This content originally appeared on Envato Tuts+ Tutorials and was authored by Andrew Blackman
Sitting in a cubicle dreaming of freedom? Getting tired of freelancing and ready for salaried security? This article will help you compare and contrast. You'll learn the benefits of freelancing, and you'll also see why many people stay salaried. It will also be useful if you’re just starting your career and want to know which path to take.
When you think about freelancing vs. full-time job work, each option has its benefits, and each has detriments. The key is measuring these pluses and minuses against your personal preferences.
This tutorial will look at how freelancing compares with salaried employment. We'll explore a range of key points, such as flexibility, control, job security, and more.
Let's take a look at seven factors that can help you compare freelance versus salaried life. We'll explore the benefits of freelancing and compare the factors that salaried roles offer. Let's dive in.
1. Flexibility
If there's one factor that drives many people toward freelancing, it's flexibility. I think of flexibility as the ability to set your own schedule, work when you want, and choose rewarding projects. It's the most common benefit of freelancing.
But flexibility is complicated. Don't forget that even as a freelancer, you ultimately have a boss: your clients. They may have time-sensitive demands that leave you missing full-time employment. Let's think about flexibility and how it differs between salaried work and freelance work.
How flexibility works for salaried employees
Historically, salaried jobs lacked any flexibility. We've all worked for a micromanager that made us feel that every minute of our day was scheduled.
Many companies are getting better at work-life balance these days, but employers in general have still got a long way to go. In recent years, remote work has given salaried workers some relief. This can be beneficial to work-life balance.
But it can also be detrimental. If you’re home anyway, it’s all too tempting to stay online or answer emails long after hours. And sadly, many managers come to expect that. For many, the classic “nine-to-five” boundaries have dissolved.
While part-time work and reduced hours are often possible, most forms of salaried employment still demand a fixed schedule. They demand an inflexible commitment to set working hours, with just a few weeks of vacation per year.
Employers do often make provision for people to take time off for major life events. Yet, studies show people who devote more time to their families often suffer in their careers. That's particularly true of women who take time out to have children.
How flexibility works for freelancers
As a freelancer, you generally have more flexibility. You can set your own hours, pick and choose your assignments, and work around your family and social life. As long as you meet your agreed deadlines, you can set a schedule that really aligns with your best working hours.
But don’t get carried away! The flexibility benefits of freelancing come at a cost. Don't think you’ll be spending all your time playing with your kids and having quality time with your spouse.
Work can pile up, and when deadlines hit, you may have to cancel your plans and work through the night to get the job done. As a freelancer vs. a full-time employee, there are many times when you might be even busier.
Flexibility: What it means for you
If you like structure and are fine with being tied to a daily schedule, then a full-time salary job is a good fit. It's also helpful if you find it challenging to stick to a schedule. The automatic accountability that comes with working for someone else can boost your motivation.
If you want to make your own hours or have commitments that require time off, then freelancing is a great option. This varied flexibility is at the heart of your decision process when comparing freelance work vs. a full-time job.
2. Office politics
Office politics is a big part of work life. In regular jobs, you deal with coworkers and bosses every day. As a freelancer, you might think you can avoid office drama.
But it's not that simple. Both types of work have their own people problems. Let's look at how office politics shows up in freelance and regular jobs, and what challenges you might face.
How office politics works for salaried employees
For many, navigating the complex maze of office politics is the worst part of salaried life. Often, it may feel like this is your primary role, while the work itself takes less time and effort.
This HBR article says it best:
“Office politics tend to eclipse formal organizational roles and hijack critical organizational processes, making simple tasks complex and tedious, and organizations ineffective; wearing people out and accounting for a significant portion of work-related stress and burnout.”
Of course, not every workplace turns toxic. But in many organizations, there will be personality clashes or power struggles to deal with. You may see it even more if you’re required to be in a physical office, rather than working from home.
