Many would have different perceptions as to which type of career is most beneficial. Some will argue that employment status provides stability and more reliable prospects, whilst others will state that freelance engagements lead to better profit margins. In this article, we shall be discussing the benefits and downsides of both.
Full-time employment provides more perceived stability
One of the reasons why many would opt for full-time employment is due to the perceived stability. In most cases, one’s monthly income would remain the same and gradually improve going forward. Such a position would allow one more stability to take on long-term commitments, with less pressure. Although this is indeed the common belief, a business may perform below expectations, with job security becoming an issue. Just one recent example is the fact that many freelancers were hard hit by the impacts of the subsequent economic fall-out brought about by the pandemic.
Full-time employment perceived as a lesser hassle
When working full-time, typically one is expected to meet the requirements as explained in the job role or description. When one works on a freelance basis, he is expected to undertake all necessary tasks, such as accounting, tax returns, marketing, promotion and recruitment if necessary. All this would be coupled with the likelihood of chasing for due credit. All these activities are time consuming, restricting you from doing the work that you are being paid for.
Freelance employment allows for higher profit margins
Working independently allows one to set his own rates, enabling certain flexibility which cannot be provided through normal employment. The fact that one sets his own rates allows working towards outcomes that make business sense. In view of the higher risks, the rewards reaped would yield to better returns.
Freelancing equates to more flexibility
Although freelancing brings about more tasks, it does provide a certain degree of flexibility. Freelancers do not need to abide by strict schedules as technically, they become their own bosses. They can set their schedules and manage time in a more convenient fashion. One example would be allocating most of the usual office hours to client acquisition, whilst the later part of the day may be used to complete the work assigned. It really depends on one’s preference and what leads most to better productivity.
What are your views? Do you prefer to work on a full-time basis or as a self-employed? Or perhaps both? Let us know your views in the comments section below.