Self-employment is in some sense a dream. No more boss telling you what to do, and what not to do. Setting your own hours. Keeping the money you produce. However, as we will discuss in this blog, it is not all that easy. However, the rewards are well worth the effort.
At first, the person beginning the self-employment journey, known as some as an entrepreneur, faces long odds at success. Put in the long hours, do something you enjoy and have the ability to make your own schedule, and self-employment can just be the ticket in the world of small business.
I say small business because every self-employment venture begins on a small level. That does not mean it cannot grow to something large. Before we get there, let’s take a look at the aspects of self-employment.
FREEDOM
This is the word that first comes to mind when the idea of self-employment is mentioned. A person is free from the constraints of the typical job. They can then create a business that fits their needs.
There are drawbacks to freedom as will be examined later. However, there is no substitute for setting your own schedule that fits your lifestyle. Want to start work r at 6:00 a.m.? No problem for the entrepreneur. Take a one-hour break in the morning to work out. Again, it is all there. You just have to leave enough time to do all the work.
The topic of long hours will address the good and bad ascepts of freedom. Just remember that there is a tremendous payoff for the self-employed at the end of that free, long day.
TAX ISSUES
This was put here to raise a red flag. One drawback of self-employment is the tax issue of withholding. For an employee, taxes are withheld from the paycheck, and the employer share of social security and Medicare are paid by the company.
None of the above happens for the self-employed. You must withhold all taxes and submit them quarterly as estimated taxes. This requires not only self-discipline but accurate calculations. Failure to make those payments can lead to a large tax bill when filing a return.
Bottom line means either hire an accountant or tax firm or learn how to deal with taxes yourself.
LONG HOURS
Back to where freedom hits the wall. No more clocking out and leaving when the shift is over. The true self-employed individual businessperson is going to work long hours. There is no way around it.
If you are doing what you really want to do in a business, then long hours should be no problem. If it is, then maybe self-employment, or at least the one you are in, is not for you.
There is a joy in ending a long day knowing you have your business on the right track. If you take time for some freedom during the day, then those long hours will not seem so bad.
SCHEDULE FLEXIBILITY
This is where the intersection of freedom and long hours meet. You can schedule a medical appointment whenever without anyone’s approval. Take the dog for a walk. Just put it on the calendar.
The drawback is that no one is going to do your work. That is why long hours are part of the lifestyle. You are free to draw whatever schedule you desire as long as you get the work accomplished.
BE YOUR OWN BOSS
All of the above topics have directly or indirectly shown that a self-employed person is their own boss. That is one of the best benefits of self-employment.
The flip side is self-discipline. You have to adhere to a set, but flexible schedule. Put in those long hours and reap the results.
Get advice from other self-employed individuals. In the end, you make the final decisions. That is what being your own boss means. Take credit when things go good and learn from your mistakes.
GETTING STARTED
The first step is to take the leap. You may be able to keep your old full-time job while setting up your self-employment endeavor. That will be hard. It is most likely best to make that leap complete. Breakaway from the old job and dive into self-employment.
Of course, you have to have produced a plan before you start. Pick the field or business area where you intend to work. Come up with the necessary financing. That may be a real problem. There are startup expenses such as rent, insurance, and inventory.
The amount of the expenses depends upon the type of self-employment. Making the financial outlay is all part and parcel of self-employment.
Finally, pick work that fits your passion and talent. That is critical to surviving those long hours and crazy schedules.
This cannot be stressed enough. Self-employment only works if you really love the work. If you have that passion and desire, everything else mentioned above will fall into place.
MAKING IT ALL WORK
It is obvious that making the self-employment dream happen involves all of the above issues. There is no guarantee that it will work. However, if you select an area of business that you enjoy, and if you work hard with the proper financing, you have a good chance of success.
The key is not to give up when something goes wrong. There are always problems in any business. When you are the employee, the boss handles those concerns. When you are self-employed, the ball is in your court. Fix the problems and do not let them get you down.
This blog has been intended to give the individual getting ready to take the leap into self-employment a general idea of the good and bad. Just remember to keep the course and do not forget the ultimate goal. A thriving business run by a self-employed person who is doing what they want to accomplish in life.
