(Our friends at Chemistry Consulting wrote this post on the growing trend of the gig economy. Check it out to learn more.)

Gig workers come in all age groups, each with particular reasons for taking temporary work. According to Prudential’s Gig Economy Impact by Generation Report:

most Millennials do gig work to have more flexible schedules and to pursue their passions.

Gen Xers do it mainly for financial reasons. They need to do gig work to make ends meet.

Boomers likewise take temporary jobs to make ends meet, but also to gain freedom from bureaucracy and red tape.

As you can see, middle-aged and older gig workers are often facing financial challenges and struggling to make ends meet.

So what do gig workers have in common?

In general, they're in the game to maximize their income while working flexible hours on their own terms.

With flexibility and independence, however, comes a price. Most independent contractors earn significantly less than permanent employees. Further, they rarely receive any form of employee benefits from the companies that hire them.

This puts them at high risk.

If a contractor isn’t able to earn a paycheque due to illness or injury, a month’s or year’s worth of savings can be reduced to zero very quickly.

In fact, in the BMO Wealth Management Survey, 69% of gig workers said that having no benefits (such as medical, dental, or disability coverage) is their biggest challenge.

The traditional notion of employment meant full-time, long-term (even lifetime) jobs. In contrast, gig workers are people hired on temporary contracts by more than one employer. They're also commonly known as independent contractors or freelancers.

Unlike full- or part-time employees, gig workers generally work fewer hours per week with no long-term commitment and, typically, no benefits.