Pros and Cons of Self-Employment

Pros and Cons of Self-EmploymentSelf-employment has been pretty awesome for me so far. I wouldn’t change a single thing. A question that many people ask me is whether or not I would ever go back to working for somewhere else.

The answer is NO.

Even though my answer is no, there are a few cons of self-employment. But that’s okay, because there are plenty of positives of self-employment as well.

Working for yourself is a pro in itself.

Being in control of what I do is wonderful. It’s nice to know that what I do has a direct impact on my future (I guess that can be scary as well). I can do what I want, when I want.

Being able to create your own schedule is a pro.

I love being able to make my own schedule. I don’t HAVE to start work at a certain time each day, which is nice. I used to hate the mornings, but now that I work for myself, it doesn’t bother me anymore.

No more commute is amazing!

I really hate bad drivers. My morning commute almost always made me mad because of all of the crazy drivers on the road. I don’t know how some of you who live in bigger cities do it (such as with the notoriously bad drivers in Miami or Chicago), I would go absolutely nuts.

Not having a commute also means that I can save that time that I would be driving and work instead. I also don’t have to pay for gas to drive to work. It wasn’t a ton of money to drive to work, but it was around $150 to $200 each month.

Not having a designated vacation is both a pro and a con.

Being self-employed and being able to work from my laptop means that I can work from wherever and take a vacation pretty much whenever my budget allows for one. However, it can be really hard to separate work from life/vacation. This usually means that I work a lot while on vacation.

Losing benefits is a con.

When you work for someone else, they tend to do a lot of things that you may not think about. They pick out the health insurance, handle taxes, and more.

When you no longer work for someone else, you also lose all of these benefits. You will have to pay for your own health insurance, taxes (and they will be higher now!), any retirement matches and so on.

Income may not be stable, which is a con. 

With self-employment, the thought of my income completely drying up the next day does pop into my head every now and then. It’s not something that I’m constantly thinking about, but a slow day does sometimes make my mind wander.

Do you want to be self-employed? Why or why not?

 


Comments

Pros and Cons of Self-Employment — 15 Comments

  1. I used to say NO pretty adamantly too when I became self-employed 3 years ago (yay for us!), but lately I’m realizing that the only thing that REALLY matters is if I’m *happy* working on whatever it is I’m currently working on. Lately it’s been blogging and building online projects, but if tomorrow I woke up and realized I wanted to get back to being around people and working on cool stuff as a team (aka a startup or 9-5), I’d totally be up for that now. I think however you can get the most satisfaction – and a lot of money from doing so (haha…) – you’ll be on the right path. And it seems you are at this point! Congrats 🙂

  2. I would even be happy just to be able to work from home to avoid the jerks on the road! Not a good way to start or end the day. I don’t think I would mind waking up in the morning as much either. Benefits and taxes are the biggest concerns for me.

  3. I’m self-employed myself with the majority of my income coming from being a real estate agent and I think the biggest stress for me is the unstable income. I consider going back to the workforce to get that stable income and benefits, but then I remember how rare it is to have the flexibility that my job and side hustles allow so I keep chugging along. Some day it won’t be a stress for me.

  4. I am waiting for the day to be self employed but after my “test” period I realized that I’m not 100% ready yet. I also have to make sure that when I take that plunge I have more money saved as well.

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  6. “I often think that working for somebody else is like renting an apartment; working for yourself is like owning your home. Both have their rewards, but they each have drawbacks, too.”

    Nice Analogy. Thanks

  7. I am currently self-employed as a freelance writer and I LOVE it! I have two little boys (one is still a baby!) and I love that my work is super flexible and allows me to work from home as much or as little as I want.

    It also helps that my husband does have a stable job and I could go back to work at any time so I don’t worry about my source of income drying up at all.

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  9. Great post, thank you for linking this in Michelle..

    Looks like you are really getting some great traction on the blog.. Do you do blog carnivals :)?

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