Gen Alpha, often called the "iPad kid" generation, is quickly surpassing Gen Z as the "side hustle generation," according to a recent survey by social commerce platform Whop. The survey, which included 2,002 Gen Alpha and Gen Z individuals (ages 12 to 28), reveals a significant trend: young people are increasingly leveraging the internet for financial gain, not just entertainment.
Nearly half (47.1%) of Gen Alpha are already earning money online through various digital side hustles, marking a 15% increase from last year. This number jumps to 72.3% when considering those who know someone earning online. Instead of relying on allowances, Gen Alpha members are pulling in an average of $13.92 per hour from their online ventures, nearly double the U.S. federal minimum wage. These earnings are equivalent to an annual full-time salary of $28,000, all before many of them even turn 16. A small but notable percentage (1.7%) of these young hustlers earned over $40,000 last year.
Social media platforms are the primary enablers of this trend, with young people, who have grown up online, being particularly adept at navigating these new income streams. Reselling new or vintage clothing is the most common side hustle, practiced by one in five (20.1%) of Gen Alpha and Gen Z individuals. Other popular avenues include streaming video games (14.1%) and competing in esports tournaments (13.1%). Content monetization through social media posting or "clipping" (repurposing existing video/audio content into short clips) is also gaining traction, with 10.5% engaging in these activities. While only 9.1% currently secure brand sponsorships, many aspire to become full-time creators.
"Social media raised this generation, so making money on the internet is now the norm," says Brett Malinowski, marketing director at Whop. He adds that seeing successful online creators has naturally fueled this desire for financial independence.
These young entrepreneurs aren't just earning; they're also saving. Their primary motivation is gaining financial independence from their parents, though many are also investing in cryptocurrency or stocks, or saving for college, a house, or major purchases.
The rise of digital side hustles is also altering screen time habits. Gen Alpha now spends 3.5 fewer hours per week on screens for entertainment compared to Gen Z, dedicating approximately a fifth (20.3%) of their screen time to their hustles, slightly more than Gen Z's 19.5%.
With the escalating cost of living, these youngest workers are at the forefront of seeking additional income, and they have no plans to slow down. Over half of Gen Alpha (51.5%) intend to transform their side hustles into full-time careers. As these generations increasingly enter the workforce, they are not just seeking income; they are actively redefining the very nature of work and how it is earned.