If you’ve spent any time researching side hustles, you’ve almost certainly seen a headline like “Side hustlers earn $885 a month” or “The average side hustle brings in over $1,200.” Those numbers are real — they come from credible surveys. But they are also, in a very practical sense, misleading. The figure that tells you what a typical side hustler actually earns is buried further down the page, and it’s a lot smaller.
Understanding the difference between average and median income isn’t just a statistics lesson. It’s the single most useful filter you can apply to any side hustle income claim you encounter — and right now, those claims are everywhere.
The Two Numbers Every Side Hustler Should Know
Two major 2025 surveys put the gap in sharp relief.
Bankrate’s 2025 Side Hustle Survey found that the average monthly side hustle income is $885 — but the median is just $200, down from $250 in 2024. Meanwhile, LendingTree’s 2025 survey found an average of $1,215 per month alongside a median of only $400. A SurveyMonkey data roundup cites the same Bankrate figures: average $885, median $200.
So depending on which survey you read — and which number you focus on — you could walk away believing a side hustle is worth anywhere from $200 to $1,215 a month. That’s not a rounding error. That’s a fundamentally different picture of what side hustling actually delivers.
Average vs. Median: Why They Diverge So Sharply
The average (or mean) adds up all reported earnings and divides by the number of respondents. The median is the middle value — half of respondents earn more, half earn less. When a small number of people earn very large amounts, they pull the average upward without changing the median at all.
That’s exactly what’s happening in side hustle surveys. A freelance software consultant billing $8,000 a month, an established YouTube creator earning $5,000 in ad revenue, or a seasoned Etsy seller clearing $3,000 — each of these high earners drags the average up significantly, even if the vast majority of respondents are making a few hundred dollars or less.
The Bankrate data makes this concrete: 28% of side hustlers earn just $1 to $50 per month. That’s more than one in four people with a side hustle bringing in less than the cost of a streaming subscription. When that many people cluster at the low end, the median — $200 — is a far more honest benchmark for what a new or typical side hustler should expect.
Who’s Pulling the Average Up?
The surveys do reveal which groups are earning the most. According to Bankrate, millennial side hustlers average $1,029 per month, Gen Z averages $968, baby boomers average $918, and Gen X averages $512. LendingTree’s data shows men report earning an average of $1,580 per month versus $749 for women — a gap that mirrors the broader gender pay disparity in the workforce.
These higher-earning side hustlers tend to share a few characteristics: they typically offer skilled services (consulting, professional writing, software development), have built an audience or client base over time, or run established e-commerce operations. They are not representative of someone starting a side hustle this month.
According to Bankrate, the most popular side hustle categories are online sales (15% of side hustlers) and professional or business services such as freelance writing and consulting (14%). Food delivery, crafts, and pet care follow. The income potential varies enormously across these categories — a food delivery driver and a freelance consultant both show up in the same survey pool, which is part of why the average is so distorted.
The Time Equation: What’s Your Effective Hourly Rate?
Income figures become even more revealing when you factor in the hours required to earn them. LendingTree’s survey found that 37% of side hustlers spend 5 to 10 hours per week on their hustle, while 45% spend at least 10 hours a week — including 9% who spend more than 20 hours. Only 19% spend fewer than five hours weekly.
Run the math on the median. If you’re earning $200 a month and working 8 hours a week, that’s roughly 35 hours a month — giving you an effective hourly rate of about $5.70. Even at the LendingTree median of $400 a month with the same time investment, you’re looking at around $11.40 an hour before any expenses come out.
That’s not an argument against side hustling — it’s an argument for being clear-eyed about what you’re signing up for, especially in the early stages.
Taxes and Expenses: The Numbers Nobody Puts in the Headline
Survey income figures are almost always gross — meaning before taxes and business expenses. For side hustlers operating as independent contractors or sole proprietors, that distinction matters a great deal.
As a 1099 worker, you’re responsible for self-employment tax of 15.3% on net self-employment income (covering both the employee and employer portions of Social Security and Medicare). On top of that, your side hustle earnings are added to your regular income and taxed at your marginal federal rate, plus any applicable state income tax. The IRS generally requires quarterly estimated tax payments once you expect to owe $1,000 or more in taxes for the year.
Then there are business expenses: platform fees, equipment, software subscriptions, marketing costs, shipping materials, professional development. SurveyMonkey’s data roundup notes that start-up and ongoing costs — from marketing and tech expenses to taxes, legal fees, and insurance — add real strain on top of the time commitment. A side hustle grossing $400 a month might net considerably less once these costs are accounted for.
The practical upshot: when you see a side hustle income figure, always ask whether it’s before or after expenses and taxes. The answer almost always is “before.”
The Inconsistency Problem
Even the median figures assume a steady, predictable monthly income — and that’s rarely how side hustles work in practice. Client work dries up. Etsy sales spike in December and slow in February. Delivery demand fluctuates with weather and platform algorithm changes. A creator’s video goes viral one month and gets no traction the next.
LendingTree’s survey found that 61% of side hustlers say their lives would be unaffordable without their side hustle income — a figure that underscores how financially dependent many people have become on earnings that are, by nature, irregular. If you’re planning to rely on side hustle income for essential expenses, that volatility is a serious planning consideration, not a footnote.
Realistic Beginner Milestones
None of this means side hustles aren’t worth pursuing. It means the realistic trajectory looks different from the marketing version.
For most people starting from scratch, the first few months will produce modest income — often in the $0 to $200 range — while you’re building skills, finding clients or customers, and figuring out what works. The median of $200 a month is a reasonable early benchmark, not a disappointment. Reaching $400 to $500 a month typically takes six months to a year of consistent effort for most hustle types, and crossing $1,000 a month reliably usually requires either a skilled service offering, an established audience, or both — and that can take one to two years to build.
LendingTree’s data offers a useful calibration point: 52% of side hustlers say the extra workload is only worth it if they earn more than $500 per week. That threshold — roughly $2,000 a month — puts you well above both the average and the median. Getting there is achievable, but it’s a goal that takes time, not a starting point.
A Framework for Evaluating Any Side Hustle Income Claim
The next time you see a side hustle income figure — in an ad, a YouTube thumbnail, a blog post, or a survey headline — run it through these four questions:
- Is this an average or a median? If it’s an average, look for the median. If no median is provided, treat the figure with significant skepticism.
- Over what time period? A monthly figure, an annual figure, and a “best month ever” figure are very different things. Annualized projections from a single good month are a common marketing trick.
- Before or after expenses and taxes? Gross revenue and net take-home pay can differ by 30–50% or more once self-employment tax, platform fees, and business costs are deducted.
- How long did it take to reach this income? A figure from someone three years into a side hustle tells you very little about what you’ll earn in month three.
These aren’t cynical questions — they’re the same ones any financially literate person should ask about any income claim. Side hustles can genuinely improve your financial situation. The surveys confirm that 77% of side hustlers say their hustle improves their quality of life, and 44% say it provides long-term financial security. But those outcomes are built on realistic expectations and sustained effort, not on headline averages.
The median is $200. Start there, plan for inconsistency, account for taxes and expenses, and build from a realistic base. That’s a far more useful starting point than any headline figure.
