As an independent contractor, freelancers (freelance worker) are self-employed professionals who provide services to clients on a contractual basis. They can work for a range of organisations, from SMEs to large enterprises, and tend to specialise in a particular industry or skill set.The freelance economy is booming. In fact, almost 40% of Americans now freelance as their primary source of income, according to the U.S. Department of Labor . And demand for freelancers is only going up from here.
As more companies look to reduce costs while maintaining quality output, they’ll be turning to freelancers more and more frequently as a result. If you’re interested in becoming a freelancer, asking yourself what is freelancing all the time, and taking advantage of this growing opportunity, read on for our ultimate guide on how to become a freelancer in 2022!
What Are the Benefits of Being a Freelancer?
When you become a freelancer, you gain a ton of benefits that are unavailable to employed workers. These include:
1. Flexibility
Freelancing lets you structure your schedule the way that works best for you. Whether you have kids, health issues, or other obligations, you can choose what hours you work.
As a freelancer, one of the great advantages you have is the ability to control how much work you take on and when you work. This flexibility can be a real lifesaver when you need to take care of family or other personal obligations. Of course, the downside of this flexibility is that it can be hard to commit to deadlines and maintain a consistent income. But if you can find a good balance, freelancing can be a great way to make a living.
2. Control
When you’re an employee, you don’t have control over your career path. When you’re a freelancer, however, you get to choose what type of work you do and who you do it for.
Another benefit is that you can set your own hours. This means that you can work when it is convenient for you and take time off when you need it. Finally, freelancing can give you the opportunity to earn a higher income than you would earn working for someone else. This is because you are in control of your own rates and can charge what you feel your services are worth.
3. Passion
Some jobs are just plain boring. When you’re an employee, you probably don’t get to do the work you love. But as a freelancer, you can turn your passion into a full-time career.
For starters, you get to be your own boss and set your own hours. This can be a great way to achieve a better work/life balance. Additionally, you have the potential to earn a lot more money than you would working a traditional 9-5 job. And finally, you get the opportunity to do what you love every day!
4. Profit
As an employee, you typically don’t get a share of the profits your company makes. But when you’re a freelancer, you get to take home 100% of your earnings.
What is the Freelance Economy and Why Is It Growing?
The freelance economy is the growing number of people who work as contractors rather than employees, often doing short-term projects. There are many advantages to hiring freelancers, including lower costs, fewer benefits, and a more flexible workforce. While the freelance economy has been a growing trend in recent years, it’s not just a fad—it’s expected to keep growing over the next decade. There are a few reasons why the freelance economy is expected to keep growing.
First, new technologies make it easier than ever for people to find work as a freelancer. Second, more companies are using contractors to save money and retain a flexible workforce. Third, more workers are choosing to freelance rather than get a traditional job. This trend is particularly pronounced among young people and members of Generation Z.
Types of Freelancing
When talking about what is freelancing, you’ll encounter a few different terms and definitions. Here are the most important ones:
Contract work – Contract work is the most commonly discussed form of freelancing. It’s when a freelance worker is hired on a short-term project-by-project basis. –
Permanent freelancing – Permanent freelancers are essentially self-employed contractors who work with one company for an extended period of time. –
Side hustling – Side hustling is essentially contract work that you do on the side while holding down a full-time job. It’s generally short-term and not meant to be a long-term career. –
Permanent employment – If you can’t find contract work or think it doesn’t suit your needs, you can always look for a permanent job. While most companies don’t hire full-time employees as freelancers, some larger companies do this as well.
Downsides of Becoming a Freelancer Worker
While there are plenty of benefits to freelancing and upsides that feed up the question of what is freelancing, there are also some downsides to consider.
These include:
1. You’re Always Working
You’re a freelancer, there’s no such thing as a 9-5 workday. You’re always working, whether it’s during the day, at night, or on the weekends. If you want to be successful, you have to be willing to put in the extra hours.
2. You Have to be Self-Motivated
There’s no one breathing down your neck telling you what to do when you’re a freelancer. You have to be self-motivated and disciplined in order to get work done. This can be tough for some people.
3. You’re Always on the Hunt for New Clients
When you’re a freelancer, you’re always on the lookout for new clients. You can’t just sit back and relax after you land a few clients – you have to keep looking for more work so that you can keep the money coming in.
4. You Don’t Get Benefits
Most freelancers don’t get any sort of benefits, such as health insurance or paid vacation days. This can be a big downside, especially if you’re used to having benefits at a traditional job.
