Why are so many people joining the gig economy?

Conceptual hand writing showing The Gig Economy. Business photo text Market of Short-term contracts freelance work temporary poster board with blurry paper lobs laid serially mid yellow lob. Conceptual hand writing showing The Gig Economy. Business photo text Market of Short-term contracts freelance work temporary poster board with blurry paper lobs laid serially mid yellow lob the gig economy stock pictures, royalty-free photos & images

You’re not alone if you’ve heard about the gig economy but aren’t sure what it means! This term refers to the growth of temporary positions unrelated to permanent jobs, such as freelance and contract work.

One recent study found that an estimated 57 million Americans work in the gig economy.

In the era of 9-to-5 employment, the idea of being your boss and working independently was fairly rare. However, today an increasingly large number of people are freelancers.

What’s so interesting about freelancing that many people are flocking to it? Here is why!

  • Creates Work Opportunities
  • Provides Flexibility
  • Rewards Effort
  • Increase income
  • Shifts the work-life balance

1. Creates Work Opportunities

The gig economy has taken off because it allows people to create work opportunities that work with their lifestyle. As a result, you no longer have to sacrifice a social life for work or vice versa.

And, if you’re a morning person, you can get up and be productive at 6 AM; if you’re not a morning person, then noon is just fine.

2. Provides Flexibility

Workers today want flexibility. They need it, too: Many Americans work several hours per week.

As a result, people feel a sense of urgency to start or change their careers for fear that they will miss out on something, whether new job opportunities or higher pay.

Flexibility helps alleviate that feeling of missing out, which is being a freelancer makes sense for so many workers today.

3. Rewards Effort

According to a 2017 poll by Bankrate, more than half of Americans prefer freelance jobs.

The study found that 34% of survey respondents felt they would be rewarded better financially if they were their boss; furthermore, 47% said flexible hours and working remotely were key in their decision to become independent workers.

It turns out that digital nomads aren’t alone—millennials, in particular, have started joining what could be called the gig economy as a permanent part of how they make a living.

4. Increases Income

For some, joining a gig-economy job replaces one full-time paycheck with two or three smaller ones. But others turn to gig-economy jobs for higher income potential.

Young female entrepreneur receiving new orders in her e-commerce clothing shop Young female entrepreneur receiving new orders in her e-commerce clothing shop the gig economy stock pictures, royalty-free photos & images

Statistics reveal that nearly 50 percent of U.S. workers make less than $20,000 a year. However, one-third of these workers earn more than $50,000 by joining gig economy platforms.

So if you have experience and talent in your field, there’s no reason why you shouldn’t be taking advantage of online platforms to bring in some additional income in addition to your day job.

For example, if you are a book author. There are not many ways to make money even though you are a subject matter expert. But you can join 30mins.com and make some hours available for paid advice, and 30mins.com advertises you, and clients may setup meetings with you. Thats the beauty of gig economy platforms. They enable you to make money!

5. Shifts the Work-Life Balance 

You’d typically get a good job in past generations and stick with it until retirement. However, working multiple jobs was unheard of because it was challenging to do so in a way that didn’t affect your income.

In recent years as technology has advanced, remote work and freelance opportunities have increased exponentially—and more people than ever before are joining the gig economy.

It’s no wonder why: these flexible jobs allow workers to balance their professional lives with their personal lives.

Wrap up

The shift to a service-based model is not necessarily a bad thing. For example, suppose you work in IT, plumbing, manufacturing, or almost any industry that can be outsourced or automated.

In that case, you may need to start thinking about your skillset and how it can be adjusted to meet changing demands.