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Mapping Side Hustle Earnings: Top Cities and States

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Ever wondered where side hustles truly thrive in America? From the plains of North Dakota to the beaches of Florida, we’ve uncovered the hotspots where residents are mastering the art of the side gig or side business.

Our latest study pinpoints the top states and cities for self-employment income based on household earnings and participation. Whether you’re considering starting your own side business or simply curious about the economic trends shaping our nation, our data-driven analysis will provide valuable insights into the world of supplemental income across the US.

Key takeaways

  • Overall, 11% of households report self-employment income, earning an average of $46,173 per year doing so.
  • On average, North Dakota ($60,221), New Jersey ($55,748), and Connecticut ($55,192) households earn the most from self-employment income.
  • Vermont (15.7%), Montana (14.9%), and South Dakota (14.6%) have the most households earning self-employment income by percentage of the population.
  • Lake Charles, Louisiana ($179,080); San Tan Valley, Arizona ($141,459); and Upland, California ($130,291) households earn the most from self-employment income, on average.
  • Hialeah, Florida (21.4%); Santa Barbara, California (20%); and Santa Monica, California (19.7%) have the most households earning self-employment income by percentage of the population.

01. Top states for self-employment income

Overall, 11% of Americans report self-employment income, earning an average of $46,173 per year doing so.
Top 5 states earning the most, on average, from self-employment income:

  1. North Dakota: $60,221
  2. New Jersey: $55,748
  3. Connecticut: $55,192
  4. Massachusetts: $54,712
  5. California: $53,639

Top 5 states by the percentage of residents earning self-employment income:

  1. Vermont: 15.7%
  2. Montana: 14.9%
  3. South Dakota: 14.6%
  4. North Dakota: 14.3%
  5. Idaho: 13.9%

02. Leading cities in the side hustle economy

Top 5 cities by the percentage of residents earning self-employment income:

  1. Hialeah, Florida: 21.4%
  2. Santa Barbara, California: 20%
  3. Santa Monica, California: 19.7%
  4. Costa Mesa, California; McAllen, Texas; Berkeley, California (tie): 19.5%

Top 5 cities earning the most, on average, from self-employment income:

  1. Lake Charles, Louisiana: $179,080
  2. San Tan Valley, Arizona: $141,459
  3. Upland, California: $130,291
  4. Newton, Massachusetts: $118,527
  5. Bethesda, Maryland: $110,573

03. Methodology

For this study, we leveraged data from the Bureau of Labor Statistics’ American Community Survey to identify which states and cities have the highest percentage of residents earning self-employment income and their average earnings. Self-employment income is defined as income made outside of traditional salary or wages, so it could be earned from side gigs or side businesses. The most recently reported data was collected in 2022.

04. About SideHustles.com

SideHustles.com is your go-to place for learning how to create new sources of income with your skills and determination. Our tips and advice come from real people who are making money from side hustles, just like you can. Plus, we offer fair, unbiased ratings for gig economy apps, so you know which ones are worth your time.

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