Living costs have been soaring since mid-2021. And while there are different factors that can explain that, one obvious one is that Americans received an influx of stimulus aid at a time when supply chains were having issues. That created a disconnect between supply and demand. And any time you have a situation where the former lags behind the latter, there’s the potential for living costs to rise.
It’s not so surprising, then, to learn that 82% of people today who have a side hustle got one to cope with inflation, according to a Neighbor.com survey. And if you did the same, that was a smart move.
But at some point, inflation levels are apt to cool down. And at that point, you may start thinking that it’s time to dump your side hustle. But is that the right choice? Or should you hang onto that gig even if inflation manages to cool?
The case for keeping a side hustle long term
Whenever you have a situation where you’re spending more than you’re comfortable with, whether it’s due to inflation, wedding season, the holidays, or circumstances specific to your life, it’s a good idea to take on a second job. Doing so could help you avoid costly credit card debt and the unfavorable consequences that tend to come with it.
As such, it pays to hang onto your side hustle when inflation is soaring. But even once living costs come down, holding onto that second gig could do a lot of great things for your financial picture.
For one thing, a side hustle can just plain buy you more breathing room. You never know when your cable bill might increase, or when utility rates might rise. So the more you earn, the less you have to worry when it starts costing extra to be you.
