. Love teaching? Online tutoring could be perfect. With nearly two in five U.S. adults hustling on the side, a good skills check is your first step.

• Freelance writing fees range between $10 and $40 per article for beginners.
• A full-service shopper at Instacart can earn between $15 to $20 per hour.
• Dog walkers can make between $10 and $15 per dog per day.

Setting Up Profiles on Freelance Platforms

After figuring out your side hustle, it’s time to create freelance profiles. Sites like Upwork, Fiverr, and Flexjobs are great places to start. A good profile draws in clients and helps you get noticed online. By 2027, around 83 million Americans will freelance, so it’s a growing field.

1. Complete your profile with detailed descriptions of your skills and experiences.
2. Upload a professional photo and portfolio to showcase your best work.
3. Solicit reviews from previous clients to build your credibility.

Creating these profiles not only boosts your online visibility but also opens doors to new opportunities. It might even turn your side job into a main source of income. Nearly half the side hustlers enjoy their gigs, and spending just 5-10 hours weekly can lead to an extra $810 per month on average.

Real-Life Success Stories

Listening to inspiring side hustle stories is powerful. These stories show real individuals achieving great success. They are not just motivating. They also offer useful advice for those wanting financial security.

A former teacher became a freelance writer. She made $500 in her first month with just a few stories. Now, she earns $250,000 a year, working only five hours a day. Her story highlights the value of asking for better rates and having a strong online presence.

Getting a mentor can be super helpful for newbies. A British man reviews fish tanks part-time and makes $700 a month. An oil & gas worker earns $40,000 by sharing images on Pinterest.

A graphic designer started charging $250 per hour for caricatures. This led to making more than $100,000 a year. Another story is about a senior analyst who now runs a successful resale business on Amazon.

These successful side gig stories come from various backgrounds. An IT director made $31,000 by setting up WordPress sites. In Los Angeles, someone earns over $4,000 a month by renting out cars. These stories show many ways to reach financial success.

Over 100 stories have been published about full-time workers with side hustles. A single mom made $15,000 selling astrology calendars. A college student’s skincare line became a hit on YouTube, now having 13 employees.

These stories can be found online. For tips on surviving economic hard times, check out Recession Survival Hub. It has useful strategies for everyone.

The variety of successful side gig examples shows the potential of side jobs. No matter your background or main job, there are many ways to make extra money. From reselling to creating content or freelancing, the chances are wide and diverse.

Conclusion

Reflecting on the success stories of side hustles shows their importance. They are a vital financial support. People use their talents and interests to face hard economic times better. They feel more in control of their money.

There’s been a noticeable increase in short-term jobs and demand for delivery services lately. This change is due to a recession. Side hustles not only offer quick money but also long-term growth possibilities.

History shows us that side hustles do well even when regular businesses don’t. Platforms like VIPKid and Uber Eats prove the flexibility and income potential in gig jobs. With talks of another recession, it’s wise to start looking into side hustles now.

Some industries like cleaning services and e-learning do really well during downturns. These areas can be very profitable. Our guide explains how side hustles can grow into bigger businesses. For more tips on good side gigs during a recession, check out our guide on 10 best money-making side gigs. In the end, side hustles are key for managing your finances when times are tough.