Why No One REALLY Wants To Be Self-Employed Today
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- Опубліковано 27 вер 2024
- Why No One REALLY Wants To Be Self-Employed Today
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I've been self-employed for about 16 years, and it's much better for me than being an employee - not even close.
Education, or the lack of entrepreneurial teachings. The majority of Americans attended the public school system which has been a failure and only taught them to be an employee, not an entrepreneur.
I'm a self employed day trader and it took me 4 years of hard work to become profitable. I'm talking 14 hour days when I was learning. A lot of people want to be a day trader but most people are not willing to put the time and energy that it requires to learn it and become successful at it. I think its the same for any self employed business owner.
Good point. Everyone wants to go to heaven, no one wants to die. Being self-employed requires doing the things most people are not willing to do (risk their own money, 14 hour days, etc).
How much do you keep in cash reserves?
I've been self-employed since 2017, and it's the longest and most challenging job I've ever had! Thanks to paying off all of our debt, having a variable income is less worrisome. I couldn't imagine having so many debt payments while being slow on work or taking time off for training and education.
My husband and I finally took the leap for him. We talked about it for years, kept our debt manageable, let the kids get older, and had a plan. He started working the business as a side job, and after 5 years still works 20 hours at a crappy job so he has at least some steady income when the business has a slow week. I have the health insurance for the family, and do the books for the business. He works the hours doing what he loves. Plan and be prepared to adjust when necessary. Research. Crunch the numbers.
These first three factors are very functional. They keep people from making poor choices. I know many people who tried to start businesses and it was a poor choice. If you're really ready to start a business, then your mental scale will tip in that direction. A lot of people really do want to strike out on their own but they just haven't evolved their business plan to the point where their mental scale tips.
Being self-employed is hard and you get killed on taxes. It's genuinely easier to go to a job, get paid, and a W-2 at the end of the year.
Many people, I imagine, have a glossed over view of being self-employed. They imagine it as working less and making tons of money, when it's actually hard, exhausting work to be your own boss. You have to be diligent, organized, and committed or you will fail.
I have always been hit harder on taxes being W2 than self employed. Most things you buy for your business is an expense. As an employee if you bought something you use 100% for work chances are you can't right it off. What little you could write off as employee expense was eliminated in the 2017 tax bill.
The stupid self-employment tax has got to go!
I don’t want to be employed at a company or self-employed. I want to be retired and drink margaritas by the pool every day.
Too much risk. No guaranteed salary, no bonus, not stock, no benefits like 401k and pension, no paid time off, etc. 90% of startups fail and of the 10% that don’t completely go out of business, only 3% of them make $250,000 or more. The other 97% make very little money combined with no benefits. Very high risk with very low reward minus very few exceptions. Of all of my successful friends, only a few of them are self employed. With the exception of those few, all of the other self employed people I’ve met in my personal life failed and constantly stress about the costs of everything, how they’re going to pay for their kid’s college, how they’re going to retire, basic expenses like cars and repairs, food, etc while all of my corporate friends are either already retired or set for retirement and don’t stress about any of those expenses. Self employed? No thanks.
I am working on 'year 30' of self-employment. I am not an expert, although I would guess that many Americans would like to mess around and be self-employed, until they are. Then they find out.
I completely agree with this for most people. I also know insurance is a big factor. I always said, "I can make money, but I can't make insurance ". Yes, as you grow those options get better. When you are just starting out, insurance is not feasible. My factory work is physically demanding. I can make the same or better wages on my own, but I can't beat the cost of good corporate insurance.
There are some people we know that are self employed, making a profit and continue to grow their businesses- all by having cut the government out of it.
It is too risky! That is why!
What most people think being self employed is you’ll get a couple of employees and go to pick up a check on Fridays without putting in any work. Self employment is a nightmare of work with little vacation working on weekends and most time you don’t even make that much money. If you make 50k with benefits you have to make around 70-75k to break even.
As a design engineer for an automotive component supplier, I have to be employed by a company. It would be pretty much impossible to do this without a significantly sized company behind it. A company like GM or Jaguar or Volvo won’t buy engine management computers or brake cylinders or wiring harnesses from a small company.
