{
  "source": "RevenueLab",
  "source_url": "https://www.revenuelab.fyi",
  "dataset": "state_of_side_income_2026",
  "report_url": "https://www.revenuelab.fyi/blog/state-of-side-income-2026",
  "updated": "2026-09-03",
  "currency": "USD",
  "country": "United States",
  "license": "CC BY 4.0 with attribution to RevenueLab.fyi",
  "citation": "RevenueLab — State of Side Income 2026 (https://www.revenuelab.fyi/blog/state-of-side-income-2026)",
  "methodology": "Assembled from published gig/resale/freelance platform payout and fee schedules, vehicle cost modeling (IRS-standard-mileage-equivalent depreciation, fuel, insurance, maintenance), anonymized aggregated RevenueLab calculator inputs, and published freelance and trades rate surveys. Medians reported (side income is right-skewed). Tax figures assume a 22% marginal federal bracket, 15.3% self-employment tax on 92.35% of net profit, and deductible expenses at 15% of gross; state tax excluded. Directional planning benchmarks, not tax or financial advice.",
  "headline_findings": [
    "Vehicle-based gig work converges on $15-$17 net per hour regardless of platform, because the vehicle sets the cost floor.",
    "Skilled service work clears $30-$72 net per hour because its expense ratio is under 15%.",
    "Time-to-first-dollar predicts quit rate better than income: the two paths with 6+ month payback have the two highest six-month quit rates (63% and 71%).",
    "Median month-6 monthly income: $1,860 trades, $1,380 freelance services, $1,150 STR co-hosting, $740 gig driving, $120 creator work.",
    "Taxes take roughly 18% of gross side income at a 22% marginal bracket after typical deductions; set aside 25-30%.",
    "Trades side work has the best risk-adjusted profile: $46.50 net/hour, 2-8 week breakeven, 22% quit rate."
  ],
  "hourly_economics": [
    {
      "path": "Rideshare driving",
      "gross_hourly_usd": 25.4,
      "expense_ratio_pct": 38,
      "net_hourly_usd": 15.7,
      "weeks_to_first_dollar": 1,
      "ceiling": "low"
    },
    {
      "path": "Food delivery",
      "gross_hourly_usd": 21.8,
      "expense_ratio_pct": 31,
      "net_hourly_usd": 15,
      "weeks_to_first_dollar": 1,
      "ceiling": "low"
    },
    {
      "path": "Grocery shopping/delivery",
      "gross_hourly_usd": 23.1,
      "expense_ratio_pct": 28,
      "net_hourly_usd": 16.6,
      "weeks_to_first_dollar": 1,
      "ceiling": "low"
    },
    {
      "path": "Freelance writing",
      "gross_hourly_usd": 42,
      "expense_ratio_pct": 8,
      "net_hourly_usd": 38.6,
      "weeks_to_first_dollar": 5,
      "ceiling": "medium"
    },
    {
      "path": "Freelance design",
      "gross_hourly_usd": 56,
      "expense_ratio_pct": 11,
      "net_hourly_usd": 49.8,
      "weeks_to_first_dollar": 7,
      "ceiling": "medium"
    },
    {
      "path": "Freelance development/data",
      "gross_hourly_usd": 78,
      "expense_ratio_pct": 7,
      "net_hourly_usd": 72.5,
      "weeks_to_first_dollar": 8,
      "ceiling": "high"
    },
    {
      "path": "Bookkeeping / admin VA",
      "gross_hourly_usd": 34,
      "expense_ratio_pct": 9,
      "net_hourly_usd": 30.9,
      "weeks_to_first_dollar": 5,
      "ceiling": "medium"
    },
    {
      "path": "Tutoring (in-person)",
      "gross_hourly_usd": 38,
      "expense_ratio_pct": 12,
      "net_hourly_usd": 33.4,
      "weeks_to_first_dollar": 2,
      "ceiling": "medium"
    },
    {
      "path": "Online tutoring (platform)",
      "gross_hourly_usd": 22,
      "expense_ratio_pct": 20,
      "net_hourly_usd": 17.6,
      "weeks_to_first_dollar": 2,
      "ceiling": "low"
    },
    {
      "path": "Reselling (thrift to online)",
      "gross_hourly_usd": 27,
      "expense_ratio_pct": 55,
      "net_hourly_usd": 12.2,
      "weeks_to_first_dollar": 2,
      "ceiling": "medium"
    },
    {
      "path": "Print-on-demand / digital products",
      "gross_hourly_usd": 19,
      "expense_ratio_pct": 35,
      "net_hourly_usd": 12.4,
      "weeks_to_first_dollar": 14,
      "ceiling": "high"
    },
    {
      "path": "Short-term rental co-hosting",
      "gross_hourly_usd": 44,
      "expense_ratio_pct": 15,
      "net_hourly_usd": 37.4,
      "weeks_to_first_dollar": 8,
      "ceiling": "high"
    },
    {
      "path": "Handyman / trades side work",
      "gross_hourly_usd": 62,
      "expense_ratio_pct": 25,
      "net_hourly_usd": 46.5,
      "weeks_to_first_dollar": 2,
      "ceiling": "high"
    },
    {
      "path": "Pet sitting / dog walking",
      "gross_hourly_usd": 24,
      "expense_ratio_pct": 14,
      "net_hourly_usd": 20.6,
      "weeks_to_first_dollar": 2,
      "ceiling": "low"
    },
    {
      "path": "Content / creator work",
      "gross_hourly_usd": 11,
      "expense_ratio_pct": 22,
      "net_hourly_usd": 8.6,
      "weeks_to_first_dollar": 52,
      "ceiling": "very high"
    }
  ],
  "startup_and_breakeven": [
    {
      "path": "Rideshare / delivery",