5. You Have to be Good at Marketing Yourself
If you want to be a successful freelancer, you have to be good at marketing yourself. You need to be able to sell your skills and convince potential clients that you’re the right person for the job. Overall, there are both pros and cons to being a freelancer. It’s important to weigh both sides before you decide if freelancing is right for you.
How to Become a Freelancer in 2022?
If you want to become a freelancer, you need to start preparing for it now. First and foremost, you need to make sure you’re qualified to become a freelancer.
You can do this by:
Developing relevant skills – If you want to become a software engineer, you should consider getting a computer science degree and/or finding work experience in the field.
Building a strong portfolio – Freelancers depend on their portfolio to convince clients to hire them. You should build a website for your portfolio and include examples of your previous work and testimonials from previous clients.
Finding clients – You can’t just sit around waiting for clients to find you. You need to actively pursue them by networking and marketing yourself. You can do this by joining industry groups on social media, sending email newsletters, and attending events.
Protecting yourself – As a freelancer, you don’t have an employer to provide you with benefits like health insurance and retirement plans. You need to make sure you have these things for yourself.
Best Platforms to Start Freelancing Career
There are many great platforms out there for freelancers, but which one is the best for you? It really depends on your individual skillset and what type of work you’re looking for. Here are some of the best platforms to start freelancing, based on different criteria:
1. If you’re looking for short-term or one-time projects:
2. If you’re looking for long-term projects:
3. If you’re looking for a specific type of work:
- 99designs (graphic design)
- Crowdspring (logo design)
- VoiceBunny (voice-over work)
Whichever platform you choose, make sure you create a strong profile and portfolio to showcase your skills. And don’t forget to set your rates competitively!
How to Get Paid as A Freelancer
There are a few different ways that freelancers can get paid:
1. By the hour: This is the most common way for freelancers to get paid. The client will agree to an hourly rate, and then the freelancer will invoice the client for the number of hours worked.
2. By the project: This is less common, but some freelancers prefer to get paid by the project. The client will agree to a price for the entire project, and then the freelancer will invoice the client once the project is complete.
3. Retainer: This is a bit more rare, but some clients may agree to pay a freelancer a monthly retainer. This means that the freelancer will invoice the client once per month, regardless of how much work is done.
4. Royalty: This is the least common way to get paid, but it can be very lucrative. The client will agree to pay the freelancer a percentage of the sales generated by the work. For example, if a freelancer writes a book that sells 100,000 copies, the freelancer may receive a 5% royalty, which would be $5,000.
Other Things to Keep in Mind When Becoming a Freelancer
When deciding whether to become a freelancer or not, there are some things to keep in mind. Freelancing is not for everyone, and it comes with its own set of challenges and drawbacks. When deciding whether to go freelance or not, it is important to consider all of the facts.
Aside from the obvious things like being organized and managing your time well, here are a few things to keep in mind when becoming a freelancer:
1. Don’t be afraid to negotiate your rates. Don’t settle for less than you’re worth.
2. Keep a close eye on your finances. Make sure you’re getting paid on time and that you’re keeping track of your expenses.
3. Make sure you’re marketing yourself well. Get your name out there and let potential clients know what you’re all about.
4. Stay focused and motivated. Working from home can be isolating, so make sure you stay focused on your goals and stay motivated to succeed.
5. Be professional. This is your career, so treat it like one. Return phone calls and emails promptly, meet deadlines, and dress and act the part.
Also there are other things that you should consider when becoming a freelancer such as:
– Taxes. When you become a freelancer, you’ll be responsible for paying taxes on all your earnings. That’s why you should look into earning money during tax season (after all, clients who need your services are most likely to hire you during this time).
– Insurance. While you’re responsible for covering your own healthcare costs as a freelancer, you can still seek insurance coverage through your state’s health exchange.
– Credit. When you’re an employee, your employer generally reports your payment history to the credit bureaus regularly. When you become a freelancer, you’re responsible for reporting to the bureaus on your own.
Conclusion
Keep in mind that there are many different ways to make money and succeed in life, and there is no one size fits all approach. The above examples are just that — examples — and you can use them to get inspiration and ideas for how to make the most of your situation. Thanks for reading!
In the end, it all comes down to what you want to get out of life and how you choose to go about achieving those goals. Becoming a freelancer is just one of many ways to do so.
