In today’s edition, we look at the evolution of the part-time job. The part-time job, for the sake of getting ahead financially (i.e. becoming debt-free sooner), is a great idea.
But nowadays, more and more people are having to turn to part-time jobs because it’s their only option:
- College graduates are settling for these jobs versus a career they’d dreamt of.
- The long-term unemployed are turning to these jobs versus returning to a career job (i.e. underemployment).
- The newly retired are taking to these jobs to help bridge the gap between their savings and their retirement needs.
This increased demand by workers for part-time jobs is being coupled with employers who are making these jobs more available, but also making them, for lack of a better term, crappier.
In times of recovery and uncertainty, an employer naturally likes part-time jobs more because they give them more flexibility and they are cheaper overall. But through advancements in technology, employers are now able to move more workers to part-time and only bring them in for the exact number of hours they are needed. See this nytimes.com piece A Part-Time Life, as Hours Shrink and Shift.
I happen to run into a Seth Godin video last week that talks about this “race to the bottom” and how it’s affecting our future job prospects and what you should do about it.
Government regulation may be having an effect as well. In a recent WSJ opinion piece, David Gamage, who used to work for the Treasury Department implementing Obamacare, explained how “perverse incentives” in the legislation will make part-time work more attractive to both employer and employee:
“…by switching low-income employees to part-time positions, rather than offering them health insurance, an employer will be able to save over $3,000 a year by avoiding ObamaCare’s employer-mandate penalties.”
Best Quick Money Tips
How to Become a Part-time Entrepreneur — Have a great idea for a business? Start it up as a part-time gig and a way to make extra cash before you quit your full-time job. Most businesses aren’t overnight successes anyway.
Part-time Job = Hard Times– “Over the past two decades, many major retailers went from a quotient of 70 to 80 percent full-time to at least 70 percent part-time across the industry…”
How the IRS Decides Whether You Have a Business or Hobby — Even if you try to classify your hobby as a business, the IRS is going to call it a hobby if you aren’t making a profit. This post includes tips on how to convince the IRS you have an actual business.
Small Business Opportunities for Veterans — If you or someone you know is a Veteran, Good Financial Cents has a good post on things to consider, as well as resources, for Veterans who are considering starting their own business.
Why Your Spare Time Is Worth Way More than $25 Per Hour — In true Mr. Money Mustache form, he takes a look at balance and maximizing the value of your time.
More Quick Money Tips
24 Personal Finance Writers Share Their Favorite Money-Saving Apps — This is a great list, even if I am one of the contributors.
13 Ways to Save Money Before Walking Out the Door — While you may not be able to do all of these things all of the time, they’ll at least make you pause and evaluate how you could be saving more money.
How to Retire at Age 85 (or Hopefully Older)! — Whether you love your job or hate it, Joe pens some inspiring words on finding and living out your passions.
The Psychology of a Cheapskate: Can You Be Addicted to Saving Money? — Do you have one of these 4 types of savings personalities?
Image credit photologue_np