Freelance or Full-Time Job: Which Option is Better for Your Financial Life?

Freelance work has been on the rise. About 57 million Americans freelanced in 2019, and that number is 4 million higher than just five years ago. The appeal? Work from home in your pajamas and log on whenever you feel like it. However, anyone who has ever freelanced before knows that isn’t the whole truth.

Although freelancing offers flexibility, it comes with a lot of uncertainty. Freelancers often don’t know how much income they’ll bring in since it’s tied to the number of clients they have and the amount of work secured. While they do have some say in who they work with, if the bills need to be paid, that usually means taking on whatever work is available.

On the flip side, anyone with a traditional 9–5 job knows that it isn’t always what it’s cracked up to be. You get the job security and stability (for the most part), but that’s also paired with less flexibility and ownership. Unfortunately, many people find themselves in undesirable work environments doing meaningless tasks, which leaves them unfulfilled.

Why does it matter? We spend a lot of time at work —approximately 13 years of our life. That’s why it’s so important to find a job that supports your lifestyle. Your financial well-being depends on your income, and your physical and mental well-being are heavily influenced by how you spend your time. Whatever your current work situation is, you’ve probably dreamed about what life’s like on the other side.

Is freelancing better than working full-time? Maybe or maybe not. You just have to find what works for you. We all want something different out of our career, whether it’s wild success or just a steady income to fund our bucket list desires.

Explore the infographic below to learn more about what the future of work may look like and whether the freelance lifestyle could “work” for you.

If you’re considering losing the office job to branch out on your own, you’ll want to consider the costs that come with freelancing. And if you’re already a digital nomad looking to get a taste of working for a company full-time, you should be prepared for all of the aspects of a traditional role. The other option? Take a career break and figure out what’s most important to you. As long as you’re happy and setting your future self up for success, you’ll be in great shape.

Sources

Upwork | Statista | TurboTax | CareerAddict