Most people would love to trade their job for freelancing. There’s only a distance between your bed to your desk as your commute which is something that a lot of people crave, and yet there’s still quite a lot of pitfalls that many do not consider. There’s a lot of comfort that freelancing can provide such as being your own boss and working in the comfort of your own home, but if you’re self-employed, it would mean to say that you will have to some financial paperwork that needs to be taken seriously and that you should know how to fix them.
The thing about being able to work in a company, whether it’s a big company or a small one, you get to have a certain level of financial security. One of the reasons why people would hate going to work in a company is that they might be bored already with the usual routing unlike freelancing where they have control over their schedule and can cut costs for commuting and clothing. In case you’re not yet aware, working at home also comes with its own set of costs. With that said, below are things you should consider to look at before you switch to freelancing.
The huge benefit that you can enjoy with freelancing is that you can actually have savings on a daily basis. There’s no need for you to refuel your car for a long commute just because you’ll work every day. You can literally cut out monthly travel pass out of your life. Without having to commute for work, you get to have extra time to work which means that you have the chance to earn more rather than only working within a fixed hour a day for a fixed payment.
Another thing that you should consider looking is your bank statement. See if you’ve already saved a lot and make sure it’s enough to save support you until you start to receive your next wage again. You’ll probably notice that things can be a bit slow at first if you just moved into freelance recently, so it is crucial that you can back yourself up for at least three months just to make sure.
Because of the fact that freelance jobs are by contract, it is important that you establish a solid relationship with clients to ensure that you get a regular work stream. Always remember that your income will actually vary depending on the job and the time of year, so it’s crucial that you do some planning ahead of it.
Once you’re a freelancer, your finances will vary, and there are several things that you need to take into consideration before you leave your job with stable pay.