Intuit Study: On-Demand Economy Helps Reduce Income Volatility, Build Economic Security
February 21 2017 - 7:00AM
Business Wire
Research Shows That 3.9M Americans Now Work
On-Demand Jobs, Majority Do So Part-Time to Supplement
Income
Intuit Inc. (Nasdaq: INTU) today released the second annual
“Dispatches from the New Economy: The On-Demand Workforce” study,
offering a window into the motivations, attitudes and challenges of
the 3.9 million Americans now working in the on-demand economy.
The study, which features data from 6,247 people working via
twelve on-demand economy and online talent marketplaces, found that
people engaged in on-demand work are looking for flexible
opportunities to smooth out unpredictable income, while also
testing ways to build a secure financial future:
- On-Demand Work is Used to Supplement
Existing Income: The average person working an on-demand job
spends 11 hours per week, and earns 24 percent of their household
income via on-demand work. Forty-one percent also have a
traditional full-or part-time job.
- On-Demand Work Fills Near-Term
Financial Needs: Sixty-six percent of people working on-demand
report having variable monthly income. Forty-one percent say that a
financial hardship – such as a job loss, medical problem, or
unexpected major expense – impacted them during the prior year. By
comparison, just 18 percent of all Americans in a recent U.S.
Federal Reserve survey reported encountering a financial
emergency.
- On-Demand Work Is Used To Build A
Sustainable Future: Many people are leaning on on-demand
economy work to either develop a new business, or to supplement and
expand an existing business. Thirty-seven percent already own a
business, and 21 percent want to build a business.
- There is General Satisfaction With
On-Demand Work: Thirty-eight percent of people working in the
on-demand economy feel they are better off, while only 14 percent
believe they are worse off. Eighty-one percent plan to continue
working an on-demand job over the next 12 months, and 67 percent of
people are satisfied with their on-demand work.
“We’re continuing to see how profoundly the on-demand economy
and technology is reshaping the American workforce and overall
economy,” said Dan Wernikoff, executive vice president and general
manager of Intuit TurboTax. “This new data demonstrates how more
people are using on-demand work to improve their financial
stability. At Intuit, we’re committed to understanding the
challenges and needs of the growing ranks of people working
on-demand jobs so that we can help simplify their financial lives
and maximize their tax returns with solutions like TurboTax
Self-Employed and QuickBooks Self-Employed.”
On-Demand Worker Quotes
“I decided to start working on a platform while I was an
attorney at a law firm that told me there might not be enough work
to justify my role. I wanted to know that I could have financial
security if I was let go, and also to see if I could successfully
run my own business,” said Josh Garber, a startup attorney who
finds the majority of his work online. “My firm is now my
full-time work, where I use platforms to get most of my clients,
and my lifestyle has changed dramatically. I have the ability to
create my own schedule, to focus on eating right and my
physical/mental health, to travel and work from anywhere, and to
avoid the stress of a commute and office politics.”
“I chose to work through online platforms because it gives me
full autonomy over my time, which I believe is the most sacred
thing we have,” said Victor Sandifer, Lyft driver and small
business owner of Run The World Clothing. “I am able to take care
of all of my necessities while building my clothing company, Run
the World By Victor Sandifer. I value my time and being able to
spend it working on things that I am passionate about is more
important than having a steady paycheck.”
Long Term Growth of Self-Employment
In an updated forecast of previous Intuit research, Intuit and
Emergent Research now predict the number of people working
on-demand jobs will grow from 3.9 million Americans today to 7.7
million by the year 2020, and an impressive 9.2 million by 2021.
The rise of the on-demand economy is part of a broader long-term
growth trend in the contingent workforce, which has grown from 17
percent of the U.S. workforce 25 years ago, to 36 percent today,
and is expected to reach 43 percent by 2020.
TurboTax Self-Employed and QuickBooks Self-Employed
For self-employed individuals, including freelancers and
independent contractors, tracking finances and preparing taxes can
be a year-round challenge. To make life easier, Intuit Inc. has
introduced TurboTax Self-Employed, the first and only integrated
tax preparation solution that comes with QuickBooks Self-Employed
for year-round expense tracking.
TurboTax Self-Employed includes these money and time-saving
benefits:
- SmartLook™: Provides customers
with priority access to a live, one-way video connection to a
TurboTax expert and CPAs or enrolled agents who specialize in
self-employment taxes and can offer personalized, real-time answers
to their tax questions – at no additional cost. Customers can
also schedule an appointment with an agent at a time and date that
works best for them.
- ExpenseFinder™: Finds deductible
business expenses that self-employed may not know they can claim,
saving them money. It proactively uncovers business expenses
by securely gathering and automatically scanning bank accounts and
credit card transactions and recommending potential deductible
business expenses. Customers then confirm which expenses apply to
their business to help them get every deduction they deserve.
The product also comes with QuickBooks Self-Employed at no extra
cost when customers file their return through TurboTax
Self-Employed. QuickBooks Self-Employed delivers effortless,
year-round tracking with:
- Expense Tracker: Tracks and
categorizes expenses in real time throughout the year. Users find
on average $4,340 in potential tax savings per year, cutting their
tax bill by up to 36 percent. In total, QuickBooks Self-Employed
has uncovered over $1.1 billion in potential deductions.
- Mileage Tracker: Tracks miles
automatically and logs trips from a mobile phone. Users log an
average of $7,393 in potential mileage deductions per year, finding
an average 45 percent more potential deductions by logging
miles.
- Receipt Capture: With a snap of
a picture, receipts are stored for easy access to proof of
expenses.
Study Methodology
A total of 6,247 workers who find work opportunities via online
platforms completed an online survey between Sept. 20 and Nov. 18,
2016. Participating platforms include Lyft, Amazon Mechanical Turk,
Upwork, TaskRabbit, Wonolo, MBO Partners, OnForce, Work Market,
Catalant, Field Nation, Kelly Services and Avvo. The results were
weighted to reflect the proportion of workers in each of the
following segments: drivers/delivery/onsite consumer,
online/offsite talent, field service/onsite business.
About Intuit Inc.
Intuit Inc. creates business and financial management solutions
that simplify the business of life for small businesses, consumers
and accounting professionals.
Its flagship products and services
include QuickBooks® and TurboTax®, which make it
easier to manage small businesses and tax preparation and
filing. Mint provides a fresh, easy and intelligent way
for people to manage their money, while Intuit's
ProConnect brand portfolio includes ProConnect Tax
Online, ProSeries® and Lacerte®, the company's leading
tax preparation offerings for professional accountants.
Founded in 1983, Intuit had revenue of $4.7 billion in its
fiscal year 2016. The company has approximately 7,900 employees
with major offices in the United States, Canada,
the United Kingdom, India, Australia and other
locations. More information can be found
at www.intuit.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20170221005122/en/
Intuit Inc.Debra Hammer,
858-215-7568Debra_hammer@intuit.comStephen Sharpe,
650-224-2362Stephen_sharpe@intuit.com
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