Smart Financial Moves for 'Gig' Economy Workers

Submitted by Edward JonesPrint Story | Email Story

Not that long ago, most people worked for some type of an organization, such as a business or the government or a school district. But today, more and more workers are going their own way and joining what's known as the "gig" economy. If you will be one of them, you'll want to make the right moves to advance your financial goals in what can be a challenging work environment.

But first, you may find some comfort in knowing the prevalence of gig work. About 36 percent of U.S. workers are now gig workers, according to a study from the Gallup organization, which defines the gig economy as one made up of a variety of arrangements – independent contractors, online platform workers, contract workers, on-call workers, temporary workers and freelancers. People join the gig economy for many reasons, but most of them, like you, could benefit by considering these actions:

Establish your own retirement plan. When you're a full-time employee, your employer may offer a 401(k) or similar retirement plan. But as a gig worker, you need to save for your own retirement. Fortunately, you've got a lot of attractive options. Depending on your circumstances, you might be able to open a SEP-IRA or even a "solo" or "owner-only" 401(k), which offers many of the same features of an employer-sponsored 401(k). Both these plans allow you to make pre-tax contributions, which can lower your taxable income. Plus, your earnings can grow on a tax-deferred basis. (Keep in mind that taxes will be due upon withdrawal, and any withdrawals you make before you turn 59 1/2 may be subject to a 10 percent IRS penalty.)

Create an emergency fund. Working in the gig economy can bring rewards and risks. And one of those risks is unpredictable – and often uneven – cash flow. This can be a cause for concern during times when you face a large unexpected expense, such as a major car repair or medical bill. To avoid dipping in to your long-term investments to pay for these costs, you should establish an emergency fund containing at least six months' worth of living expenses, with the money kept in a liquid, low-risk account.



Address your protection needs. Many companies provide some life insurance as a benefit to their employees, though the coverage is often inadequate. But, as is the case with your retirement plan, you will need to meet your own protection needs if you work in the gig economy. In addition to purchasing enough life insurance to protect your family, you also may want to consider disability insurance. A financial professional can help you determine what types of coverage, and how much, you require.

Keep track of your expenses. If you do your gig work out of your home, you may be able to deduct some of your expenses – phone lines, utilities, internet, newspapers, equipment, mileage and so on – from your taxes. Consequently, you will need to track all these costs. And you will need to consult with your tax advisor on what can, and can’t, be claimed as a business necessity.

These aren't the only moves you may need to make as a gig worker – but they can help provide you with a steady path in a world in which you can’t always tell what lies around the corner.

This article was written by Edward Jones for use by your local Edward Jones financial advisor. Courtesy of Rob Adams, 71 Main Street, North Adams, MA 01247, 413-664-9253.. Edward Jones, its employees and financial advisors cannot provide tax or legal advice. You should consult your attorney or qualified tax advisor regarding your situation. For more information, see EdwardJones.com.

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North Adams Happenings: Oct. 23-29

SAVE THE DATE
NOVEMBER 2nd - Masquerade at Greylock WORKS
On November 2nd, three weeks before FESTIVE, come to gWorks to dance in disguise at our MASQUERADE Halloween costume party! Doors open at 8pm !
Celebrate your costume ingenuity with DJ BFG spinning seamless upbeat dance music within immersive theatrical lighting choreographed by LJ McZawa.
Whether you're coming out in a dramatic mask + your favorite party clothes or a full-body transformation, our local friends are joining in on the fun to motivate your creativity with Costume Themes and PRIZES.
https://www.facebook.com/events/406993753316580/
Wednesday 10/23
9:00 A.M. (FREE), SOCIAL, Open Hours UNO Community Center, 157 River Street, (413) 664-4612 More information.

10:00 A.M. (FREE), KIDS, Terrific Tots Playgroup The Family Center, 210 State Street, (413) 664-4821 More information.  


10:30 A.M. (FREE), PARENTING, Parenting Workshop: Surviving your Adolescents nbCC Conference Room, 61 Main Street, Room 213, (413) 663-7588 More information.  


11:30 A.M. (FREE), KIDS, Little Wonders Baby Playgroup The Family Center, 210 State Street, (413) 664-4821 More information. 

4:00 P.M. (FREE), FAMILY, Family Literacy Night Series The Family Center, 210 State Street, (413) 664-4821 More information.  


6:00 P.M. (FREE), WORKSHOP, Educator Open House North Adams Public Library, 64 Church Street, More information.

8:00 P.M. (FREE), GAMES, Trivia Night! Ramunto's, 67 Main Street, (413) 398-5152 More information.

Thursday 10/24
9:00 A.M. (FREE), SOCIAL, Open Hours UNO Community Center, 157 River Street, (413) 664-4612 More information.

10:00 A.M. (FREE), PARENTING, Kids Safety of America: Child Abuse and Neglect nbCC’s Conference Room, 61 Main Street, Room 213 More information.

