From the gas pump to housing costs, the economic news is everywhere we turn. Another term we often hear is how we are living in a “gig economy” and it’s primetime for making extra money on the side for either offsetting inflation or padding our bank accounts. But what exactly does this mean? And more importantly, how can we take advantage of a gig economy for our own wallets?
A gig economy simply refers to an abundance of freelance or contract work to fulfill work needs, as opposed to permanent jobs. Our economy is now relying on these short-term, non-contractual options to keep business moving forward. The work landscape has changed significantly over the last several years, especially in the wake of the pandemic when so many workers had to find work elsewhere or use gig work while in between jobs. As a result, the gig economy is thriving.
What is a gig economy job?
Despite the short-term nature of a gig job, it doesn’t mean it has to be a random occurrence that we wait to fall into our laps. Because gig jobs have become part of the norm, it’s led to several companies creating a pool, or network, of gig workers to accomplish a task.
These short-term
job options are typically organized by a larger central organization, such as food delivery apps or a rideshare app like Uber, and dispersed out to any independent contractor willing to take on the project either as a part-time side gig or a full-time job where workers can set their own schedule.
Gig economy jobs don’t have to be organized by an app or a large organization, but the expectation is more and more companies will continue to turn to gig workers as we continue to navigate through a post-COVID economy. So let’s look at some of the best options for those of us who want to take advantage of all the opportunities out there for independent contractors.
Best gig economy jobs
Freelance work
Nothing defines the gig economy better than freelance work. Freelancers are people who take on a short-term job, usually centered around a specific creative skill, to complete a project for another company. Businesses of all shapes and sizes, from individuals to huge corporations, hire freelancers for contract and temporary work. If you’re unsure what skills could work as a freelancer, consider these options:
Getting started in freelance work is often the hardest part because you need a proven track record or some type of portfolio to showcase your skills. One recommendation to get started is to try websites such as Fiverr or
Upwork, which are examples of a gig marketplace where people can list their skills or purchase the use of a skill. To post your services, you can upload your profile and set your own pricing. Eventually, you may be selected for a gig and then you build up a portfolio from there.
Another option is to create your own website, which can often be done for free or a very small amount of money, and create a digital portfolio directly on your site. The disadvantage to this approach is you don’t have the power of an app or marketplace to give you exposure, but it’s still a legitimate way to advertise your skills.
Ridesharing services
Companies like Uber and Lyft have become the mainstays of the gig economy. These ridesharing apps continue to be popular for people who need transportation, no matter where they are in the country and at what time of the day. You can benefit from this by signing up to become a driver for either one and acting as an independent contractor.
Getting started is very simple, you fill out the application online and answer multiple questions. You must have a valid driver’s license and have at least one year of driving experience.
The advantage of driving for companies like Uber and Lyft is that they are so well-known and so many people rely on them daily. While work is never guaranteed, these apps make it possible to find weekly gigs.
Delivery driver
Like ridesharing services, if you have a valid driver’s license and a reliable vehicle, you can use this and earn money. We saw the popularity of food delivery services reach a fever pitch during the pandemic, but many companies still rely on gig workers to perform their delivery work.
There are several apps to choose from where you can sign up to deliver either food or groceries. Some of the more established apps include:
Postmates
Ubereats
Instacart
Shipt
Doordash
Grubhub
Like ridesharing, the hours and demand vary, which means you will earn the most if you’re as flexible with your schedule and hours as possible.
Service providers
From handyman to petsitting, the gig economy is full of short-term jobs for service providers too. These service-type gigs are even easier to come by thanks to apps like TaskRabbit, Care.com, and Rover for pet-sitting and dog walking.
There are other options in the service area too, such as Amazon Flex, which uses independent contractors with a vehicle to deliver packages or groceries to customers. Amazon Flex dispatches the available jobs (if you’re approved) via an app, giving you the option to say yes or no to the opportunity.
Online tutoring
Perhaps you want to make extra money or use your teaching skills to earn extra income via online tutoring. Tutoring is a fantastic way to earn another source of income because there is such a high demand for tutors globally. There are also numerous subjects and types of students to teach, from elementary school kids to adults who are trying to learn another language.
Websites and apps such as Preply.com make it even easier for gig workers to apply to teach online tutoring. If accepted, you can often set your rate and your schedule. You can choose to tutor once a week or make it more of a full-time schedule. If you go with a larger company then chances are the lesson plans, and everything else you need, is provided for you and there is no formal education required.
Online tutoring is typically quite flexible, but there are drawbacks too. Many companies have strict cancellation policies which you should be aware of in case you need to cancel a class. You definitely need super-fast and reliable internet too, otherwise, the tutoring session will be frustrating for both the student and teacher.
Real estate
We are used to booking condos and beach houses through sites like Airbnb all over the country, but you don’t have to live on the coast or in a luxury complex to rent out your place. People need to rent accommodations for a variety of reasons, from attending sporting events or conferences to weekend excursions for the family.
By listing with sites like Airbnb, you can be selective with the dates you choose to list your place and use your real estate as a chance to put extra cash in your wallet.
Pros and cons of gig economy jobs
Now that you have several ideas for making money in the short term, keep these pros and cons in mind when you’re contemplating taking on a task through an app or marketplace.
Quick infusion of cash to help meet your short-term money goals
Flexibility to take jobs when it fits your schedule
Ability to change companies or jobs at any point
Maintain autonomy
Focus on one specific skill or strength
Centralized marketplace gives you a greater likelihood of finding a gig
No benefits such as healthcare, insurance, or other typical company perks
Lack of routine
No guarantees for future work
Solitary work with little team or client interaction
You might be competing with other gig workers in your area for a task or gig
The bottom line
The gig economy has led to a flurry of gig economy apps, where independent contractors or self-employed workers can quickly grab opportunities. Gig work has plenty of advantages, including high earning potential, quick payouts, and flexible scheduling options. While there are great options out there, there are potential downsides too, including no guarantee for future work, lack of consistent routine and schedule, and no benefits. But if these types of opportunities work for you, then a gig economy job may be the convenient — and quick — way to achieve your financial goals.