I've worked for myself before. It was brutal. I'd rather work under someone than for myself. As soon as you quit working for yourself, the money dries up so fast. If I quit working for someone else, I can just get another job.
As an entrepreneur I can assure you nothing bad will happen "for the first hour". Good things happen every day, every week, every year. As to what friends and family think, they will never understand.
i like what you said but I wanna know can you explain that more
@@stephon972 You are always putting out tiny fires while managing long-term. It is exciting, challenging, and at times stressful but worth my efforts and time.
No one wants to work. If your listen to happy music its about the beach, hiking or fishing. If its a angry or depressing song people sing about crappy bosses and getting up early.
Health insurance and government over regulation are probably the largest barriers to self employment. At least in the construction field.
Its terrifying to go off on your own when all you know is the typical 9-5 job model that we were all brain-washed into believing was the only path to success. I recently took the leap to entrepreneurship and it is a test of will, determination, discipline and consistency most of all accountability. Hardest part is keeping it from family and friends who would most likely be unsupportive in your ventures as all they know is being an employee. I was (past tense) employed remotely working in tech so for all anyone knows now I'm still working for someone else instead I'm working for me now. Where the money comes from doesn't matter green is green. I pray for those who take the leap the risk is big , but the reward can be great. Edit (For the record when I learned to swim I was thrown in sink or swim).
I don’t mind being self employed in my 40’s. All you have to do is save 20% of what you make for taxes
Im a civil servant in the UK. Its a steady nice job thats paid well for what I do. Have a nice chunk of savings earning interest. Why would I give all that up? No thank you
Fear of debt
Because you have to have a large amount of money in the bank to be self-employed. You need money to make money. Reason 4 is most of it.
Is Ken wearing women's glasses? Makes sense I can feel a wimp through the TV
#5 too much government regulation
Been self employed for 18 years & i'm not sure if I would do it again. No benefits (vacation, disability, health insurance, paid time off) all of which you have to provide yourself. Yes your income ceiling is limitless but the stress is real. You are never really off since you're always thinking of your business. Besides Sundays I probably take 4 or 5 days off a year.
Ceiling is limitless, but so is the floor. There’s a lot less risk working your way up at a company. Of all of my successful friends, only a few of us are self employed. Everyone else worked their way up at another company. All of the other self employed people I’ve met in my personal life have failed.
@@johnmartin4641 thankfully I just do a service, eye exams. I would have even more stress if I had cost of goods to move. I just rent office space from Walmart and have a steady stream of people looking to get glasses vs paying for a building. So yeah floor could be really low if you have to borrow a lot of money for equipment, building, vehicles etc.
I am a manufacturing designer with 23 years of experience. I recently purchased a 3D parametric CAD commercial license for $12,000. I paid off all my debts, including my mortgage. I saved a 4-year emergency fund. The fear is no more!!! I am all in helping small manufacturing businesses that can not afford a full-time designer. They can hire me as a short-term contractor now. I am excited to help out my community 😊 and make money! 💰 🎉
1 hospital visit can wipe you out. I work a job cuz of insurance.
Been there for almost a decade. Once the economy takes a dive, the government bails out big business, employees get support if laid off, the self employed get hosed! No unemployment, no bailout, just expenses and taxes.
Tax complexity kinda ruins the desire to work for myself.
Honestly, i believe more millionares are made with a w2 than a 1099.
True. But being a millionare today on a w2 is also easier. It's not the same earning your way to become one in the 80s-90s. But there's is a limit. The key is 'independently wealthy', like in the 10s of millions (net worth in the 50-250 million range). Those in that range likely have a business.
@ericcarson342 true but when you're discussing hundreds of millions, now you're talking about the 1%. But I agree with your logic.
Self-employed is not a walk in the park ladies and gentlemen
I think that last factor is the biggest factor for most people today. If you have debt or you live paycheck to paycheck it’s much more difficult to start a business than someone with no debt.
It feels safer to start a business if you already have a little bit of money.
If you’re lucky enough to work a 9-5 job that gives you a 401k AND a pension then you’re doing it right. Keep your job and start something on the side for extra income. Golden handcuffs? Hardly.
They're golden handcuffs when the employer forces politics down your throat.