Advantages and Disadvantages of Self Employment – A Review For Home Based Business Entrepreneurs
Many employees have dreamed about one day owning their own business. They have already thought about how it will feel when they leave their jobs and strike out on their own. There are many advantages and disadvantages of being self employed that people do not always consider.The advantages and disadvantages of being self employed are numerous. Not having a boss means that a person is able to make their own rules. They get to make all of the decisions and do not have to ask anyone else for permission before they make a move. This can also be a disadvantage. Sometimes it is nice to sit back and follow orders as an employee. Employees don’t have to figure out what a company’s next move should be. They just follow directions, but don’t you want to make your own decisions?Money is one of the advantages and disadvantages of being self employed. Employees can pretty much rely on getting a pay check and having a job if they follow their employer’s rules and do what is required. However, business owners cannot always rely on having steady income nor steady work. The amount of money they bring in is dependent on how successful they have been at attracting and maintaining revenue streams.Other advantages and disadvantages of being self employed are related to flexibility of the work arrangement. Business owners are able to arrange their schedules any way they would like and can take vacations whenever they want. Employees may need to follow strict working times and may not be able to have days off at their leisure. However, self-employed people sometimes find that they are not staying focused and doing what they need to do because of the flexibility they have. They may not be as productive under these circumstances.Self employed people have to fill out different tax forms than employees. They have to keep records of income and expenses or hire someone to do so. Employees do not have to keep up with that much paperwork (depending on the job). However, business owners are able to take advantage of many tax deductions that employees cant. So those are some advantages and disadvantages of being self employed related to taxes.
