Increasingly, a so-called 9-5 job simply isn’t enough for households to make ends meet. This has been the case for a while in the case of stagnant wage growth, but rising fuel prices and a potential inflation target of 4% will exacerbate the challenges facing Brits nationwide.
With the base interest rate in the UK also fixed at a record low of 0.1%, it’s becoming increasingly clear that households must prioritise earnings rather than savings in a bid to boost their current financial circumstances.
The question that remains, of course, is how can you create a secondary income with a side hustle? Here are some key considerations.
What’s a Side Hustle? And Which Option is Best for You?
As the name suggests, a side hustle is a job or project that’s carried out alongside a 9-5 (or similar) job, in a bid to boost your earning potential and create more disposable income.
This means that the best side hustle tends to be accessible and affordable, while you should prioritise passive income streams where possible in order to make the most of your time and achieve a superior work-life balance.
However, there’s a broad range of side hustles available, so which option is best for you in the current climate?
#1. Forex or Indices Trading.
If you’re in the market for a passive income stream, you should consider trading various financial markets and asset classes as 2021 draws to a close.
Sure, you’ll need to build theoretical knowledge and a keen sense of determinism prior to trading the markets, while contemporary trading platforms offer access to a ‘demo account’ through which you can seamlessly trade a vast array of asset classes.
These include forex and indices, which allow for speculative trades which enable you to profit even as markets depreciate in value.
There’s no doubt that indices trading can be particularly lucrative in the current climate, as you can speculate on relatively diverse indexes while simultaneously minimising your capital’s exposure.
The size of the gig economy has doubled recently to more than 4.7 million people, with this highlighting both the popularity of freelancing and the demand for certain types of service.
Increasingly, businesses are keen to create agile and flexible workforces, which are structured and staffed according to the demands of individual projects.
This creates greater demand for people with a select set of marketable skills, including copywriting, web design, SEO and social media management.
#3. Drop Shipping.
Last, but not least, we have drop shipping, which enables you to work as a facilitator between suppliers and the customers on ecommerce workplaces like Wish and Amazon.
In this instance, you’ll buy desired products at wholesale prices before organising their shipment straight to the designated consumer, retaining the difference between your price premium and the retail price as a profit.
This can deliver incremental returns over time, although it is a slightly time-consuming and non-passive income stream.