There are many reasons women choose being an independent contractor over a salaried position. Of course there is the obvious, the flexibility. But there are many additional benefits for working for yourself. And there are pitfalls too. In this article I will cover both the benefits and the down side of working as an independent contractor. As always, I will encourage women in their pursuit of happiness but I will also always be real in my posts.
At the ripe age of 57 I chose to become and independent contractor too-I have a passion for travel and decided to take that passion and make a career of it. My suggestion for you is to find what makes you happy, what makes you want to get up in the morning and get to work? And then think about whether you can take that passion and turn it into a business.
A few of the benefits of working for yourself
As mentioned above and possibly the most important reason for women of all ages-flexibility.
Autonomy: Independent contractors have the freedom to make decisions about their work, including the type of projects they take on and how they complete them.
Avoiding Age Discrimination: By working independently, women can sidestep potential age discrimination that might be more prevalent in traditional employment settings. Unfortunately-ageism is real and often times women are forced out of the work force and become self employed because of lack of options.
Personal Growth: It provides an opportunity for continuous learning and personal growth, keeping them engaged and mentally active. Keeping the mind active and interacting with others is so important especially as we age.
Reduced Job Stress: Working independently can reduce the stress associated with office politics, commuting, and other pressures of traditional jobs.
Transition to Retirement: Independent contracting can serve as a transition phase towards retirement, allowing women to reduce their work hours gradually. And if you have chosen something you enjoy you may never retire. I plan to stay in travel for my retirement years and the perks that come with travel.
While being an independent contractor offers many benefits, there are also several potential downsides or pitfalls of working for yourself.
Income Instability: Unlike traditional employment, independent contracting often comes with fluctuating income and periods of uncertainty regarding future work. Holidays and vacation months and even weather can affect small businesses.
Isolation: Working independently can lead to feelings of isolation, as there is often less social interaction compared to a traditional office environment. If working from home without clients-join a networking group or groups to stay engaged and involved in your community.
Lack of Benefits: Independent contractors typically do not receive benefits such as health insurance, retirement plans, paid leave, or other perks offered by traditional employers. And medical insurance gets more expensive with each year.
Self-Employment Taxes: Independent contractors are responsible for paying their own taxes, including self-employment taxes, which can be complex and require careful planning. Make sure you put something away each month or pay quarterly-its much less painful than writing one big check in April.
These challenges require careful consideration and proactive management to ensure a successful and sustainable career as an independent contractor.
This list is for a point of reference and is in no way meant to discourage you.