Want to be a ‘freelancer’? You have to face these 7 constraints!

One of the advantages of being a freelancer is able to set the schedule and type of work as you wish. But on the contrary, certainly there are always pros and cons. One of the major issues facing the freelancers is financial problems. Before deciding to be a freelance worker, there are some financial problems that might be encountered. Prepare yourself to overcome these problems wisely.

1. Manage your personal finance.
Not only the office workers are often confused with their financial plan. As a freelancer, you often forget to separate invoicing accounts (bills used for operational costs) with household costs. The money for household expenses can be ran out for the job instead, or vice versa.

2. Uncertain incomes.
Surveys said that 56 percents of financial problems caused by erratic pay and time. Even if you have uncertain income, however, your monthly routine expense is a certain thing. You have to be good in your money management.

3. Not having an emergency fund.
Due to the amount of salary and also payday time is not fixed, freelance worker also tend to ignore the existence of an emergency fund. In fact, whatever your job, you should have savings fund to deal with emergencies. For example, when you are sick or repair your broken laptop.

4. Have no health insurance.
Many workers, include freelancers, are still ignoring the importance of health insurance. If you are listed as an employee of the company, maybe you will get the health benefits from your office. But as a freelancer, you certainly do not get it. In fact, health insurance is needed by all workers, regardless of job or status.

5. Ignore saving.
Due to the amount of money and frequency in uncertain, a lot of freelancers rule out the importance of saving and investing. Most of the money actually runs out to cover household expenses and also work expenses.

6. Not prepare for retirement.
Just like office workers, a freelancer does not mean working forever. At certain time you have to quit working and enjoy your retirement. To dream and enjoy a memorable and beautiful retirement time, you should arrange financial planning since you still young and working.

7. Do not make tariff adjustment.
Salaries earned from freelance work is indeed not the same from year to year. The salary should be adjusted to the length of employment, type of work and the company you work on freelance basis.

Related Post