For many Americans, it’s becoming harder and harder to make ends meet.
From groceries to rent payments, many of life’s basic living expenses are more expensive than they were just a few years ago, and many people don’t feel like their paychecks stretch as far as they used to.
In order to get by, Americans are increasingly turning to secondary sources of income. According to a MyPerfectResume survey of 1,000 U.S. workers, almost three-quarters (72%) of respondents with a regular job now depend on at least one secondary source of income, which is up 71% from 2025 (1).
Where side hustles were once seen as a way to bring in a bit of extra cash for savings or discretionary spending, they’re now considered a lifeline for the 26% of respondents who say they need a secondary income just to cover basic living expenses.
As MyPerfectResume reports, nearly four in 10 respondents (38%) say “inflation has significantly increased their need for additional income,” while 72% say the “rising costs have made side work more necessary overall.”
Over the past five years, the cost of living has increased significantly while wages simply haven’t kept up. This comes during a time of economic uncertainty that’s coupled with the threat of artificial intelligence, which could upend the careers of many Americans in the future.
Respondents to the survey say their second income is derived from freelance or gig work (14%), investments (14%), side businesses they own (9%), passive income such as rent or royalties (9%), or a second job with another employer (4%).
While more than half (52%) say having additional income “makes them feel more secure” and 68% say their side work “has never interfered with ambition or availability at their main job,” working a side gig can take its toll.
While a side hustle can boost your income, it can also leave you with little to no downtime, and that could potentially do harm to your relationships. You could also end up neglecting your primary job because you find your side hustle to be more interesting (or you’re just plain tired).
If your primary job pays well, you may be better off putting in extra hours there — in hopes of getting a promotion or a raise — as opposed to devoting energy to a lower-paying side hustle.
Besides, as time goes on, that fun side gig may start to feel more and more like a legitimate job. And even if it’s a side hustle, it still comes with all the same responsibilities as your primary job — perhaps even more so, since you’re also responsible for taxes, accounting, insurance and potential legal matters.
If you’re depending on passive income or even investments to boost your income, you’ll probably discover that they’re not truly passive, as most require substantial upfront and ongoing work.
Read More: The average net worth of Americans is a surprising $620,654. But it almost means nothing. Here’s the number that counts (and how to make it skyrocket)
For instance, setting up a successful portfolio can take time and research, and at least occasional monitoring and rebalancing. Similarly, real estate can take substantial time and effort to acquire and generally requires ongoing maintenance and property management, which could include dealing with tenants (and that could be a lot of work).
Respondents to the MyPerfectResume survey say that sustaining a side income has led to a decline in health (21%), less time for family hobbies (20%) and an increase in burnout (15%). Yet more than a quarter (28%) are adapting, and report that their workload now feels “very sustainable.”
While the extra cash is a major plus, there are other benefits of a side hustle that aren’t monetary.
For example, a side gig “can give you a competitive advantage in your career,” psychology expert and author Alice Boyes writes in Psychology Today, arguing that a side hustle can help you develop skills that others on your career trajectory may not possess (2). “This can help you become unique in your main career since you’ll bring those new skills and perspectives to your core work role.”
A side hustle can also diversify “your sources of self esteem” and “make you more resilient to knock backs,” writes Boyes. So, if you’re struggling at your day job but your side hustle is bustling, “it can be easier to cope with your work-related frustrations, disappointments and setbacks.”
A side gig might also allow you to use a different part of your brain or body (depending on the job), helping to prevent mental fatigue or physical injury. It could also provide you with an opportunity to hang out with new, interesting people, build your network and give you more balance and perspective (especially if you’re a workaholic).
Regardless of the pros and cons of side hustles, the need for secondary income sources seems like it’s here to stay. In fact, most respondents (71%) in the MyPerfectResume survey believe side incomes will become more common among U.S. workers next year (1).
Join 250,000+ readers and get Moneywise’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
MyPerfectResume (1); Psychology Today (2).
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
-1024x683.jpg "Judge Who Helped Violent Illegal Alien Evade ICE Faces New Test")
-1024x683.jpg "Montana Puts Democrats in a Bind as Senate Hopes Fade")
