Want to work freelance? Here’s what you should know
With the cost of living continually rising, relying solely on a single paycheck can be limiting. Many zoomers, like their older millennial peers, are deciding to take on side hustles for financial stability, and to help stay on track of their financial goals. However, working a freelance or part-time job on top of a full-time job can burn you out faster from taking on more tasks and working longer hours. This is why some brave souls are deciding to forego the 9-to-5 completely to jump into a life of freelance hustle, or the gig economy.
Why is the gig economy so alluring?
The gig economy embodies the freedom to choose when, where, and how to work. It's a marketplace of short-term jobs, freelance opportunities, and independent contracts. For young professionals eager to carve their own path, it offers an enticing alternative to conventional employment, allowing for a more flexible and diversified income stream.
The idea is, with this setup, you control your schedule, and are more able to balance work with personal commitments or even studies. This flexibility is particularly appealing to those striving for a better work-life balance.
It also means you get to focus more on the jobs you want to do and skills you want to develop, and you can pass up on tasks that, for some reason or another, you don’t want to do.
But at what cost?
There are, of course, some tradeoffs. Having multiple income streams and being the master of your own schedule means you’ll need to take care of all the paperwork a full-time employer would regularly take care of: SSS, PhilHealth, Pag-Ibig, and your taxes.
You also won’t get the benefits, e.g. the 13th-month pay, the HMO … and the Christmas parties (you won’t believe how many freelancers miss Christmas raffles). Plus, and more importantly, you’re trading off job security and predictable salary for freedom and the promise of a more diverse source of income.
You also tend to be a little more motivated than your 9-to-5 peers because when you’re on your own, not performing well doesn’t mean you won’t get a raise. It means losing your livelihood, or at least part of it.
How to get started in the gig economy
Still interested? Undeterred? Great, here’s how you can get started.
Identify your skills — Reflect on what you're good at and enjoy doing. The most successful gig workers often pursue gigs aligned with their passions and strengths. Create a menu of your services and research how you can continuously keep your skills sharp and knowledge up to date. Depending on your field, this might mean getting certifications and trainings or attending conferences.
Market yourself — Create a compelling online profile on platforms like LinkedIn, Upwork, or Fiverr. Highlight your skills, experiences, and what sets you apart. If it’s applicable to your field, build a portfolio of your work and put it up online so people can discover your work and reach out to you (also helps to learn basic SEO!).
Put yourself out there and network — Connect with others in your chosen field. Networking can lead to referrals and opportunities that might not be advertised on traditional job boards. Also, make it a point not to burn bridges, you’ll never know if you’ll work with the same people under different circumstances. It’s a small world after all.
Master your finances — Gig work can lead to fluctuating income. It's crucial to budget wisely so you can afford the lean periods and stay on track of your financial goals. Speaking of which, you should invest in health insurance to make sure that you have your needs covered and your hard-earned money protected in case anything happens.
The path to financial independence is different for everyone. Whichever road you choose, we’ll be there for you. Learn more about how you can build a solid financial foundation:
