The gig economic system is booming, and it’s not predicted to decelerate any time quickly. Instead of spending day-after-day working a 9-to-5 job, it’s more and more frequent to have a number of earnings sources from freelancing gigs. This work shift permits freelancers to have job flexibility, the place they’ll work when they need and the place they need, as an alternative of following a strict schedule. Not to say, freelance work affords artistic freedom, the flexibility to decide on your purchasers, and means that you can be your personal boss.
So what does the way forward for the freelance neighborhood seem like, and what jobs are you able to select that can pay you effectively? We’ve compiled a complete record of freelance statistics that can assist you higher perceive what it takes to thrive in a gig economic system. Feel free to leap to the infographic for some fast stats.
Note: The information listed beneath is from the Intuit QuickBooks and Gallup 2019 Gig Economy and Self-Employment Report, except in any other case famous.
The Current State of Self-Employment within the U.S.
Self-employment continues to be an necessary supply of earnings for a lot of residents of the United States. Here are some statistics in regards to the present state of self-employment within the U.S. to present you an thought of the place the tendencies are heading.
1. There are at the moment 44 million self-employed people within the United States.
2. Growth in sole proprietors has been the quickest in transportation providers, comparable to taxi providers, with a development price of 722% from 2000 to 2017.
3. Self-employed people earn the very best annual earnings in Northeastern states like New Jersey, Massachusetts, and Rhode Island.
4. 54% of people who find themselves self-employed additionally work in conventional jobs.
5. In 2017, 17% of adults within the United States engaged in self-employed work, which is a rise from the lower than 10% common within the early Nineteen Eighties.
6. 28% of self-employed employees within the U.S. reported to have labored a number of jobs sooner or later in a given week to make additional earnings.
7. A substantial quantity of people who find themselves self-employed accomplish that out of a want — not a necessity — to complement their main supply of earnings.
8. The quantity of people that thought of freelancing as a long-term profession choice elevated from 18.5 million to twenty-eight.5 million between 2014 and 2019. (Fast Company)
9. Self-employed employees are much less happy with their job stability and predictability in comparison with conventional staff.
10. The impartial contractor tax price within the U.S. is at 15.3%.
11. 57% of sole proprietors work in these 5 sectors: skilled providers, restore and private providers, building, retail commerce, and administrative providers.
12. 23% of those that use digital gig platforms to seek out work alternatives are college students. (Pew Research Center)
13. The common self-employed particular person introduced in a mean of $34,751 in annual income in 2017, in comparison with conventional staff who introduced in round $40,800.
14. More than 50% of the workforce within the United States is predicted to be freelancers by the top of 2027. (Upwork)
15. Almost one-tenth of Americans have earned cash within the final 12 months utilizing a digital platform to carry out gig jobs. (Pew Research Center)
16. The U.S. freelance workforce has been rising 3 occasions sooner than the general U.S. workforce since 2014. (Upwork)
17. Around 2% of Americans have made cash driving for rideshare providers like Uber and Lyft. (Pew Research Center)
18. Americans youthful than the age of fifty and people with larger ranges of earnings and schooling usually tend to be on-line sellers. (Pew Research Center)
19. 53% of America’s impartial employees are male. (Statista)
Gig Economy Statistics and Trends To Know
Freelancers primarily earn their cash by working for a number of corporations performing gigs or jobs, as an alternative of committing to work for one firm. This permits freelancers to draw a number of purchasers without delay and work from a wide range of locations. What does the info on freelancing seem like? Here are the freelance statistics it is advisable to know.
20. 50% of freelancers present extremely expert providers comparable to laptop programming, IT, and enterprise consulting. (Upwork)
21. 80percentof main companies plan on drastically rising their use of versatile employees within the coming years.
22. In Deloitte’s annual Global Human Capital Trends report, greater than 33% of corporations surveyed reported utilizing gig employees extensively.
23. For gig employees between the ages of 18 and 34, half of them depend on their gig job as their most important supply of earnings. (Edison Research)
24. 1 in 6 conventional staff need to grow to be a main impartial earner. (McKinsey)
25. In Deloitte’s newest millennial examine, greater than 64% of full-time employees surveyed mentioned they need to do aspect hustles to make additional earnings.
