The number of self-employed in the UK continues to grow and is now about 5 million people. So why has this growth taken place? Typically, there are many advantages in being self-employed:
- You become your own boss, answering only to yourself and your clients. You control what work you do and how you do it, implementing your own systems and procedures. When you’re employed, if it goes wrong, you get the blame, but if things go well, your boss takes the credit!
- You can fit your work around your lifestyle and family. These days most people want to work when it suits them, no longer forced to work 9 to 5, wasting an hour for lunch. There’s an event on at your child’s school. Why should you miss this when it would be quite reasonable to work late another day to make up the time? And if it’s that rare beautiful day, if you decide at the last minute to go hiking or just relax, why not?
- Potentially avoiding the time and cost wasted commuting. Commuting these days is not only expensive it’s time-consuming and stressful. Many self-employed work from home or at the very least, have the freedom to choose their journey times.
- More lucrative. If you’re good at what you do, the chances are you will earn more being self-employed. Yes, you may lose holidays and the odd corporate perk but overall, you’ll be better off as studies show that freelancers earn at least 40% more.
- You can choose who you work with. Fed up with disengaged co-workers or clients or customers who drive you to despair? When you work for yourself you can choose who you work with, whether business partners or employees or clients and customers. No more corporate backstabbing!
- More variety. When you’re a contractor or a freelancer, it is your responsibility to keep up with change, adapt and update your skills. You’ll need to be more creative and work out how to do the job better and quicker, not just do the same old things you’ve done so many times before.
- No longer having to work for people less competent than yourself. You hear many employees moaning about the boss and how things could be done better. If you work for yourself then you can prove how good you are by demonstrating better, more efficient ways of working. In addition, you will be responsible for your own success.
- 100% engagement and motivation. Being a freelancer or contractor means by necessity a level of engagement of 110%. You can’t sit back and take it easy, watching the clock tick by. Let’s face it, work is so much better when you’re flat out and don’t have time to be bored!
- More control. You can choose your own equipment and workspace, and what systems and software you use. Many employees are stifled by having to follow outdated procedures or equipment. They know things could be done quicker with less errors or more efficiently but are powerless to make any changes, so sit back, drift through the day and seek satisfaction outside of work.
- Save tax and National Insurance. If you have a job, there is very little you can do to save tax or National Insurance, it’s just the way things are. If you’re self-employed, there are numerous ways of saving tax and avoiding paying any National Insurance. Yes, this is unfair, but it’s just life – so take advantage while you can!
Many clients tell me they are so fed up with being made redundant and having to change jobs frequently they are never going to get another job, using their own established limited company to work for themselves, taking responsibility for their own future and financial security. Why not join them – we can help you establish your limited company and relieve you of any tax and administration allowing you to focus on establishing your business!