Self-employment is in some sense a dream. No more boss telling you what to do, and what not to do. Setting your own hours. Keeping the money you produce. However, as we will discuss in this blog, it is not all that easy. However, the rewards are well worth the effort.
At first, the person beginning the self-employment journey, known as some as an entrepreneur, faces long odds at success. Put in the long hours, do something you enjoy and have the ability to make your own schedule, and self-employment can just be the ticket in the world of small business.
I say small business because every self-employment venture begins on a small level. That does not mean it cannot grow to something large. Before we get there, let’s take a look at the aspects of self-employment.
FREEDOM
This is the word that first comes to mind when the idea of self-employment is mentioned. A person is free from the constraints of the typical job. They can then create a business that fits their needs.
There are drawbacks to freedom as will be examined later. However, there is no substitute for setting your own schedule that fits your lifestyle. Want to start work r at 6:00 a.m.? No problem for the entrepreneur. Take a one-hour break in the morning to work out. Again, it is all there. You just have to leave enough time to do all the work.
The topic of long hours will address the good and bad ascepts of freedom. Just remember that there is a tremendous payoff for the self-employed at the end of that free, long day.
TAX ISSUES
This was put here to raise a red flag. One drawback of self-employment is the tax issue of withholding. For an employee, taxes are withheld from the paycheck, and the employer share of social security and Medicare are paid by the company.
None of the above happens for the self-employed. You must withhold all taxes and submit them quarterly as estimated taxes. This requires not only self-discipline but accurate calculations. Failure to make those payments can lead to a large tax bill when filing a return.
Bottom line means either hire an accountant or tax firm or learn how to deal with taxes yourself.
LONG HOURS
Back to where freedom hits the wall. No more clocking out and leaving when the shift is over. The true self-employed individual businessperson is going to work long hours. There is no way around it.
If you are doing what you really want to do in a business, then long hours should be no problem. If it is, then maybe self-employment, or at least the one you are in, is not for you.
There is a joy in ending a long day knowing you have your business on the right track. If you take time for some freedom during the day, then those long hours will not seem so bad.
SCHEDULE FLEXIBILITY
This is where the intersection of freedom and long hours meet. You can schedule a medical appointment whenever without anyone’s approval. Take the dog for a walk. Just put it on the calendar.
The drawback is that no one is going to do your work. That is why long hours are part of the lifestyle. You are free to draw whatever schedule you desire as long as you get the work accomplished.
BE YOUR OWN BOSS
All of the above topics have directly or indirectly shown that a self-employed person is their own boss. That is one of the best benefits of self-employment.
The flip side is self-discipline. You have to adhere to a set, but flexible schedule. Put in those long hours and reap the results.
Get advice from other self-employed individuals. In the end, you make the final decisions. That is what being your own boss means. Take credit when things go good and learn from your mistakes.
GETTING STARTED
The first step is to take the leap. You may be able to keep your old full-time job while setting up your self-employment endeavor. That will be hard. It is most likely best to make that leap complete. Breakaway from the old job and dive into self-employment.
Of course, you have to have produced a plan before you start. Pick the field or business area where you intend to work. Come up with the necessary financing. That may be a real problem. There are startup expenses such as rent, insurance, and inventory.
The amount of the expenses depends upon the type of self-employment. Making the financial outlay is all part and parcel of self-employment.
Finally, pick work that fits your passion and talent. That is critical to surviving those long hours and crazy schedules.
This cannot be stressed enough. Self-employment only works if you really love the work. If you have that passion and desire, everything else mentioned above will fall into place.
MAKING IT ALL WORK
It is obvious that making the self-employment dream happen involves all of the above issues. There is no guarantee that it will work. However, if you select an area of business that you enjoy, and if you work hard with the proper financing, you have a good chance of success.
The key is not to give up when something goes wrong. There are always problems in any business. When you are the employee, the boss handles those concerns. When you are self-employed, the ball is in your court. Fix the problems and do not let them get you down.
This blog has been intended to give the individual getting ready to take the leap into self-employment a general idea of the good and bad. Just remember to keep the course and do not forget the ultimate goal. A thriving business run by a self-employed person who is doing what they want to accomplish in life.
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