Yahoo Finance I’m a Financial Expert: Can You Side Hustle Your Way from the Middle to Upper Middle Class?
Anyone who has earned their way out of a low-income household is probably in no hurry to go back, but they shouldn’t consider their new station in life the finish line, either.
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Beyond the world of middle-class security is upper-middle-class comfort — and getting there means you’re just one step away from being rich.
But can a side gig launch you from the former to the latter? Maintaining a middle-class income is hard enough, so expanding on it sufficiently to vault you to a higher socio-economic status won’t be easy — but it is possible to side-hustle your way to the upper-middle class.
How Much Do You Need To Join the Upper-Middle Class?
The Pew Research Center defines middle-class households as those earning between two-thirds to double the national median income, which the U.S. Census Bureau says was $74,580 in 2022.
Nationally, that makes the middle-class income range $49,720-$149,160, which means a little less than $150,000 punches your ticket to the upper-middle class.
But the cover charge varies by location — a lot.
According to SmartAsset data, residents of Detroit and Cleveland can earn less than $73,000 and still earn a spot in the upper-middle class. In Fremont, California, it’s just shy of $312,000.
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It’s Been Done, but Can You Do It?
It’s certainly possible to side hustle your way from the middle class to the upper-middle class, and Michael Dinich is living proof. The founder of the personal finance site Wealth of Geeks, Dinich made it happen through digital brand-building and the monetization of his website and its affiliated podcast and YouTube channel.
“I was one of the middle-class people looking to increase their incomes,” said Dinich, a self-described “side hustle enthusiast.” “A few years back, I was tooling along in a comfortable but unexciting job, making about $65,000 a year. Not bad, but certainly not upper-middle-class material where I live. That’s when I decided to start chasing my dreams on the side.”
A “huge pop culture nerd,” Dinich started blogging and podcasting about movies, comics, toys and gaming in his off hours. He built a brand and got enough followers to lure companies offering sponsored content deals.
“Meanwhile, my personal finance side project, Wealth of Geeks, was picking up serious steam as social media boosted it to new audiences,” said Dinich. “Fast forward to now, and those side hustles generate a decent income together.”
The Outcome Depends on Your Skills and Schedule
While Dinich’s story is inspiring, he had the skills and experience to create compelling content, optimize his channels for search and create a successful digital marketing campaign.
But most blogs go nowhere and earn nothing.
Dinich also had the hours he needed to bring his ideas to fruition. A single mother working two jobs or a caretaker for an aging parent might not have the time required to build anything but an average side hustle — and in most cases, average won’t cut it.
A Side Hustle Might Get You There — Just Not the Average Side Hustle
According to Zippia, 45% of Americans had a side hustle in 2023. The average among them puts in 13 hours per week and earns $483 per month.
That’s roughly $5,800 a year, which won’t elevate you to a higher socio-economic class unless you’re already bumping up against the middle-class income ceiling. But that’s not the main issue with the average side hustle.
Thirteen hours weekly is roughly 52 hours per month, making $483 equivalent to about $9.30 an hour, which is not an upper-middle-class wage.
Knowledge Sharing Could Be Your Ticket to the Top of the Middle
Data from familiar career and salary sites show that typical side hustles like delivery and rideshare driving, freelancing on sites like Upwork, content creation and photography are unlikely to earn you more than a few hundred bucks per month.
While successful e-commerce operations can be lucrative, and specialists like personal trainers can do well if they’re in demand, the side hustles with the highest earning potential tend to involve taking a fee for sharing valuable and unique knowledge, experience and information.
“For instance, if your education or work experience gives you specialized knowledge in a lucrative industry, you can offer it to potential customers or businesses as a consultant or agency,” said Laura Adams, MBA, an award-winning personal finance expert with Finder. “So, consider the knowledge you have that others need and package it into one or more forms, such as a newsletter, book, online course, virtual event, live event, one-to-one mentoring, or group coaching.”
If you’re not clinging to the bottom rung of the middle-class ladder and have the time, talent and dedication to cash in on a sellable skill, a side hustle can launch you into the vaunted space between the middle of the pack and the rich. You certainly wouldn’t be the first to pull it off.
“Middle-class people side hustle their way to the upper-middle class every day,” said Adams.
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This article originally appeared on GOBankingRates.com: I’m a Financial Expert: Can You Side Hustle Your Way from the Middle to Upper Middle Class?
