Is Freelance Better Than Full-Time Employment?9 min read

Introduction

Nowadays, i.e. during the pandemic and post Covid-19, when the new normal has become “normal”, more and more people are asking themselves the question of work as such. Whether to work as a full-time employee of a company, work as a freelancer, or try to sit on both chairs.

This is the question that many people in the IT sector ask themselves. The reason for this question is the benefits that somehow got mixed up during the pandemic.

Suddenly, all full-time employees started working from home, saw the benefits of not going to offices, saving time, harmonizing personal and business schedules, and similar things that were mainly reserved for freelancers.

For many, it opened up their horizons and they were encouraged to follow in those freelance footsteps. On the other hand, these benefits of freelancers also have their counterweight, insecurity. What many have learned the hard way and felt on their own skin, is the termination of signed contracts. On the other hand, individuals have decided to sit on both chairs trying to taste both worlds, however, this is not without its flaws.

There is no definitive answer to this question as it depends on the individual and their particular situation. However, there are some things to consider when making the decision between full-time employment or freelancing.

For starters, full-time employment generally offers stability and a regular income stream. This can be important for those who need a steady income to cover bills and other expenses. Additionally, many companies offer benefits such as health insurance, paid time off, and 401k plans. These benefits can be beneficial for freelancers who do not have another source of income.

On the other hand, freelancing can offer more freedom and flexibility. Freelancers can choose the projects they want to work on and set their own hours. This can be a great option for those who want more control over their career and lifestyle.

Arguments for both sides

There are strong arguments on both sides of the debate over whether freelancing is good or bad for the economy.

Proponents of freelancing say that it allows people to be more creative and flexible in their work, which can lead to greater productivity. They also argue that freelancers have more control over their own work lives, and can choose projects that they are interested in and passionate about.

Critics of freelancing say that it leads to a more fractured workforce, with people working multiple jobs instead of a single full-time job. This can lead to less stability and less money being spent on the economy. Additionally, critics say that freelancing can be isolating and that people can miss out on the benefits of working with a team.

Which way to go?

Although for some individuals, most likely, the answer is straightforward. The advantages and disadvantages of each type of employment should be clearly discerned.

Determine what the differences are, what the trends are, what is happening on a global level, what are the predictions for a particular type of employment, etc.

Let me try and bring this topic closer to you.

What does a full-time employee mean?

A full-time employee is a person who is employed by a company for a fixed or indefinite period of time.
The person works 40 hours a week in some agreed time interval, which the company itself determines, such as: from 9 am to 5 pm or 8 am to 4 pm or 7 am to 3 pm and the like.
This is also the most common cause of employment.

According to the portal statista.com, the number of full-time employees in the IT sector is growing year by year.

As can be seen from the graph, from 2019, when about 53 million full-time employees were employed, the number grew to 55 million in 2020. An additional increase in the number of employees is expected by 2023 to 62 million.

Pros of Full-Time Employment:

There are many benefits to full-time employment, chief among them the security it provides. Full-time employees typically receive a regular salary, health insurance, and other benefits. These perks can be a great comfort, especially during difficult times. Additionally, full-time work allows for a more consistent work-life balance, as opposed to the often unpredictable nature of freelancing. Full-time employees also have the opportunity to develop their skills and build relationships with their colleagues, both of which can be beneficial in the long run.

Stability

The average American worker is not in a stable job. In fact, only about one-third of workers are in a stable job, according to a recent report from the Federal Reserve Bank of Boston. The report defines a stable job as one that is full-time and does not change often.

Many people are in jobs that are not stable. They may work part-time or have multiple jobs. They may also be forced to change jobs often because their employer is downsizing or they are laid off.

The stability of a job is important for several reasons. First, it allows people to plan for the future. They can save money and make plans for retirement or buying a home. Second, it allows people to develop skills and experience in their field. This makes them more likely to find another stable job if they lose their current job.

Benefits

There are many benefits to full-time work. Full-time workers are more likely to receive health insurance and retirement benefits. They also have a greater chance of earning a higher income. Full-time work can also lead to job security and stability.

Cons of Full-Time Employment:

While full-time work has many benefits, it also has a number of drawbacks. First, full-time work can be extremely demanding and stressful. Second, it can often be difficult to balance work and family obligations. Third, full-time work can be monotonous and uninspiring. And finally, it can often be difficult to find time for self-care and relaxation.

Freelance is becoming an increasingly popular option for workers.

There are many benefits to freelancing, such as the ability to work from home, set your own hours, and choose your clients. Additionally, freelancers can often earn more money than they would working in a traditional job.

There are some drawbacks to freelancing, however. For example, it can be difficult to find work if you don’t have a strong online presence. Additionally, freelancers often have to pay their own health insurance and taxes.

Making the switch to freelancing can be a big decision. Here are some tips to help you get started: 

  1. Start by assessing your skills and strengths. What do you enjoy doing and what are you good at? This will help you determine what types of freelance work you should pursue. 
  2. Do your research. There are many online resources and communities available for freelancers, so be sure to take advantage of them. 
  3. Create a portfolio and start building your network. A strong portfolio will showcase your skills and experience, while a strong network can help you find new opportunities. 
  4. Stay organized and set boundaries. Working from home can be great, but it’s important to stay organized and set boundaries so that you don’t get overwhelmed or distracted. 
  5. Don’t be afraid to ask for help when needed.

Pros of freelancing: control over work schedule, choosing your clients, potential for higher income.

Working as a freelancer has many benefits, the biggest one being the freedom to set your own schedule. If you want to take a day off to go on a vacation, you can. If you have a project you need to work on outside of normal business hours, you can do that too. You also have the ability to choose your clients. This means that you can work with people and companies that you believe in and are aligned with your values.

Additionally, freelancing offers the potential for higher income than traditional employment. This is because there is an abundance of opportunities available to freelancers, and they are often able to charge more for their services than someone who is employed by a company.

According to statista.com, freelancing is continuously increasing. Especially during the Great Resignation movement which started since 2021.

Great Resignation is increasing the number of freelancers since 2021. (statista.com)

Cons of freelancing: irregular income, no benefits.

If you’re considering freelancing, it’s important to be aware of the potential downsides.

One of these is the fact that your income can be quite irregular, which can make budgeting difficult. Additionally, freelancers typically don’t have access to benefits like health insurance or retirement savings plans. This can be a major disadvantage if you become ill or injured and can’t work for an extended period of time.

Finally, freelancing can be lonely and isolating, especially if you don’t have many contacts in your field.

Conclusion: Whether freelancing is better than full-time employment depends on your individual circumstances.

The jury is still out on whether freelancing is better than full-time employment. The answer to this question really depends on your personal circumstances.

Freelancing can be a great way to get started in your career, gain experience, and make some money on the side. However, it can also be difficult to find consistent work and make a livable wage. If you’re not careful, you could find yourself working long hours for little pay.

Full-time employment has its own set of pros and cons, but it may be a more stable option if you’re looking for long-term security. Ultimately, the decision comes down to what you value most in your career.

Cheers,
D/

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