Gig work is more popular than ever! As of 2022, there are roughly 59 million gig workers in the United States. Experts believe that the figure will rise dramatically in the coming years.

But what exactly is a gig worker? Read on to find out.

Defining a Gig Worker

This unique description comes from the concept of "gig," an informal or on-demand job. It's someone who performs work on a contract basis instead of having a standard full-time job.

With normal employment, you establish a long-term relationship with your employer. You have set responsibilities and hours. In exchange, you get an annual salary or hourly pay rate. Typically, you also get benefits while your employer deducts certain taxes and fees from each paycheck.

With gig work, you perform a job when it's needed. You may work with clients directly or through a third-party service. For example, Uber drivers are gig workers who work through the Uber app. Either way, gig workers aren't official employees.

They can work as much or as little as they want!

In terms of taxes, things are different. Employees get W2s. Employers must deduct payroll taxes, follow state and federal regulations, etc. But gig workers work on a contract basis. They get instant cash for gig workers whenever they complete a project. Workers typically receive 1099 forms when they perform a non-employee service.

The Pros and Cons of Gig Work

There are benefits and disadvantages to being a gig worker.

The pros are the freedom you get not being an official employee. Most people in the gig economy work on their terms, setting their schedule and finding work from many sources. It's a great way to remove yourself from the typical nine-to-five grind and make money your way. Many creative-minded individuals will discover that gig work suits their talents and ambitions better.

The downsides? You don't get any of the perks of being an employee. Because you're not an employee, you don't get a standard paycheck. That's why some search for ways to get instant cash for gig workers. If there's no work available, you can't make money.

Gig workers also don't receive benefits or protections.

Ultimately, you must decide what's important to you in your life and career. There's a lot to love about being a gig worker, but the potential downsides can cause financial headaches in the future.

Author Resource:-

Emily Clarke writes about cash advances, overdraft protection & finance apps. You can find her thoughts at financial app blog.