Benefits of working for yourself as a Freelancer or Contractor
Contractor and Freelancer careers are becoming increasingly attractive to professionals across the UK who are looking to move from their current employed position. As a professional, there are various options now available to move to a self-employed career and it has never been easier. By moving from an employed position to a contracted or freelance position, people are able to create a better balance between their work and personal lives. Rather than taking on standard full-time hours and a more repetitive routine, contractor and freelance careers offer an exciting mix of projects that can challenge and excite professionals whilst giving them more financial benefits and freedom.
In this blog we’ve listed what we believe are the 5 top reasons for making the switch to becoming a freelancer or contractor:
1. More Opportunities
When you work as part of the rigid corporate structure, it is easy to see your opportunities decrease over time. It can very easy to become settled and content with your job role albeit with a lack of opportunity.
Whilst being stable for a long period of time works for many individuals, others will feel they may not be getting the chance to take on new tasks and learn new skills. Whilst certain employers are open to teaching staff new skills and helping them become more versatile, it can be difficult for workers to experiment with the new skills they learn. Making the career move to freelance or contractor will give you the time and freedom to start looking for new opportunities. These can be either career opportunities or learning opportunities where you’d be able to put new skills into practice.
2. Career Control
Some professionals appreciate operating as part of a team with a senior manager or CEO above them. However, the complete control afforded through contracting or freelance work can be especially rewarding as you are able to set your own schedule, goals, and workload depending on your life. For example, if there are days you know you will not be able to work due to other lifestyle commitments, you can make it clear as a contractor to your current employer or as a freelancer to your clients that you cannot work for that set period of time. There are no maximum holiday limits within these roles as long as you plan your workload accordingly.
Ultimately, it is great to have more control over your career but it also means there is more responsibility to consider, such as managing your finances and legal requirements. For example, you will need to be on top of tax laws and IR35 regulations but this can be very time-consuming. If you would like to know more about managing your financial situation as a contractor or freelancer, please get in touch with 3 Wise Bears Accountants.
3. Financial Rewards
Many professionals may be looking to take on a new career path by seeking better financial rewards and it is often the reason contracting and freelancing can seem so appealing. If you have a large network of potential customers, by taking on contracting or freelance work, you can gain a greater personal financial position. As your experience grows, you can take on bigger projects and this in turn will bring better financial returns for your hard work, although your flexibility may reduce as you become busier. What’s also great about being self-employed is that you are able to set your own hourly rate. For example, freelancers are paid higher rates than their employed counterparts due to the flexible nature of the relationship and the fact that many projects can be relatively short-term. Although this isn’t always the case, some projects can last for years depending on what the objective is.
4. Greater Challenges
Full-time employment can quickly become repetitive as professionals may find themselves doing the same tasks day in, day out. Quite often, full-time positions can be relatively restricted in their roles and people are only given very specific tasks to their so-called ‘niche’.
Employed workers are usually asked to complete the same duties day-after-day, while contract work and freelancing enables professionals to meet new people and try new fields of work. With each new project comes a new challenge which is something very rarely achieved in a ‘normal’ full-time role.
5. Meeting new people and networking
Working in a traditional role, you’ll find yourself working with the same individuals every day and although most professionals are happy with this, it does drastically reduce any potential opportunities to network and meet new people. Networking is crucial for any successful businessperson. With services, such as LinkedIn, making it easy for professionals to collaborate and exchange ideas, freelancers and contractors can use their time to develop close ties with clients, businesses and other specialists in their field.
If you’re considering a contracting or freelancing career but would like some more information on the financial implications, you can speak to a member of the 3 Wise Bears team on 020 3793 1703 who can go through your options with you.