Workers earning extra £4,200 a year from side hustles for ‘home ownership or retirement’ | Personal Finance | Finance

Millions of people are making around £350 a year on average from taking on side hustles, according to new research.

This is the equivalent of £4,200 annually with around 10 million Britons making extra money from having a second job.

A survey conducted by F&C Investment Trust is shining new light on who are using side hustles to their financial advantage.

Generation Z, those aged 18 to 23 bring in around £434 per month on average, while millennials earn slightly less at £407 monthly.

Older generations are now taking on side hustles with those between the ages of 58 to 77 bolstering their monthly income by £272.

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This amount would increase a baby boomer’s retirement pot by up to £3,264 annually, based on Standard Life’s figures.

So far, it appears men are banking more on average than their female counterparts from side hustles.

Men bring in an estimated £504 on average every month, while women make significantly less at £247 over the same period

According to the survey of 1,500 respondents, three in five people started their side hustle to survive the cost of living crisis.

Some 27 percent revealed they decided to start another business to pursue a long-term passion project.

Beatrice Hollond, the chair of F&C Investment Trust, discussed the cost of living issues in recent years that have pushed Britons into becoming more entrepreneurial.

She explained: “Our research demonstrates how resourceful individuals can be when faced with adversity.

“There was a surge in the number of side hustles started during lockdown and now, as the cost of living continues to weigh on people’s finances, people are once again looking to monetise their hobbies.

The investing expert noted that side hustles could be useful in getting younger generations onto the property ladder and preparing better for retirement.

Ms Holland added: “A significant proportion [of Brits] are using the additional income generated from their side hustle to combat higher living costs, and it’s encouraging to see some prioritising long-term goals by saving or investing some of this money

“Not only will this keep some financial goals alive, like home ownership or early retirement, but it may also help people reach their ambitions sooner than anticipated.”