Is Gig Work Right for you? The Pros and Cons
Today’s economy often requires finding ways to handle fluctuations in your income and expenses. Whether you’re just out of college and building a career or entering retirement, there is a gig job out there that likely meets your skill set. In fact, more than 70.4 million Americans have done some type of freelance work in 2025. While gig work can be lucrative, it can also involve more headaches than you might want for the extra cash. Exploring the pros and cons of taking on a gig job helps you make the best decisions for your future.
Pro: Enjoy Flexible Hours
One of the main reasons why people flock to gig work is to make better use of their time off. Many types of gig work allow you to pick up jobs as you choose. Being able to earn money on the weekends, late at night or during other pockets of spare time is a major asset.
Con: Consider the Cost of Insurance
If you choose gig work as your primary occupation, then you might face the issue of lacking health insurance from your regular employer. Gig workers are also typically expected to pay for the cost of auto insurance, especially if you choose a ride-sharing job. Even if you currently have insurance, you might need additional coverage to make sure you are protected during the course of doing gig work.
Pro: Make Money Doing Things You Love
Gig jobs can cover a broad range of activities. You might enjoy shopping for other people in your community. You may love driving, and taking people to where they need to go gives you a chance to chat with clients you’ve never met before. You could also choose to play gigs as a musician or pick up jobs that involve doing random tasks for fun. Being able to turn your favorite activities into money-making opportunities is a big bonus.
Con: Lack of Protection Under Employment Laws
As an independent contractor, you will not be protected by many local employment laws. In many states, including Washington, employees are entitled to over-time pay when they work more than 40 hours a week. Gig workers are generally classified as independent contractors and our not eligible for over-time pay.
Pro: Gain Additional Work Experience
You might want to do gig work to dip your toe into a new type of occupation. Performers often take on gigs to spread the word about their talent and gain confidence on stage. Meanwhile, you might want to use a gig job to see how you like driving or working in a retail store. Since gig jobs can help fill in employment gaps, many at-home parents choose to work a few hours each week to maintain a current job history.
Con: Face Potential Tax Challenges
Since most gig jobs are independent contractor positions, you could also face potential tax changes. Many of these types of jobs require you to pay a self-employment tax that is different from what you may have experience with handling. Making sure that you have legal assistance with tax preparation can also help you overcome this potential pitfall, provided that you make enough extra income for it to be worth it.
Whether or not a gig job is worth it depends on your needs and available resources. Treating your gig job with the same degree of caution and care you would your primary occupation helps you avoid falling prey to the downfalls. Once you begin a new gig, take time to assess how well it is working for you. By focusing on avoiding accidents and other challenges, you can turn your gig job into an opportunity to successfully boost your income.
