New research reveals 7 in 10 young people have multiple income streams
London, UK; May 27 2024 We used to be known as a nation of shopkeepers. But it seems the UK would now be better described as a nation of side hustles, as new research reveals nearly half (47%) of Brits are running a second income stream.
Amid rising rents and a growing cost of living, new research from tech accountancy firm Sage shows that 47% of Brits across all age groups now have a side hustle, and an additional 10% are actively seeking one
Until now, side hustles—additional jobs taken to supplement income—were thought to be primarily pursued by Gen Z individuals in their 20s seeking extra cash.
But according to Sage the trend is now growing among all age groups with 32% of 35-44 year olds running a second job and almost a third (28%) of 45-54 year olds doing the same.
Meanwhile 68% of young people (16-34s) are running multiple side hustles on top of their 9-5 day jobs - earning an extra £546 per month alongside their primary income.
And as their side-hustles become more lucrative a massive 92% of under 34s said they intend to transition their side hustles into full-time businesses.
The research also showed that retail—including activities like selling second-hand clothes on Vinted or upcycling furniture for eBay or Etsy—is the most popular side hustle, chosen by 24% of participants. It is followed by consulting or freelance writing (15%), tech-related jobs such as app development and web design (12%), and health and wellness endeavors like fitness and nutrition consulting (8%).
It comes as Sage launches Sage Accounting Individual for sole traders, available on web and mobile to help simplify self employed finances.
The software will help alleviate the frustrations of the dreaded annual tax problem, as well as helping to future-proof the taxpayer for future legislative changes - making it ideal for those running side hustles.
The Sage research revealed the majority of sole traders say technology was crucial to getting their side hustles up and running.
Andreas Georgiou, VP Product Marketing, Small Business from Sage said: “Far from being a generation of quiet quitters, our research reveals today’s entrepreneurial landscape is teeming with Gen Zs and Millennials.
“As well as growing single side hustles, we’re seeing young people, in particular, using tech to combine income from multiple side hustles to effectively create full-time jobs.
“As we introduce Sage Accounting Individual, we’re here to celebrate these journeys and provide much-needed support in an ever-changing market.
“The digital record keeping software is for sole traders and self-employed professionals who need to manage their income and expenses to complete their annual Self Assessment tax return, as well as helping with overall productivity - addressing pain points like cash flow, access to finance, getting paid faster and working seamlessly with an external accountant where they have one.”
Case study:
Entrepreneur Jonny Cottom, 30, from north London began his side hustle, Breakbottle, creating sustainable water bottles in 2020, inspired by the bad smell coming from his reusable water bottle. Since then, he's transformed Breakbottle - bottles which ‘break’ in the middle so they can be cleaned more hygienically - into a full-scale business with income over £70k a year.
He said: “I was working as an accountant at a City firm during the day and I’d spend about an hour working on my side hustle each evening after work.
“I knew I needed pre-orders to fund the first production run and to check we had paying customers before going any further – so I decided to quit and take the plunge, launching a crowdfunding campaign in 2021 which raised £40,000.”
Jonny says he found the admin side of turning his side hustle into a full scale business a significant challenge, but embracing tech was key to getting Breakbottle off the ground.
He added: "The initial idea is less than one percent of the journey. Instead, it’s consistency and belief that’s important. I found putting the idea into action took much longer than expected, with each new hurdle taking time to understand and overcome.
"By using Sage for accounting, I was much more streamlined when it came to the financial side of things which freed up time to focus on business growth, find funding and build out key relationships. Turning a side hustle into a full-scale business has been a constant learning curve and my advice to others is to embrace tech from the get-go as it's only getting more powerful each day."
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*Research conducted by Censuswide on behalf of Sage into 2,000 adults and 1,000 adults with side hustles.
About Sage
Sage exists to knock down barriers so everyone can thrive, starting with the millions of Small and Mid-Sized Businesses served by us, our partners and accountants. Customers trust our finance, HR and payroll software to make work and money flow. By digitising business processes and relationships with customers, suppliers, employees, banks and governments, our digital network connects SMBs, removing friction and delivering insights. Knocking down barriers also means we use our time, technology and experience to tackle digital inequality, economic inequality and the climate crisis.
