Canadians look to side hustles to make up for inflation pressure, but at what cost?

MONTREAL –

Canadians’ budgets are being stretched skinny as the price of residing climbs — and to compensate, some are taking over a facet hustle.

From reselling used objects or canine strolling to taking shifts driving for supply companies and performing as a model ambassador, there are many methods to earn some additional money.

Erin Rappaport, a Montreal-based human sources generalist, has made extra cash in just a few other ways.

Rappaport has labored as a model ambassador for numerous corporations, providing free samples and proving product info at well-known websites round Montreal such because the Bell Centre.

She additionally makes use of reselling platforms reminiscent of Poshmark and Facebook Marketplace to promote used footwear, clothes and furnishings from round the home.

“I have weeks where I have four sales and then sometimes I have none, it really depends,” stated Rappaport.

New information from skilled service firm Accenture discovered that 41 per cent of Canadians plan to take up a facet hustle reminiscent of babysitting, canine strolling, and promoting objects on-line to earn extra earnings earlier than the vacations.

Another 39 per cent stated they’d tackle extra work hours to make up the additional money, in accordance with the survey of 1,510 Canadians who had bought an merchandise for private use within the final six months.

Whether it’s to economize in the long run or the quick time period, the very first thing to do is to point the strain level of a price range, stated Anne Arbour, spokeswoman of the Credit Counselling Society

Then, perceive how a lot time is obtainable for the facet hustle and what strengths could possibly be used to make extra earnings, stated Arbour.

However, there are extra elements to think about in pursuit of extra earnings reminiscent of reporting the earnings and claiming deductions and ensuring there’s not a battle of curiosity with a major supply of earnings.

“If the purpose of this is to improve your financial situation check that the extra income isn’t putting you in a higher tax bracket, so you might inadvertently be hurting yourself more than helping yourself,” stated Arbour.

Having a facet hustle grew in reputation when many individuals had extra time on their fingers throughout COVID-19 lockdowns. And for individuals who had been laid off in the course of the pandemic, their facet hustle turned a full-time actuality.

One facet hustle that turned significantly fashionable in the course of the pandemic was gig economic system work reminiscent of driving for a trip share firm or a meals supply service.

In 2017, Jennifer Scott started working full-time as a motorcycle service, delivering meals for quite a lot of supply apps in Toronto, and has some phrases of warning for these with ideas of becoming a member of the trade.

Often having to navigate visitors and difficult climate situations, Scott stated she injured her knee and needed to change to delivering on foot.

“I am constantly reminded that if I’m hurt at work when I’m delivering in these conditions, I have nobody, I have only myself to try and figure out how to deal with that,” stated Scott.

Workers within the gig economic system are thought of personal contractors, which implies they aren’t entitled to comparable employment protections as different employees.

“There are no sick days there,” stated Scott. “There’s no insurance, there’s nothing.”

Arbour stated that when selecting up an extra supply of earnings, it is very important verify with insurance coverage to see what must be lined.

But for some, reminiscent of Scott, extra protections for the job reminiscent of personal well being care are a luxurious.

“For folks who have that, that’s excellent, but for most people who do this work, it’s not possible,” stated Scott.

Whether it’s delivering meals or taking over shifts as a model ambassador, it must be thought of that when mixed with a full-time job, the additional work hours could result in burnout or exhaustion.

While taking over a facet hustle whereas working full-time is tiring, Rappaport stated that it’s the extra cash that retains her going.

This report by The Canadian Press was first revealed Dec. 6, 2022.