6 Advantages and Disadvantages of Becoming a Freelancer
Are you still confused whether you want to work an office job, or as an online freelancer? Well, these 6 advantages and disadvantages of becoming a freelancer could help you decide.
I’ve been working in a company for over 5 years, and I still felt that there was lacking.
And what is that?
I don’t have the passion for my work. I simply work because I needed to, not because I want to.
Few things which I don’t like working in a company:
- I need to wake up early in the morning
- I need to travel 4 hours back and forth
- There’s metric that needs to be met
But most of all, I don’t like the kind of stress it brings to me.
On the other hand, I like the people that surrounds me. They are so nice and very approachable.
Though there are still politics happening in a company, if you know what I mean.
Today, I am now working on my own as a freelance blogger.
And so I have listed the 6 advantages and disadvantages of becoming a freelancer.
6 Advantages and Disadvantages of Becoming a Freelancer
I want to start on the disadvantages first as these are the things you need to consider if you want to become a freelancer.
6 Disadvantages of Freelance
1. No Employer Benefits
That includes HMO / health insurance, bonuses like 13th month pay, sick leaves, vacation leaves, and more.
Some employee only works in a company because of the health insurance.
It is just too expensive to get ill, and can’t afford the hospital bills.
I admit that I was one of the persons who consider to work just because of the health benefits.
2. Inconsistent Cash Flow
Unlike working in a company, you are not paid regularly with the same amount. Sometimes it’s high, and sometimes it’s low, depending on your workload and working hours.
And you need to set your goal to earn more than what your company paid you before. Why?
Because you no longer have bonuses, so you need to save it.
3. Find Your Own Job
When you are working in a company you will be introduced to your own regular tasks.
The company will train you, your coworkers will support you, and your supervisor will guide.
Not in the vocabulary of freelance.
You find your own client, you train yourself, and you work on your own.
So you must learn to be independent.
4. No Distinction Between Work Time and Personal Time
You hold your own time, so if you are that workaholic, you cannot distinguish between work time and personal time.
You can work longer hours if you want to, that means no time for personal interest.
Then you have no specific rest days. Sometimes your client will require you to work during weekends.
Of course, you can’t say no because it is part of your job.
5. Need to Wear Many Hats
Remember that you are working on your own.
So aside from the tasks that your client wants you to do, you are also responsible to do administrative tasks such as billing, paying invoices and dealing with other accounting matters.
Though you can hire an accountant, but if you can’t afford a financial advisor, you will be the one tracking your finances on top of all your other responsibilities.
Applying at a company is much easier compared to freelance. Why?
In a company, as long as you have the skills they want, then you will definitely get hired.
But not in freelance.
You have a lot of competitors in a 1 job. That means you need to excel among of your competitors if you want to get the job.
Now before we proceed to advantages of becoming a freelancer, I want to share with you these illustrations of an employee vs freelancer.
Let me give you more details about working as a freelance.
1. Getting Up – You don’t have to wake up early since you will be working in your house.
2. Preparation and Dress Attire – You don’t need wear business / casual attire, you can work even in pajamas.
3, Travel to Work – It will only take 5 to 10 seconds to work, compared to 2-3 hours travel to the office.
4. Bad Weather / Heavy Rain – You will enjoy the cold weather while sipping a cup of coffee. Employees will make excuses not to go to work. But if they do, they will be facing a big problem, especially if there’s a flood.
Those are just a little bit of advantages on becoming a freelancer.
6 Advantages of Freelance
1. Flexible time
You managed your own time. As long as you deliver the client needs, then you are good to go.
You don’t have to worry about meeting the 8 or 9 hours per day.
One of the disadvantages I have mentioned is that you cannot determine the work time and personal time. And even working on weekends.
But you do have the option.
If you don’t want the schedule because it is ruining your weekend, then you simply end the contract and find another client.
2. You’re the boss
You don’t have a lead, or a manager, you are working directly to the client.
That means no one will be hanging around monitoring your tasks, because you don’t work for anybody except for your client.
Making all the tough decisions will be your responsibility.
You have all the control.
3. Work wherever you want
You are not only limited to work at home. So if you are bored and want to go outside you may do so.
You can work in the city, in the coffee shops (Starbucks), or even in the park, as long as there’s an internet connection.
If you don’t much responsibility in your house, you can even travel around the world while working.
4. Control over your work and clients
Working in a company is kind a hard, especially dealing with difficult bosses and clients. Why?
Because you will deal with them every single day until you resign.
You don’t have the choice because they are your boss. That means you are stuck with them and you need to deal with it.
But if you’re a freelancer, you can simply pass the opportunity and just wish them the best in their business.
5. Take all the profits
You are directly hired by the client. So there is no hidden deduction on your earnings.
Unlike working in a company, they will never tell your actual rate. For example, they charged the client $10 / hour for your job.
But they will only give you a $3 hourly rate.
That’s how it works, since the company holds your job.
6. Learn how to run a business
Becoming a freelancer is most likely running your own business. You manage the finances, you will become a salesperson, administrator and other things need to run in a business.
And maybe soon, a business owner in a small company.
You may want to read these:
- 10 Tips How to Become a Successful Freelancer
- Freelancer Tutorial: Step by Step Beginner’s Guide to Upwork
- Upwork Profile Rejected: How To Get Your Profile Approved
I have to be honest that I am a little bit of biased to freelance.
Not because I like it, or it is currently my job, but because I have experienced both of them and I can differentiate.
You know what, some big companies also started as a freelancer first.
Freelance to Entrepreneur, then started to handle their own company.
So I can say that if you want a change in your life, you better try freelancing. It’s hard at first, but get through, it will be much easier than you ever imagine.
Though it is still not for all, and you can determine it by answering these questions:
- Do you love your job?
- Are you passionate about your job?
- Can you see a future on your job?
If your answer is yes, then that job is meant for you.
But if your answer is a big NO, I think we are on the same path.
And freelancing might be the job you are looking for.
Recommended Courses from Udemy:
- Success and Freelancing – A Complete Freelancer Guide
- Instagram Marketing: A Step-By-Step to 10,000 Real Followers
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