How office politics works for freelancers
As a freelancer, you don’t have to deal with office politics for the most part. Largely this is because you’re not tied to a particular company. Instead, you have multiple bosses in multiple organizations.
And even if you have regular clients, you’re usually detached from office politics. You often work remotely or are only in the office for short periods. If the politics get too much, you can fire that client and find new ones instead.
Again, though, there’s a caveat. As web design agency owner Paul Boag points out in his course, freelancers often have to deal with their clients’ office politics. This can lead to problems like endless iterations and design by committee.
There are ways to combat this. Find your project champion and establish that "primary point of contact" that can drive your efforts forward. Just know that you're not totally free of navigating the internal politics that come with a day job.
Office politics: what it means for you
Thrive on reading people and their emotions? Enjoy navigating complex environments, and sometimes competing with others for rewards? Then you won’t be put off by the office politics that often come with working in-house. If you get turned off by it, that's totally understandable! Freelancing can offer partial respite.
3. Benefits
When you work, you need more than just a paycheck. Things like health insurance and vacation time are important too.
We typically call these benefits. In regular jobs, companies often give you these extras. But for freelancers, it's different. Let's look at how benefits work for both types of jobs and why they matter so much.
How benefits work for salaried employees
When you consider freelancing vs. a full-time salary, benefits are a huge question. And they're an area where having a salaried role is typically beneficial.
With salaried employment comes access to benefits. These are immensely valuable—and often expensive or impossible to buy on your own. You'll usually have health insurance, paid vacation, parental leave, and a pension or other retirement plan. Those things can make a huge difference to your financial wellbeing and health.
You may also enjoy benefits like free gym memberships, company cafeterias, and access to discounts. Employers often have a budget for training, too, so that you can develop your skills on the company’s dime.
How benefits work for freelancers
Generally, as a freelancer, you’re on your own. You have to arrange your own health insurance. Keep in mind: insurance alone can be prohibitively expensive for many.
You don’t get paid when you take time off, and you have to plan for your own retirement. When it comes to training, that’s your responsibility too. There are fewer safety nets that come with freelance benefits.
Benefits: what it means for you
This is one of the few areas where there’s a clear winner. The extra benefits provided by a good employer are very valuable.
A major downside of freelancing is the need to arrange things like insurance and retirement plans yourself. Our Freelance Financial Bootcamp series can help you with organizing some of this.
4. Control
Control is about who decides what you do at work. In a regular job, your boss tells you what to do. As a freelancer, you might think you're the boss.
But it's not that simple. Both types of work have rules you need to follow. Let's look at how control works in regular jobs and freelance work, and what it means for you.
How control works for salaried employees
In a company, you have a boss, and that person tells you what to do. You also have to work within the rules of the organization, which can be quite extensive. So at face value, you have less control over your work than you do as a freelancer.
But it’s not clear-cut. If you have a good boss, you'll get some autonomy. And as you rise higher in the ranks, the amount of control you have over your work should increase. You’ll still be dependent on others to get things done, but you can certainly carve out a high degree of autonomy.
How control works for freelancers
On the face of it, you have total control as a freelancer. You choose what to work on and what not to. If a particular assignment doesn’t interest you, you can simply reject it.
But the trouble is, you have to pay the bills at the end of the month. Unless you’re in a very good position, you’ll probably have to take on some assignments that you’re not that happy about.
You also have a “boss” for each assignment. Your client will give you instructions and expect a certain standard of work from you. You may get some autonomy or control over how to do the work. But if you depart too much from the client’s expectations, you’ll run into problems.
Control: what it means for you
The myth is that being self-employed gives you more control over your work than working for a company. That’s partially true, but as we’ve just seen, you still don't enjoy complete freedom.
5. Motivation
Staying motivated at work can be tough. In a regular job, your boss and coworkers help keep you on track.
But as a freelancer, you're on your own. You have to push yourself to get things done. Some people find being their own boss motivating, but it's tricky to maintain it! Let's look at how motivation works in both types of jobs, and what it means for your work life.
