ALICE Everdeen left her full-time job to go freelance in July 2020.
Since then, she has earned around $200,000 finding work through Fiverr, Alice told CNBC.
Fiverr allows freelancers to sell their skills to companies and other individuals for a flat fee, taking some of the hassle out of finding work as a freelancer.
Alice said she started offering voiceover services on the platform in March 2020 and realized the business could be very profitable.
Despite her lack of professional voice-over experience, Alice said companies appreciate her “inviting” and conversational voice.
She earned $3,500 in her first full month on Fiverr, roughly what she brought in from her full-time job as a content manager in Austin, Texas.
However, she only had to work about four hours a night to earn that much from Fiverr.
She told CNBC that after a few months of steady income on Fiverr, she made the decision to quit her full-time job and take on voiceover work.
Although the gig started out as a simple way to earn extra income, Alice was surprised at how much she was able to earn.
“I never expected to make more than a couple hundred dollars a month,” she told CNBC.
But in April , I had a “holy shit” moment. I matched my net income.”
Alice said the workload had increased significantly over time, but she still worked less than she did in her 9 to 5.
She told CNBC that she works three to five hours a day.
In her first month working as a full-time voice-over artist, she took 41 gigs, up from 181 in July 2022.
She said she could earn up to $15,000 in some months and took home $102,000 in 2021.
Advantages and disadvantages of freelancing on Fiverr
Fiverr connects freelancers with talent scouts and helps secondary scammers find work more consistently.
Once you’ve created an account, you can post a gig almost instantly and describe what you’re offering.
You can also set pricing and other requirements in your message.
Freelancers can advertise almost any skill on Fiverr and will earn money if there is a demand for their talent.
Alice noted that Fiverr takes a 20% commission on every order, so she would only earn $80 for a $100 job, for example.
She said that since Fiverr is mostly in the business of her advertising, that’s a trade-off she’s more than willing to make.
The tax implications of a side hustle
Whether you’re working side-by-side in addition to a full-time job or performing several part-time gigs, your income is taxable.
Not only that, but you should report your income from a side hustle or self-employment differently than you would report standard income.
A Form 1040 is required for those with multiple sources of income, as you must list all of your income on one form.
Additionally, you will need to file a Schedule C and Form SE to file your self-employment taxes.
If you have multiple sources of income, talking to a tax professional can help you sort out what forms you need to submit and how to fill them out correctly.
The extra income can also move your household into a different tax bracket, which will impact how much you’ll have to pay the IRS.
However, working on the side allows you to claim more tax exemptions, as you can declare your expenses for possible tax deductions.
You’ll need to have proof of the money you spent on your scramble, so be sure to save all relevant receipts for tax season.
The Sun also spoke to an Instacart shopper who earns an extra $600 per month from her stampede.