4:00 P.M. (FREE), TUTORING, After School Program UNO Community Center, 157 River Street, (413) 664-4612 More information.

4:30 P.M. (FREE), CONVERSATION, Spaghetti Supper with Tom Bernard North Adams American Legion, 91 American Legion Drive More information.

4:30 P.M. (FREE), FAMILY, Dad and Family Time- Bowling and Pizza Night Valley Park Bowling, Curran Highway More information.

5:00 P.M. (FREE), SOCIAL, Octoberfest in The Airport Rooms TOURISTS Welcome, 915 State Road More information.

5:00 P.M. (FREE), BIKING, Halloween West End Bike Around Greylock School, 100 Phelps Ave More information.

6:00 P.M. (FREE), OPEN MIC, OPEN MIC The Parlor Cafe, 303 Ashland Street More information.

6:00 P.M. (FREE), INFORMATIONAL, Milton Hershey School Family Event: North Adams, MA Freight Yard Pub & Restaurant, 1 Furnace Street More information.

7:30 P.M. (FREE), WRITING, Fiction Writing Workshop [open house] Common Folk, 85 Main Street More information.

7:30 P.M. (FREE), BINGO, Musical Bingo at Mingo's Sports Bar and Grill 41 Roberts Drive More information.

8:00 P.M. ($15), COMEDY, Comedy Night w/ Andy Sandford HiLo North Adams, 55 Union Street More information.
Friday 10/25
10:30 A.M. (FREE), CONVERSATION, Coffee with a Cop MCLA Campus Center, 375 Church Street More information.

10:30 A.M. (FREE), PARENTING, Ages and Stages The Family Center, 210 State Street, (413) 664-4821 More information.

10:00 A.M. (FREE), KIDS, Drop-In Playgroup The Family Center, 210 State Street, (413) 664-4821 More information.

12:00 P.M. (FREE), SOCIAL, Open Hours UNO Community Center, 157 River Street, (413) 664-4612 More information.

7:00 P.M. (FREE), MOVIES, Halloween cartoon movie night MCLA Freel Library, Blackinton Street More information.

7:00 P.M. (By Donation), CRAFTING, Knitting Nights with Common Folk Common Folk, 73 Main Street More information.

7:00 P.M. ($1 and up), GAMES, BINGO! North Adams Elks 487 Lodge, 100 Eagle Street, (413) 664-9039 More information.

7:00 P.M. ($12 adv, $15 at the door), CONCERT, Gregory Douglass LIVE at HiLo North Adams HiLo North Adams, 55 Union Street More information.

8:00 P.M. (Prices vary, click link for details), THEATER, Miss Julie MCLA Theatre, 375 Church Street More information.

9:00 P.M. (FREE), MUSIC, Karaoke Friday! State Street Tavern, 167 State Street, (413) 664-9152 More information.
Saturday 10/26
9:00 A.M. (FREE), CLOTHING DRIVE, Winter Clothing Drive First Baptist Church of North Adams, 131 Main Street More information.

10:00 A.M. (FREE), GARDENING, Gardening Program UNO Community Center, 157 River Street, (413) 664-4612 More information.

12:30 P.M. (Child $5, Adults $8, Family $25), FUNDRAISER, AYJ Fund Children's Princess Concert MCLA Church St Center, 375 Church Street More information.

3:00 P.M. (Cost of Admission), ART, Opening Reception: Sarah Oppenheimer, Jenny Holzer, and ERRE MASS MoCA, 1040 MASS MoCA Way More information.

6:00 P.M. (FREE), CONCERT, Fall Foliage Sunset Serenade - Jessica Gregory Wilson Wigwam Western Summit, 2350 Mohawk Trail More information.

8:00 P.M. (Prices vary, click link for details), THEATER, Miss Julie MCLA Theatre, 375 Church Street More information.

8:00 P.M. ($12 adv, $15 at the door), CONCERT, Misty Blues HiLo North Adams, 55 Union Street More information.

8:00 P.M. (Prices Vary, see link for details), CONCERT, Jenny Scheinman & Allison Miller’s Parlour Game MASS MoCA, 1040 MASS MoCA Way More information.
Sunday 10/27
2:00 P.M. (Prices vary, click link for details), THEATER, Miss Julie MCLA Theatre, 375 Church Street More information.

7:00 P.M. ($20 adv, $25 day of), CONCERT, Jeffrey Foucault HiLo North Adams, 55 Union Street More information.
Monday 10/28
5:00 P.M. (FREE), WORKSHOP, ROOTS Volunteer Training ROOTS Teen Center, 43 Eagle Street More information.

5:00 P.M. (FREE), BIKING, nbCC Bike Collective The Armory, 206 Ashland Street More information.

6:00 P.M. (FREE), WORKSHOP, Communications Career Panel Bowman Hall - MCLA, 375 Church Street More information.
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