How motivation works for salaried employees
When you’re working for a single company, your motivation often comes in very structured ways. You get performance reviews at the end of every year. Those reviews help decide whether you’ll earn more money next year, get a bonus, or even a promotion.
Even the much-maligned “daily grind” serves a motivating purpose. If you show up late to work, your boss will be angry, and if you show up late too often, you’ll get fired. So that should motivate you to get out of bed when the alarm goes off!
How motivation works for freelancers
As a freelancer, you have to motivate yourself. You have to find your own clients, do your own marketing, set up your own website, and negotiate your own contracts. You have to keep putting yourself out there all the time, with nobody at your back telling you to do it.
And when you get the assignments, you have to manage them yourself. If you land a big job that's not due for a month, there’s nothing to stop you spending the next 29 days getting up late and watching TV.
Nobody will be angry or fire you. But there will be consequences on day 30, if you’re unable to meet your deadline. So it’s up to you to organize your own time and make sure you stay on top of things.
Motivation: what it means for you
If you’re not good at motivating yourself, the more structured environment offered by regular salaried work may work well for you. As a freelancer, you need to take the initiative yourself. Even if you don't consider yourself highly motivated, you can develop good habits as you go.
6. Security and stability
Many people worry about job security. In the past, a regular job meant you were set for life, but things have changed. Now, both regular jobs and freelance work can be shaky.
Let's look at how stable each type of work really is. We'll see what you can expect in terms of job security as a salaried worker or a freelancer.
How stability works for salaried employees
The “job for life” may be a thing of the past for most people. Still, in general, salaried employment is more secure than freelancing. Companies tend to value tenure and stability in key roles.
No role is totally insulated, of course. But typically, if you're laid off, your employer will usually have to give you notice or provide some compensation. This varies, of course, by country as there are differences in the labour laws that protect workers.
How stability works for freelancers
Freelancing can be very unstable. You may end up in a “feast or famine” cycle. One month you’re swamped with work, and the next, you can’t find a single assignment. That makes it hard to plan and manage your financial affairs. And even if you have regular clients, you might lose them at a moment’s notice.
But it’s not all bad news for freelancers. Salaried employees have all their eggs in one basket, so the loss of a full-time job can be catastrophic. As a freelancer, you generally have multiple clients. One of the key benefits of freelancing is this ability to diversify. If you lose one, you can simply rely on the others for your income until you find a replacement.
It’s unlikely that you’ll lose them all at once, unless there’s a huge economic slowdown or upheaval in your industry. And keep in mind: events that dramatic would affect salaried employees too!
Security and stability: what it means for you
Generally, a salary job is more stable. It offers more predictable income from one month to the next. So it’s a good option if you don’t like the idea of worrying where your next month’s rent payment is going to come from.
Working freelance, on the other hand, can be very up and down. You’ll need a strong tolerance for uncertainty, especially in the early days. However, having multiple income streams does give you some extra security.
7. Community
There's an old saying: if you want to go fast, go alone. If you want to go far, go with others. Work communities are often an important source of motivation and inspiration.
These communities vary greatly between freelance and salaried work. Let's compare.
How community works for salaried employees
When you work for a company, you get a ready-made social network too. You work with the same people every day, and you’ll likely become friends with some of them. Companies often organize social events and training programs, and even trips for employees.
But this can also be a catch-22: attaching your social life to your job can dissolve boundaries and make you feel overly committed to your job. Consider carefully if your employer is the right place to build your community.
How community works for freelancers
As a freelancer, you’re often a lone wolf. You may work from home most of the time, or from your own rented studio space. Even if you do work on-site for a company, you’re only there temporarily.
It’s harder to form the strong bonds that permanent employees do when they’ve worked together for years. There are plenty of opportunities to meet people, but you’ll have to make more effort to go out there and do it. In short: it takes far more intentionality, which isn't easy for busy freelancers.