26. 46% of U.S. freelancers say that their present working model offers them the pliability they’re in search of. (Upwork)
27. Independent employees persistently report that they’re much more healthy and happy with working for themselves. (MBO Partners)
28. There are round 170 gig economic system employees within the U.S. that primarily rent distant staff. (CNBC)
29. Approximately 9% of U.S. freelancers use on-demand economic system platforms comparable to Freelancer or Upwork to seek out work alternatives. (Staffing Industry)
30. Freelancers who rely primarily on the earnings they earn from gigs are additionally extra more likely to go for jobs that contain bodily labor reasonably than distant on-line duties. (Pew Research Center)
31. The common age of freelancers is 40 years previous, which is youthful than conventional employees at a mean age of 42. (Forbes)
32. 26% of gig platform customers contemplate themselves staff of the providers they use to seek out work alternatives, whereas 68% view themselves as impartial contractors. (Pew Research Center)
33. 46% of freelancers mentioned they’ll’t have a conventional 9-to-5 job due to private circumstances. (Upwork)
A Snapshot of the Freelance Job Market
34. Among the entire group of freelancers, 30% promote unskilled providers, 26% promote items, and 26% present different providers. (Forbes)
35. There are greater than 1.1 billion freelancers all over the world out of the three.2 billion complete workforce inhabitants. (International Labor Organization)
36. 80% of freelancers work on as much as three tasks concurrently. (Inc.)
37. 83% of full-time freelancers have medical health insurance. (Forbes)
38. Freelancers spent greater than 1 billion complete hours per week working in 2018, up from 998 million hours in 2015. (Forbes)
39. The U.S. has the quickest rising freelance market on the earth, with a 78% development in yearly earnings. (Payoneer)
40. 30% of Fortune 500 corporations rent by varied freelancing platforms like Upwork. (Fortune)
41. 7 out of 10 freelancers say expertise has made it simpler to seek out gigs. (Upwork)
42. Around 60% of freelancers have obtained business-related coaching prior to now six months to sharpen expertise related to their area. (Forbes)
43. 98% of distant employees wish to work remotely for the remainder of their careers. (Buffer)
44. The greatest international locations for freelancing are the U.S., the U.Okay., Brazil, Pakistan, Ukraine, the Philippines, India, Bangladesh, Russia, and Serbia. (CNBC)
45. About half of freelance employees work 30 to 50 hours per week. (Inc.)
46. Full-time freelancers say the very best issues about self-employment are flexibility (77%), not having a boss (77%), and dealing wherever they like. (Forbes)
47. The U.S. gig economic system gross quantity is anticipated to achieve $455 billion by 2023. (Statista)
48. According to the Bureau of Labor Statistics, solely 17% of U.S. freelancers are African American, 16.4% are Hispanic, and 5.8% are Asian.
49. Around 52% of freelancers worldwide have misplaced their job as a result of coronavirus pandemic. (Statista)
50. The variety of gig economic system employees over the age of 65 climbed from 8.5% to 14.1% between 2005 and 2017. (Economic Policy Institute)
51. 92% of freelancers anticipate their work alternatives to proceed to extend within the coming years. (Upwork)
Freelance Statistics Regarding Income and Expenses
52. U.S. freelancers earned practically $1 trillion in 2018, which is equal to five% of the entire U.S. GDP. (Upwork)
53. About 36% of freelancers now make greater than $75,000 yearly. (LinkedIn)
54. Freelancers all over the world earn a mean of $19 per hour. (Forbes)
55. The median annual wage of freelancers with at the least 3 years of expertise is round $70,000. (Nation 1099)
56. 53% of freelancers declare that price is the primary barrier to leveling up their skilled expertise. (Skill Scouter)
57. 60% of freelancers say they earn greater than they did working as conventional staff. (Upwork)
58. Among U.S. freelancers, 50% say no amount of cash would make them need to work a conventional job once more. (Forbes)
59. 6 in 10 freelancers would transfer to a unique metropolis for a tax break of lower than $5,000. (Upwork)
60. Only 17% of impartial employees utilizing on-demand platforms for job alternatives made an earnings of $75,000 or extra, with 56% incomes $40,000 or much less, and 36% of employees reporting earnings of $25,000 or much less (MBO Partners).
Is Freelancing the Future?
Freelancing is a versatile alternative that means that you can work from wherever on the earth, which makes it a horny job prospect for many individuals. Many staff transitioned into distant work alternatives throughout COVID-19;since then, greater than 65% have reported a want to be full-time distant employees post-pandemic.
However, not all industries are permitting this everlasting distant job change, which has pushed many working individuals to show towards freelance work. This, coupled with the variety of employees who misplaced their jobs throughout the pandemic, created an inflow of freelance employees. In reality, on the price the gig economic system continues to develop annually, greater than 50% of the workforce is predicted to be in a contract place by 2028.
How Much Do Freelancers Make?
It’s clear that freelancing has grow to be a well-liked choice for individuals who need to management their work and profession experiences. However, with that freedom comes the truth of incomes a residing as a freelancer, which may be unpredictable. The common wage for freelancers within the U.S. is $63,448, in response to the newest freelancer statistics by ZipRecruiter.
It’s necessary to notice that that is considerably larger than the typical for many different international locations, and never everybody will make such a cash freelancing. The precise take-home numbers might differ relying on the billing technique, business, and quantity of expertise the freelancer has.
