The Hattie

In today’s fast-changing job market, many workers are looking for ways to earn extra money outside the 9-to-5. Whether you want to supplement your income, explore a passion, or build a new career path, freelancing and side hustles are two of the most popular options. But what’s the difference between them, and which one is right for you? 

What is freelancing?

Freelancing is when you offer a specific skill or service to clients on a contract basis. Rather than being employed by one company, freelancers work independently and take on multiple clients. Common freelance jobs include:

• Writing and editing
• Graphic design
• Web development
• Consulting
• Photography
• Social media management

Many freelancers start by offering services on platforms like Upwork, Fiverr, or PeoplePerHour, but some build their own client base through networking and referrals. 

Pros of freelancing

✅ Higher earning potential – If you have an in-demand skill, freelancing can pay well. Some freelancers earn upwards of £50 per hour or more.
✅ Flexibility – You choose your hours, projects, and clients.
✅ Career growth opportunities – Freelancing can turn into a full-time business if you build a strong reputation.
✅ Work from anywhere – Most freelance jobs can be done remotely.

Cons of freelancing

❌ Unstable income – Work isn’t always consistent, especially when starting out.
❌ Client management – You have to find clients, negotiate contracts, and chase payments.
❌ No employee benefits – Freelancers don’t get holiday pay, sick leave, or a pension unless they arrange it themselves.

What is a side hustle?

A side hustle is a way to earn extra money alongside your main job. Unlike freelancing, side hustles often don’t require specialist skills and can be more passive or flexible. Popular side hustles include:

• Selling on Etsy, eBay, or Depop
• Blogging or creating a YouTube channel
• Dropshipping or print-on-demand businesses
• Pet sitting or dog walking
• Renting out a spare room on Airbnb
• Mystery shopping

Side hustles are often seen as a lower-risk way to increase your income and can be done with minimal upfront investment.

NEXT READ: 15 side hustle ideas for beginners

Pros of side hustles

✅ Low commitment – You can side hustle without quitting your job.
✅ Multiple income streams – You can test different ideas without relying on one source of income.
✅ Passive income potential – Some side hustles, like blogging or online courses, can generate money even when you’re not actively working.
✅ Easy to start – Many require little to no experience, just a bit of time and effort.

Cons of side hustles

❌ Slow growth – It can take time to see substantial earnings.
❌ Extra workload – Managing a side hustle alongside a full-time job can be tiring.
❌ Uncertain profits – Not all side hustles will make money, and some can be a bit trial and error.

Freelancing vs side hustles: How to choose?

Both freelancing and side hustles offer great opportunities, but choosing the right one for you depends on your skills, goals, and lifestyle. 

1. Consider your skills

• If you have a marketable skill (e.g., writing, coding, design), freelancing might be the better option.
• If you don’t have specialised skills but are willing to learn, a side hustle like reselling or blogging could be a good start.

2. Think about your income goals

• If you need immediate income, freelancing is usually the faster way to start earning.
• If you’re looking for long-term, passive income, a side hustle like affiliate marketing or an online shop might be a better fit.

3. Assess your available time

• If you have a few spare hours a day and want to build a client-based business, freelancing is a strong choice.
• If you prefer working sporadically or on weekends, a side hustle offers more flexibility.

4. Consider your tolerance for risk

• Freelancing requires finding clients and managing your own workload, which can feel risky at first.
• Side hustles often involve experimenting with different income streams before finding success.

Can you do both?

Absolutely! Many people successfully combine freelancing and side hustles. There’s no reason why a freelance writer can’t also run their own blog. Or a freelance photographer might sell stock photos online as a side hustle. By doing both, you can balance quick earnings with long-term investment.

Whether you choose freelancing or a side hustle (or both!) the most important step is to get started. Multiple income streams can help you achieve more financial security with flexibility thrown in for good measure too!