      "startup_cost_usd": [
        0,
        200
      ],
      "weeks_to_breakeven": [
        1,
        1
      ],
      "month6_monthly_income_usd": 740,
      "quit_rate_month6_pct": 41
    },
    {
      "path": "Freelance services",
      "startup_cost_usd": [
        0,
        400
      ],
      "weeks_to_breakeven": [
        2,
        6
      ],
      "month6_monthly_income_usd": 1380,
      "quit_rate_month6_pct": 36
    },
    {
      "path": "Tutoring",
      "startup_cost_usd": [
        0,
        150
      ],
      "weeks_to_breakeven": [
        1,
        3
      ],
      "month6_monthly_income_usd": 620,
      "quit_rate_month6_pct": 29
    },
    {
      "path": "Reselling",
      "startup_cost_usd": [
        150,
        900
      ],
      "weeks_to_breakeven": [
        4,
        10
      ],
      "month6_monthly_income_usd": 510,
      "quit_rate_month6_pct": 52
    },
    {
      "path": "Digital products",
      "startup_cost_usd": [
        100,
        600
      ],
      "weeks_to_breakeven": [
        10,
        24
      ],
      "month6_monthly_income_usd": 390,
      "quit_rate_month6_pct": 63
    },
    {
      "path": "Short-term rental co-hosting",
      "startup_cost_usd": [
        0,
        500
      ],
      "weeks_to_breakeven": [
        6,
        14
      ],
      "month6_monthly_income_usd": 1150,
      "quit_rate_month6_pct": 44
    },
    {
      "path": "Trades side work",
      "startup_cost_usd": [
        300,
        3000
      ],
      "weeks_to_breakeven": [
        2,
        8
      ],
      "month6_monthly_income_usd": 1860,
      "quit_rate_month6_pct": 22
    },
    {
      "path": "Creator / audience-based",
      "startup_cost_usd": [
        200,
        1500
      ],
      "weeks_to_breakeven": [
        26,
        78
      ],
      "month6_monthly_income_usd": 120,
      "quit_rate_month6_pct": 71
    }
  ],
  "tax_burden": [
    {
      "annual_side_income_usd": 3000,
      "se_tax_usd": 424,
      "federal_income_tax_usd": 566,
      "deduction_offset_usd": 450,
      "approx_take_home_usd": 2460
    },
    {
      "annual_side_income_usd": 6000,
      "se_tax_usd": 848,
      "federal_income_tax_usd": 1133,
      "deduction_offset_usd": 900,
      "approx_take_home_usd": 4919
    },
    {
      "annual_side_income_usd": 12000,
      "se_tax_usd": 1695,
      "federal_income_tax_usd": 2267,
      "deduction_offset_usd": 1800,
      "approx_take_home_usd": 9838
    },
    {
      "annual_side_income_usd": 24000,
      "se_tax_usd": 3391,
      "federal_income_tax_usd": 4533,
      "deduction_offset_usd": 3600,
      "approx_take_home_usd": 19676
    },
    {
      "annual_side_income_usd": 50000,
      "se_tax_usd": 7065,
      "federal_income_tax_usd": 9447,
      "deduction_offset_usd": 7500,
      "approx_take_home_usd": 40988
    }
  ],
  "motivation_profiles": [
    {
      "situation": "Debt payoff sprint",
      "common_first_path": "Delivery / rideshare",
      "median_monthly_target_usd": 800,
      "median_hours_week": 12,
      "common_stop_reason": "Burnout once the balance clears"
    },
    {
      "situation": "Filling an income gap",
      "common_first_path": "Freelance services",
      "median_monthly_target_usd": 1200,
      "median_hours_week": 10,
      "common_stop_reason": "Converts to full-time or client churn"
    },
    {
      "situation": "Building an exit plan",
      "common_first_path": "Freelance to productized",
      "median_monthly_target_usd": 2500,
      "median_hours_week": 15,
      "common_stop_reason": "Time conflict with day job"
    },
    {
      "situation": "Retirement top-up",
      "common_first_path": "Tutoring / consulting",
      "median_monthly_target_usd": 600,
      "median_hours_week": 6,
      "common_stop_reason": "Seasonality"
    },
    {
      "situation": "Extra saving with kids at home",
      "common_first_path": "Reselling / POD",
      "median_monthly_target_usd": 400,
      "median_hours_week": 6,
      "common_stop_reason": "Inventory and time drag"
    }
  ],
  "caveats": [
    "US-only. Excludes state and local income tax.",
    "Net hourly figures assume typical expense loads; individual vehicle age, market density, and platform mix move them materially.",
    "Quit rates are modeled six-month attrition, not survey-verified panel data.",
    "Nothing here is tax, legal, or financial advice."
  ],
  "related_calculators": [
    "https://www.revenuelab.fyi/rideshare-driver-earnings-calculator",
    "https://www.revenuelab.fyi/freelance-rate-calculator",
    "https://www.revenuelab.fyi/self-employment-tax-calculator",
    "https://www.revenuelab.fyi/gig-economy-tax-calculator"
  ],
  "related_datasets": [
    "https://www.revenuelab.fyi/api/public/gig-driver-earnings.json",
    "https://www.revenuelab.fyi/api/public/state-of-creator-earnings-2026.json",
    "https://www.revenuelab.fyi/api/public/state-income-tax.json"
  ]
}