Defining Gig Work Once And For All

Growing up, I had always thought that I could only ever be a full-time, salaried employee or a full-time entrepreneur. Business relationships, then, were straightforward; I would always be the employer or employee in any given professional relationship.

It wasn’t until I found the online world of freelancing and side hustles that I learned about gig work. I tested out the waters and immediately fell in love with the flexibility, networking opportunities, and career growth it provides.

And that’s how I got here. For those people looking to get into this spectacular capitalistic jungle, this piece is for you. Here’s everything you need to know about gig work (and how you can get your foot in the door).

What is Gig Work?

Gig work, by definition, is simply non-standard income-earning activities. The range of activities that a gig worker could participate in includes everything from DoorDash to high-level Business Consultancy.

Funnily enough, you could argue that most businesses are just large-scale gig workers. For example, the difference between Ogilvy and myself, a freelance content marketer, lies mainly in our access to resources and experience. Our basic functions, serving clients and creating revenue-generating content, remain the same. Ogilvy just has more employees, better branding, and more experience than I do.

There are three major approaches to defining gig work; these are as follows:

Work Arrangement

In your standard employer-employee relationship, one will always know what to expect of the other. An employee will come in for 8 hours a day, five days a week, for a total of 40 hours a week. The employer will assign the employee tasks to do within that time. If tasks are not assigned, the employee is expected to take the initiative and come up with something that would help the company.

When you’re working a gig, you’ll likely be working on a temporary or per-project basis. Gig workers are often hired to complete a particular task for a specific period of time. This type of work includes freelancing, temp work, self-employment, and subcontracted work.

Nature Of Work

Now, don’t think that I forgot our beloved DoorDashers and Uber drivers. One could also define contract workers based on the nature of the work one does. Blue-collar gig workers perform manual labor tasks and are often paid by the hour or on a piece basis. White-collar gig workers often take clerical, administrative, or consultancy roles.

Each classification will come with its own pros and cons. Blue-collar gig workers, for example, have more control over their time and schedule. They are able to work on the weekends and are generally left to their own devices.

On the other hand, white-collar gig workers will have less control over the work they do. They’ll work in close collaboration with a company’s in-house teams, so it would be harder to work at night or on the weekends. However, they do, on average, get paid more than their blue-collar counterparts.

Legal Classification

The final approach to defining gig workers would be based on the legal forms that they use for employment. Gig workers could either be payroll employees and provided with form W-2 or independent contractors and provided with a form 1099.

W-2 vs. 1099 Forms For Gig Workers

Here’s a breakdown of the two common forms that people use for gig workers.

W-2 Forms

The W-2 form is a United States federal wage that an employer gives to its employees. Temp agencies and subcontracted work fall under W-2 work, though the W-2 is often issued by the contracting company rather than the company to whom the gig worker report for work. In short, the W-2 is a tax form issued to payroll employees and subcontractors, where it is used to report an employee’s taxable compensation and tax withholding.

1099 Forms

Gig workers operating as independent contractors receive 1099 forms where the operator performs services for a company without being directly employed. This form is used to list the gross payments made to independent contractors. As Per the IRS guidelines, employers are required to issue 1099 forms to independent contractors who’ve earned more than $500 in non-employment compensation in a year.

Who Is Gig Work For?

I’m going to be honest here. The internet has glorified side hustles and gig work far too much. Now, don’t get me wrong. Gig work and side hustles are great for people looking to earn a little extra income on the side, but there are situations where you’re likely better off focusing on your career or something else.

Here are some reasons why you should get a side hustle:

When You Need Added Income

Obviously, the vast majority of gig workers are financially motivated. On the low end, DoorDash drivers can earn an hourly salary of anywhere from $17-$20/hour, though you will have to pay for your own gas and car maintenance. For high-skilled work, you could expect as much as $90-$100/hour for consultancy.

It’s that lucrative.

When You’re Looking To Build Skills

Building personal skills is another great reason for someone to get into gig work. Whether it’s time management, organizational skills, or something more technical, there’s always something valuable to learn as you finish more projects. This would also look great on a resume; it shows initiative, a willingness to learn, and an entrepreneurial drive that most businesses would love their employees to have.

When You Want To Switch Careers

Gig work also allows you to build the skills required to switch careers. Without the skills and experiences that you’re bound to learn from gig work, you’d have to start from an entry-level position and work your way up. By showing that you’ve mastered the basics and foundational skills needed for the job, you show that you have the capability to take on higher responsibilities.

And here are some reasons why you shouldn’t get a side hustle:

When You Lack The Time and Energy

You’re not always going to have the time and energy to work on an extra side hustle. Sometimes, you’ll have responsibilities that precede the need to make extra cash on the side.

When You Can’t Take On Risks

Nothing comes without risks. For one thing, you won’t be making anything near your full-time salary position when you first start out. As you start, you’ll quickly find that getting the first gig, especially one in a white-collar setting, is a lot like moving mountains. There will be risks that you have to take; you won’t make much starting out, so be prepared for that.

Finding Your First Gig

So, with all that talk on gig work, you’re probably getting excited to get started. Here are some gig work ideas for you to get started.

Pet Care: If you love taking care of pets, why not try your hand at pet care/dog walking? This guy makes over $100,000 a year as a dog walker in NYC. To get started, figure out where all the dog owners like to stand around and get to networking!

Virtual Assistant: Now, I’m not the most organized person, so I have needed someone to come in and help me out with the organization. A virtual assistant can make as much as $27/hour. It’s not the most dynamic job, but if you’re skilled at getting people’s lives together and scheduling, why not give it a shot?

Moving and Delivery Services: Looking for something physical to do so you could get out of the house and earn a living on the side? Try out moving and delivery services. You could either work part-time for a larger organization or get started on your own.

Web Development and Design: If you’re interested in building something and putting it online, try your hand at web development and design. To get started, join a boot camp or do a free coding course — I recommend freecodecamp.org! Make sure that you come out of the course with either a certificate or a capstone project.

Event Support: You could offer assistance in setting up and taking down event equipment, such as tents, stages, or lighting. There are lots of promoters looking for event help, and it’s a great way to get a free ticket and network.

Online Tutoring: I recommend online tutoring for high school and college students’ resumes. I’ve personally never tutored online, but my sister dabbled. She was doing well with one-on-one teaching. It gave her a side income and padded her resume. She got into her dream college.

Virtual Coaching: Take your online tutoring up a notch and do some virtual coaching and consultation. You’ve probably seen this on social media before, so you probably think that these virtual coaches are scammers and don’t teach anything of value. You’re wrong; real coaches can create ROI for their students. Plus, they’re invited over and over again as speakers and consultants. How do you think guys like Gary Vee and Tony Robbins make bank?

Originally published at https://monasticspaces.com on June 26, 2023.