About 79% of remote or hybrid employees are working two jobs at once, according to a 2022 Resume Builder survey of 1,250 full-time remote workers in the U.S. Of those, 48% are employed by another company full or part time and 39% are self-employed.
The trend of working two remote jobs has become so popular that it inspired a website called Overemployed, which describes itself as a “community of professionals looking to work two remote jobs, earn extra income and achieve financial freedom.” The site features posts on topics such as how employees get caught working two jobs, fighting lifestyle creep while making $600,000 a year and understanding how background checks work for multiple employment.
Is it legal or ethical to work two full-time jobs? Can you have two full-time jobs that pay a lot — and what are the tax implications of such an arrangement? Read on to learn how working two remote jobs can affect you.
[See: 7 Best Part-Time Remote-Work Jobs]
Is Working 2 Remote Jobs Legal?
Before deciding whether to pursue work outside of your full-time job, it’s important to have a clear understanding of whether it’s legal to do so.
Heather Weine Brochin, partner and chair of the employment and labor group at Day Pitney LLP, says the law does not prevent employees from holding more than one job. In fact, she says some state laws prohibit employers from interfering with employees who want to hold a different job outside of their ordinary employment hours through “moonlighting.”
Still, there are potential legal complications for employees who work multiple remote jobs at once, Brochin says.
“From a legal perspective, holding two positions remotely (at the same time) is duplicitous behavior that could be challenged if the positions overlap and employer intellectual property or confidential information is being misused between and among positions,” she says.
Is Working 2 Remote Jobs Ethical?
While it may be legal to work two full-time remote jobs simultaneously, it may not be ethical.
“In my opinion, the behavior is unethical as it involves stealing time from an employer — meaning if a person is paid for 40 hours of work but is not actually devoting those 40 hours to exclusively one employer’s work, the person is getting paid for time not worked,” Brochin says.
Brochin stresses that while it’s nothing new for someone to work different shifts of different hourly jobs or to have a part-time hourly position in the evening, some employers with remote or hybrid work models are concerned that employees may be committing time theft by working for more than one employer at the same time.
“What is new is that employees may be holding full-time positions at the same time during the same working hours,” she says. “These employees may be multitasking but are certainly depriving each employer of their full business time and attention.”
[Related:5 Workplace Trends Employers Love and Workers Hate]
Can You Be Fired for Working 2 Full-Time Jobs Remotely?
It may not be illegal to hold two full-time remote jobs at once, but you could still get fired from one or both positions.
“Employers absolutely can terminate at-will employees for any reason, so long as not prohibited by statute,” Brochin says. “Dishonesty is certainly a legitimate reason for terminating an employee.”
It’s important to understand the policies of each of your employers since some companies have clear policies setting expectations for their employees during working hours. “Many offer letters explain that the full-time work is exclusive,” Brochin says.
“Policies require employees to work during business hours. Some employers require express permission before an employee assumes any outside employment or even a nonprofit or volunteer engagement.”
In the past, these types of policies were designed to prevent conflicts of interest, Brochin says. However, these policies now allow employers to evaluate whether another position overlaps in time and work demands.
“Of course, it is likely that employees who are engaging in full-time remote work for two employers will not disclose such work under an employer policy,” Brochin says.
What Are the Tax Implications of Working 2 Remote Jobs?
The IRS doesn’t care how many jobs you have — just that your earnings are reported accurately, says Mark Steber, chief tax information officer at Jackson Hewitt.
“There aren’t special tax rules for taxpayers who hold multiple jobs at the same time,” Steber says, adding that if you work for two different employers, you’ll receive two W-2 tax forms. “Both should be reported on a tax return as standard W-2s,” Steber says. “All wage jobs from employers get added up and included on line 1A of (Form) 1040.”
If a taxpayer has a full-time employer plus a side gig orself-employment income, they will need to report the employer wages on a W-2 and report their self-employment income on a Schedule C.
“On the Schedule C, taxpayers will report their self-employment income as well as possible business-related deductions,” Steber says.
[READ: 7 Benefits of Working From Home (and 7 Drawbacks)]
Tips for Working 2 Jobs at Once
If you’ve decided to work two remote jobs at once, here are some tips for a successful experience:
Understand the potential risks. While it’s not illegal to hold more than one remote job simultaneously, keep in mind that you could face potential legal complications from doing this type of double duty. If one or more of your employers feel deceived about the fact that you’re working for another organization, believe the time spent in the positions overlaps, or think you might be misusing intellectual property or confidential information, you might find yourself facing unwanted legal issues.
Explore the ethics. In certain circumstances, one or more of your employers may find your arrangement unethical, particularly if you’re being paid for 40 hours of work per week and are not delivering on your end. Make sure that if you’re juggling multiple virtual full-time jobs, you are devoting the agreed-upon hours to each employer. Otherwise, it’s unfair to those employers, which may fire you at will.
Read company policies. Check offer letters or other communications you may have received upon being hired to see if they specify that the full-time work is exclusive. You may be required to obtain permission before taking on outside employment. If you can’t find the policy in your records, ask the human resources department.
Communicate transparently. Even if your policies allow it, be upfront with both employers about your other job commitments. Being honest about your situation will help establish trust with your managers, and they’ll have a chance to weigh in on how your work will be scheduled and evaluated.
Deciding if you should work two remote jobs at once is a personal decision that’s best informed by understanding the full risks and benefits of the situation. Ensuring that you’re operating ethically, following each company’s policy and being transparent about the time demands of your jobs can help ensure that both engagements go smoothly.
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Should You Work 2 Remote Jobs at Once? originally appeared on usnews.com
Update 11/14/24: This story was previously published at an earlier date and has been updated with new information.