Community: what it means for you
Do you like being surrounded by other people? Enjoy being part of a strong social group? If so, you should think twice about going out on your own as a freelancer. But if you’re more of an introvert, you’ll probably love being able to work in your own space, listening to your own music, with no distractions.
Envato: your ultimate freelance work sidekick
The benefits of freelancing are many. But if you start as a freelancer, you’ll need an array of digital assets for your work. Whether that’s presentation templates, videos, stock images, or music, Envato has you covered.
Envato's offer is powerful: unlimited downloads. For a flat monthly rate, you can download and use as many digital assets as you want. They span every category imaginable, and the content library grows every day.
As a freelancer, let Envato be your wingman. The benefits of freelancing are expanded with the help of Envato. Explore the vast library and join today to get started!
Freelancer vs. full-time salary roles: which should you choose?
We've reviewed the decision-making process for being a freelancer vs. a full-time worker in a variety of categories. As you've seen, this decision isn't necessarily simple.
Although you might have an idea of which way you're leaning, I realise it's a difficult choice. The benefits of freelancing are many, but salaried life has pluses, too. Let's sum up with a quick comparison between salaried and freelance work.
| Salaried work | Freelance work | |
|
Flexibility |
Generally less flexible with expectations for a fixed schedule and many meetings, although the rise of remote work has increased flexibility. | Allows you to set your own schedule and choose projects, but client deadlines can still be demanding. |
|
Office life |
Salaried employees often deal with office politics and personality clashes. | Generally less affected by office politics. Freelancers may still have to navigate politics while working through client organizations. |
|
Benefits |
Salaried positions typically provide health insurance, paid vacation, and additional benefits. | Freelancers must arrange their own insurance and retirement plans and have no paid time off. |
|
Control |
Less control over what you work on, although you may prefer making fewer decisions in your work. | Can choose projects and clients but must still meet expectations and are responsible for all business decisions. |
|
Motivation |
Structured performance reviews, frequent feedback, and teammates to motivate you. | Many freelancers feel an intrinsic motivation working for themselves. However, self-motivation takes effort and challenges some. |
|
Security & stability |
Salaried work provides a regular, predictable paycheck and some job security. However, all income comes from one source that can end suddenly. | Freelance income can be unpredictable with "feast or famine" cycles. However, multiple income streams provide some security. |
|
Community |
Salaried positions come with a built-in social network of coworkers and company-organized events. | You'll need to build your own community, but you also have the freedom to design it in exactly the way you prefer. |
More resources for your career
Whether you decide to freelance or stay as a salaried employee, you're building a career. And it helps to have resources that show you the way to do that. Adding new skills, finding new clients, and staying motivated is crucial to success.
Here are top articles that can help you grow your career. No matter where you fall in the freelancer vs. full-time spectrum, these are designed to give you more ideas and skills. Let's learn more:
How to Find a Career That Fits Your Working Style
Creating a Long-Term Career Plan for Your Future in 2024
Getting Unstuck: Your Path Out of the Mid-Career Rut
How to Get the Best Clients for You as a Freelance Creative (Client Warning Signs & More)
What Is Scope Creep? How to Avoid It as a Freelance Creative Professional
Freelancing vs. a full-time job: Now you're ready to choose
In this tutorial, you’ve learned about the pros and cons of working as a freelancer and in a full-time job, as a salaried employee. I'm a huge proponent of working for yourself as you really control your destiny. But you should make that decision with eyes wide open, aware of whether it fits your personal goals.
As with most choices, there is no single "correct" outcome. It's time to reflect on your values, work style, and preferences. Then, choose how work will work for you. It's the best way to make a decision that's right for you.
This content originally appeared on Envato Tuts+ Tutorials and was authored by Andrew Blackman
Andrew Blackman | Sciencx (2015-10-15T20:19:10+00:00) Freelance work vs. a salary job: Pros and cons. Retrieved from https://www.scien.cx/2015/10/15/freelance-work-versus-a-salary-job-the-pros-and-cons/
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