The rise of the gig economy, freelancing, and online businesses has transformed how New Zealanders earn money. With inflation, rising living costs, and the increased accessibility of digital platforms, many Kiwis are turning to side hustles to supplement their income. But what are the most popular side hustles in New Zealand? How are they impacting the economy, and what trends should we watch in 2025?
This article examines how Kiwis are leveraging side hustles, key industry trends, government regulations, and tips for success in the growing gig economy.
The Growing Popularity of Side Hustles in NZ
1. Why More Kiwis Are Taking on Side Hustles
Economic Pressures: Inflation and rising living costs are pushing people to seek additional income streams.
Flexible Work Options: Remote work and freelancing platforms make it easier to work from anywhere.
Passion Projects & Career Growth: Many people are using side hustles as a way to explore their interests and build new skills.
Entrepreneurial Spirit: The accessibility of e-commerce and digital marketing has encouraged many to launch their own businesses.
2. Statistics on NZ's Gig Economy & Side Hustles
Over 30% of Kiwis now engage in some form of side hustle (Stats NZ, 2023).
Freelance work has increased by 45% since 2020, driven by digital platforms like Upwork and Fiverr.
The e-commerce sector grew by 25% in 2023, as more individuals started selling products online.
Rideshare and food delivery services (Uber, DoorDash, and Menulog) have seen a 35% increase in drivers in the past two years.
Most Popular Side Hustles in New Zealand
1. Freelancing & Contract Work
Graphic Design & Content Writing: Platforms like Fiverr, Upwork, and Freelancer are growing in popularity.
Consulting & Coaching: Many professionals are leveraging their expertise to offer coaching in business, health, and finance.
Social Media Management: Small businesses need help with marketing, leading to a boom in part-time digital marketing work.
2. E-Commerce & Online Selling
Dropshipping & Print-on-Demand: Shopify and Etsy have made it easier than ever to start an online store.
Handmade Goods & Crafts: Platforms like TradeMe and Etsy allow Kiwis to sell unique, handcrafted items.
Second-Hand Reselling: Many are flipping clothes, electronics, and collectibles for profit.
3. Rideshare & Delivery Services
Driving for Uber & Ola: Flexible work for those looking to earn on their own schedule.
Food Delivery (Uber Eats, Menulog, DoorDash): Increasing demand as online food orders continue to rise.
Grocery & Parcel Delivery: Services like Instacart and Amazon Flex are expanding in NZ.
4. Digital Content Creation & Passive Income
YouTube & Podcasting: More Kiwis are making money through advertising, sponsorships, and Patreon.
Blogging & Affiliate Marketing: Monetizing niche blogs through SEO and affiliate sales.
Online Courses & E-books: Teaching skills online is a growing trend, with platforms like Udemy and Teachable.
5. Property & Rental Income
Airbnb Hosting: Many homeowners are renting out rooms or properties to generate passive income.
Car Sharing & Renting: Platforms like MyCarYourRental allow people to rent out their vehicles.
Challenges & Risks of Side Hustles
1. Tax Obligations & Compliance
Side hustle income is taxable in NZ, and many new entrepreneurs are unaware of their tax responsibilities.
The IRD (Inland Revenue Department) requires accurate income reporting from freelancers and gig workers.
Registering for GST (Goods and Services Tax) is necessary if annual earnings exceed $60,000.
2. Work-Life Balance Issues
Managing a full-time job while maintaining a side hustle can lead to burnout.
Finding time for family, social life, and self-care is crucial for long-term sustainability.
3. Market Competition & Sustainability
The gig economy is becoming more saturated, requiring freelancers and sellers to stand out.
AI automation is replacing some freelance jobs, particularly in copywriting and graphic design.
Many platforms take a commission (Upwork 20%, Fiverr 10-20%), reducing actual earnings.
Government Regulations & Support for Side Hustlers
Self-Employment Grants & Startup Assistance: Programs like Callaghan Innovation offer support for new entrepreneurs.
Regulations on Gig Economy Workers: The NZ government is reviewing worker rights for gig economy participants.
Tax Deductions for Side Hustles: Business expenses, home office costs, and mileage can be claimed.
Tips for Side Hustle Success in NZ
1. Choose the Right Side Hustle
Select something aligned with your skills, interests, and available time.
Consider the scalability and long-term potential of your chosen side hustle.
2. Manage Your Finances Wisely
Open a separate business account to track earnings and expenses.
Set aside tax savings to avoid surprises at tax time.
Use accounting software like Xero or MYOB for bookkeeping.
3. Build a Strong Online Presence
Personal branding matters—create a professional website or LinkedIn profile.
Leverage social media to market your services or products.
Network with other freelancers and entrepreneurs for growth opportunities.
4. Stay Compliant & Plan for Growth
Keep detailed records of income and expenses for tax purposes.
If demand grows, consider registering your business or hiring help.
Diversify income streams to reduce financial risk.
Conclusion: Is the Side Hustle Boom Here to Stay?
The side hustle movement in New Zealand is thriving, driven by economic factors, digital platforms, and changing work habits. Whether freelancing, selling online, or driving for Uber, more Kiwis than ever are finding new ways to earn extra income.
With smart planning, financial management, and leveraging digital tools, side hustles can be profitable and sustainable. However, balancing tax compliance, workload, and competition is key to long-term success.
Are you running a side hustle in NZ? Share your experiences and insights in the comments!
Simplifi Web
21 days ago