ATLANTA, Aug. 27, 2019 /PRNewswire/ -- Eighty-one
percent of Americans who currently have a side gig are interested
in taking it full-time, according to a recent SunTrust survey. More
than half of Americans (54%) report having a side hustle at some
point to generate extra money, pulling in $8,794, on average per year. With these
additional funds, people are able to pursue their #bestlife
on their own terms.
On average, millennials are making almost 20% more per year
($10,972) from their side hustles
than Gen Xers ($8,791) and 46% more
than Boomers ($5,892). The top
reason for pursuing a side hustle among millennials is to generate
additional income for saving purposes (46%), while the top reason
among Gen Xers and Boomers is to make additional money for leisure
activities (43% and 47%).
"There's a reason the gig economy is so hot – it can be fun and
financially fruitful," said Brian
Ford, financial well-being executive at SunTrust. "For some,
a side hustle is a creative outlet outside of the daily grind. For
many others, it's a means to achieving the financial confidence and
freedom to live life on their own terms. Whether the goal is to
earn extra cash or take a side gig full-time, there are tools and
services to help people propel their side hustle forward."
So, what gets in the way of taking a fringe earning situation
full time?
The overwhelming majority of those looking to make their side
hustle their main gig (83%) face obstacles, from not having enough
time to dedicate to it (36%) to not having enough financial capital
(30%).
SunTrust offers the following tips to help would-be full time
entrepreneurs make the grade in the school of side hustle:
- Time the Tipping Point: Determine when it is best to
take a side hustle full time by weighing the trade-off of investing
more time on your side gig versus your primary income source. Be
mindful of the opportunity cost of sacrificing the stability of
your total compensation package for unpredictable earnings
potential.
- Focus on the Fund-amentals: Make sure to develop an
initial business plan, goals and competitive strategy, and decide
how to fund your business and pay yourself. You'll also want to
include business cash projections and their reliability along with
other funding sources.
- Study the Setup: Determine the best legal structure for
your business in conjunction with business advisors, such as an
attorney and CPA. You'll also want to understand regulatory issues
in your industry, file appropriate permits and licenses and
register your business and domain name.
- Build a Budget: Develop a budget and use it to regularly
track your progress against planned revenues and expenditures. A
budget will also allow you to view financial priorities and targets
and measure actual business performance against projections. These
types of guardrails are critical when you are busy, and
cash-on-hand can't absorb cost overruns.
- Track Your Finances: Separate personal and business
finances with a business checking account. Set up online and mobile
bank account access to monitor your daily cash position, pay bills
and make easy transfers.
- Bank on Bookkeeping: Set up financial software to
establish good bookkeeping habits and automate recordkeeping.
Considering linking your business checking account and your
financial software so you can easily record income and expenses,
track receivables, pay bills and manage inventory.
- Work the Perks: Use credit or purchasing cards for
expenses. Business credit cards offer tools to easily identify
costs and manage employee spending limits and track usage. Online
account access provides greater visibility into daily spending, and
some cards even offer reward points or cash back on certain
transactions.
- Set Up for Sales: Ramp up revenue faster than costs and
expenses by focusing on actions that have the greatest impact on
sales and building a customer base during the crucial early
days.
SunTrust recently introduced its 21-day #bestlifechallenge, a
social campaign to help people get on track toward achieving the
financial confidence to live their dreams.
"As someone who took my photography side hustle into a full-time
career, I knew that confidence in myself, my craft and my finances
would be pivotal in this big decision to start my own business,"
said Evan Ranft, a professional
photographer based in Atlanta.
"Participating in the #bestlifechallenge has allowed me to take a
closer look at smarter ways to budget so that I can live my best
life on my own terms, whether I'm saving up for a new camera lens
or crossing a new destination off of my travel bucket list."
For resources to help take your side hustle to the next level,
visit SunTrust's Small Business Best Practices site. You
can also level up your financial confidence by joining the
#bestlifechallenge at onup.com.
Survey Methodology
This survey was conducted online within the United States by The Harris Poll on behalf
of SunTrust from July 16 – 18, 2019
among 2,028 U.S. adults ages 18 and older, among whom 1,116 ever
had a side hustle. The survey defines millennials as those age
23-38, Gen Xers age 39-54 and Boomers age 55-73. This online survey
is not based on a probability sample and therefore no estimate of
theoretical sampling error can be calculated.
About SunTrust Banks, Inc.
SunTrust Banks, Inc. (NYSE: STI) is a purpose-driven
company dedicated to Lighting the Way to Financial Well-Being for
the people, businesses, and communities it serves. SunTrust leads
onUp, a national movement inspiring Americans to build financial
confidence. Headquartered in Atlanta, the Company has two
business segments: Consumer and Wholesale. Its flagship
subsidiary, SunTrust Bank, operates an extensive branch and
ATM network throughout the high-growth Southeast and Mid-Atlantic
states, along with 24-hour digital access. Certain business lines
serve consumer, commercial, corporate, and institutional clients
nationally. As of June 30, 2019, SunTrust had total
assets of $222 billion and total deposits of $161
billion. The Company provides deposit, credit, trust, investment,
mortgage, asset management, securities brokerage, and capital
market services. Learn more at suntrust.com.
View original
content:http://www.prnewswire.com/news-releases/suntrust-survey-many-americans-interested-in-taking-their-side-gigs-full-time-300907711.html
SOURCE SunTrust Banks, Inc.