Top 5 Highest Paying Freelance Jobs of 2021
Most industries rent freelancers, so that you’ll have loads of jobs to select from should you resolve to pursue impartial work. However, there are just a few freelancing gigs that are likely to make greater than others. We’ve put collectively the highest 5 freelance gigs, job duties, and the way a lot you possibly can probably make. Continue studying to study probably the most worthwhile freelance jobs in 2021.
Social Media Specialist
Freelancers are wanted greater than ever within the social advertising and marketing world. Social media specialists deal with a wide range of duties comparable to content material planning, content material writing, and social media administration. You’ll should be well-versed in leading edge social media methods and have the ability to write compelling captions or content material that can appeal to an viewers. The common wage for this function is $45,631.
website positioning Specialist
An website positioning (Search Engine Optimization) specialist works to optimize their shopper’s content material and assist them attain the highest search outcomes on YouTube, Google, or every other searchable platform. This is a really worthwhile area of interest as a result of companies want these higher-ranking spots for a bigger return on curiosity. The common wage for this function is $59,871.
A contract internet designer works with purchasers to plan, create, and code internet pages. This activity requires a information of internet design, coding, and consumer expertise with a purpose to thrive. It’s necessary to have an eye fixed for design, perceive fundamental website positioning ideas, and have the know-how to create on varied platforms. The median annual wage for this function is $77, 200.
A copywriter is a superb choice if you wish to earn a excessive earnings. As a copywriter, you’ll write on varied subjects in a number of industries, relying in your shopper’s wants. This might embody weblog content material, web site pages, social media posts, gross sales scripts, e-mail advertising and marketing campaigns, and so forth. The greatest a part of copywriting is that anybody can begin on this business and work their manner up. The median annual wage for this function is $67, 120.
Everyone must promote their services or products, making gross sales some of the sought-after expertise annually. Thankfully, you are able to do displays, telephone calls, and ship emails to purchasers from wherever on the earth. You’ll should be snug and assured with chilly calling and rejection to thrive on this function. The imply annual wage for this function is $45,750.
How To Stand Out and Make Money within the Freelance Market
With the variety of freelancers rising as extra individuals proceed to go away their common 9-to-5 jobs, the competitors continues to extend. You’ll should make your self stand out amongst your competitors with a purpose to appeal to extra clients by investing in your online business. If you’re prepared to make more cash as a freelancer, comply with these tricks to set up your self and thrive within the gig economic system.
Pick a Profitable Niche
While it’s necessary to choose an space of labor that you just get pleasure from and excel in, it’s much more necessary to decide on a worthwhile area of interest. Take a while to analysis what different individuals in your chosen area are charging for his or her work. Does this match up with the wage you’re seeking to earn? If it doesn’t, you may need to contemplate a unique money-making avenue.
Create a High-Quality Portfolio
When clients are searching for providers like yours, they’re going to take a look at the earlier work you’ve finished. If you don’t have any examples of the standard, tone, or model of your work, you’re not more likely to e book purchasers. Potential clients need to know that they’ll belief you with their challenge, and with none portfolio, they’re extra more likely to transfer on to the subsequent freelancer. Make certain to incorporate examples of the very best work you’ve accomplished. If you don’t have any samples, create your personal.
Define Your Audience and Perfect Your Pitch
It’s important to know your goal market. What drawback are you making an attempt to resolve along with your experience? You’ll need to know the demographics and persona of your ultimate shopper so you possibly can higher perceive the right way to appeal to their enterprise. Your pitch to them ought to focus on fixing their issues and making their lives simpler, not bragging about your achievements or accomplishments.
Social proof is extra necessary than ever, which is why greater than 84% of individuals belief on-line critiques. At the start of your freelance profession, it’s important to construct up your credibility with good critiques. Make certain to go above and past along with your clients to obtain a better ranking. When you do obtain glowing critiques, make certain to put up them in every single place for potential purchasers to see.
Leverage Your Network
As a newbie in your business, it may be laborious to get these first few orders or gigs. The greatest technique to overcome that is to achieve out to your community, both in individual or through social media. Ask associates, relations, or enterprise connections in the event that they want your providers. You’ll greater than possible discover just a few of your first clients through the use of the connections you have already got in your community.
More individuals than ever are actually turning to the gig economic system as a full-time job or a worthwhile aspect hustle. There is not any fast technique to achieve an edge in your opponents or stand out. However, by discovering the proper area of interest, managing your online business bills, and positioning your self appropriately along with your goal market, you’re possible to make more cash and thrive within the gig economic system.
As you proceed to uplevel your expertise as a freelancer, don’t neglect to take management of your funds. Though being your personal boss comes with extra freedom in comparison with conventional staff, residing on a fluctuating earnings as a freelancer may cause stress. To cut back your monetary worries, use finances monitoring apps like Mint and handle your spendings in an organized manner.