A new report indicates that there is an emerging disconnect among millennials, with 52 percent engaging in side hustles at work, and 46 percent not taking on extra work.
The data comes from a recent study from Academized.com, which surveyed 2,500 millennials aged 26 to 41.
Side hustles, or polyworking, has risen in popularity in recent years, in tandem with the growth of the gig economy. More women report polyworking: 52% are female, compared to just 38% of men.
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Rise of the overemployed
During the pandemic and post-pandemic period, aided by the move to remote work, reports emerged of tech workers in particular taking on more than one full-time role. They became dubbed the ‘overemployed’, often keeping their second job a secret from their primary full-time role.
Even if a second full-time job sounds like a move too far, it is still easier than ever to pick up extra work. Thanks to platforms like Upwork and Fiverr, professionals can sign themselves up for freelance work relevant to their skills and experience.
But why are Americans embracing side hustles with such gusto? Unsurprisingly, the answer lies mainly in a push for economic stability.
According to the American Bar Association, between 1979 and 2019, the bottom 90 percent of U.S. workers experienced wage growth that was slower than the economy-wide average.
“Top wage earners (mostly in finance and corporate management) and owners of capital reaped large rewards made possible only by this anemic wage growth for the bottom 90 percent,” the Association says.
The so-called ‘squeezed middle’ is also feeling the pinch. Wage growth for this cohort has been sluggish too, with median pay rising just 13.7 percent from 1979 to 2019.
As a result, fewer millennials are in the middle class compared to previous generations. By contrast, 70 percent of baby boomers were middle class in their 20s, but only 60 percent of millennials achieved the same status, according to an OECD report.
Cost of living a factor
With lower wage growth, fluctuating inflation and a rising cost of living, it’s no wonder that millennials are looking for some extra cash on the side.
Groceries, in particular, have become much more expensive since 2020, according to the USDA. It says that food prices in May 2025 were 2.9 percent higher than in May 2024, rising faster than overall inflation.
That’s on top of food price rises of 3.9 percent in 2021, 9.9 percent in 2022, 5.8 percent in 2023, and 1.9 percent in 2024.
Eggs, in particular, have been subject to price hikes, and while cost fell in June, they are still up more than 27 percent in the past year.
Side hustles definitely help to fill the gap, according to the Academized.com survey.
On average, millennials earn $12,689 each year from freelance or side jobs. Workers with high-demand tech skills can earn an additional $45,000, with lower-skilled workers taking home an extra $1,200 annually.
Every little helps, and 41 percent say their side hustle has helped to ease their financial pressure.
For some, the economic benefits aren’t the only motivation. Twenty-four percent say their side hustle is part of their wider interests and creativity, with 17 percent saying it’s helping them witty career advancement. Another 12 percent cite entrepreneurship and personal branding as their motivation.
Side hustle downsides
Extra money is great for many polyworkers, but there can be significant downsides. Managing multiple jobs, priorities and responsibilities can take a toll, as well as take up a lot of time.
In fact, 64 percent of those undertaking side hustles spend between 5 and 20 hours on them per week.
That’s leading to burnout, with 42 percent of respondents saying they’re exhausted due to extended work hours and the stress of juggling the transition between roles.
Overwork can have other knock-on effects too, with 26 percent report strained personal relationships, and 19% experience declining performance in their primary role.
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