Have you heard of Freelancing and wondered what it means and how it works?
You are on the right page because one of the things we want to be be able to save more money is to increase our earnings, you can also read more about our saving money tips here.
Now, let’s go through the basics of freelancing and its meaning because some people still can’t differentiate it from a full-time job.
Here in the Philippines, freelancing is getting more and more popular. People nowadays want to have a work-life balance, as they call it.
The pandemic made us realize that the world of Freelancing or work-from-home setup is possible, and people are now shifting to this setup. So, let’s go ahead and go through it.
What is Freelancing?
Freelancing provides client services on a project-by-project basis rather than working for a single employer with a set salary. You don’t have a set salary because you accept it based on your terms, and there is a set time for when this will be finished.
Freelancing means you don’t have to work for a set hour daily. You are not counting hours here. Instead, you work based on the time you need to finish this project. You set your deadline and deliver it as set.
The people who are freelancing are called “Freelancers”. Freelancers can work from anywhere in the world, set their hours, and choose the projects they take on, mainly based on their skills.
Benefits of Freelancing
Now, let’s go through the advantages of freelancing.
Flexibility
One of the benefits of freelancing is Flexibility. Flexible time is one of the things that entices people to engage in freelancing.
Freelancers enjoy the freedom to set their hours and work from wherever they have an internet connection.
Many individuals, especially those residing in cities with heavy traffic like Metro Manila, prefer to avoid the typical office commute. Flexibility in the freelancing world can be a significant advantage for them. Mothers like me with young children or infants can also benefit from this work setup.
Being your own boss
Do you like the sound of being your own boss?
Most of us are really into this. We do not have to report to someone and be afraid of doing something wrong with our work.
If you are a freelancer, you’re in charge of your own workload and projects. You can decide which clients to take on and what projects to accept.
Freelancing allows you to focus on the work you’re most passionate about and build a career that aligns with your values.
Income potential
Freelancing doesn’t offer a guaranteed income, but it does allow you to increase your earnings beyond a fixed salary. You can boost your income by taking on more projects or increasing your rates.
You control your income potential. If you can handle more work, you can attract more clients and, as a result, increase your income.
You can also train others to do your work and delegate it to them or create an agency, which can help you take on more clients and expand your earning potential even further.
Variety and skill development
Freelancing exposes you to a wide range of projects and clients. And since you control your time, you can also have time to learn new skills.
Some clients might also have other tasks you haven’t done before, and they think you can help them with or are related to your expertise. Doing them can help you develop new skills, stay up-to-date in your field, and build a well-rounded professional profile.
Work-life balance
As mentioned earlier, the new generation’s dream is a work-life balance.
How do you achieve this in freelancing?
When freelancing, you create your own work schedule, and if you have control of your time, you can set a schedule that fits your lifestyle.
You can structure your day around personal appointments and errands, or if you have children, you can also attend to their needs.
Location independence
Another perk of freelancing is that you don’t have to stick in one place or office.
Most freelance jobs can be done remotely, allowing you to travel or live wherever you choose as long as you have a reliable internet connection.
Escape office politics
If you have worked in an office before, you may have experienced certain situations that can be difficult to avoid. It may be due to the culture of the workplace, but these situations can be discouraging and ultimately lead to decreased productivity.
However, if you are a freelancer, you do not have to worry about these types of issues anymore.
These are some of the benefits of freelancing if you are really into it or if you are doing freelancing.
Disadvantages of Freelancing
We might just stick to the benefits, but there is always a disadvantage in every endeavour.
Let’s go through some of the things that you have to take note of when freelancing.
Income Instability
Since freelancing means getting your own project, your income may fluctuate depending on the availability of work.
Instability in income is especially true if you are still starting. If you have not established yourself yet and don’t have a steady stream of clients, there might be times when there are no projects, and you will only have income once you get another client.
Lack of Benefits
If you are a freelancer, you will have to cover your own health insurance or other things normally covered if you are an employee. Some of these are the PhilHealth, SSS, PAG-IBIG and even your tax.
You will need to register your own business for taxes if you are freelancing, but you don’t have to do it immediately when you are still starting. We still encourage you to register your business to make it legal. If you have plans to expand, like hiring someone else, it will already be easier for you.
You will need to cover your PhilHealth and SSS in full if you decide to pay them, unlike when you are employed as a regular employee here in the Philippines, where the employer always has a share in these contributions.
Self-Discipline
Is Self-discipline a disadvantage?
Well, based on my own experience working from home.
Yes! It’s a disadvantage if you don’t have discipline before you enter freelancing because you don’t have to follow a boss. You are your own boss.
You are also not required to report at a certain time or follow a work schedule.
So this is mainly discipline with your time. If you relax too much, you won’t achieve anything in freelancing. You won’t have any clients or destroy the client’s trust.
Being a freelancer, you have to manage your time and yourself properly. Something that can be developed over time, but you have to do the work.
You also need the motivation all the time to be able to focus and manage your time effectively.
Client Management
Client management is the most important thing you have to make sure you can handle. You have to be able to bring in your own client for your own business. You can’t expect anyone else to do this because this is your business.
Finding new clients and managing client expectations can be very challenging.
Isolation
Freelancing can be a lonely path for some, especially for extrovert people. Since you are a freelancer, you might work on your own most of the time.
If you are into freelancing, consider co-working spaces or online communities like Facebook or WhatsApp for connections. There are a lot of freelancing group pages on Facebook that will help you find new friends or people who can support you.
Freelancing vs. Full-Time Job
How will you know if you are freelancing or dealing with a full-time job?
Not because you are working online, you can already be called a freelancer.
I think this is what’s happening now. Most people are getting hired for an online job and work certain hours daily but think they are called freelancers.
We’ve gone through the benefits of freelancing, and if you are doing most of them, then you are a freelancer, but if you are tied into set hours that you need to complete, then you are actually a full-time worker instead.
To have a deeper understanding of who you are now. Here’s a quick comparison of Freelancing vs Full-time job:
| Feature | Freelancing | Full-Time Job |
| Schedule | Flexible | Set hours |
| Income | Variable | Consistent paycheck |
| Benefits | Self-managed | Employer-provided (health insurance, etc.) |
| Supervision | Self-directed | Manager |
| Work Environment | Varies | Office environment |
How to become a freelancer?
Based on our table above, If you think you are still tied in a full-time job, then you can work your way to being a freelancer by following the following steps:
- Figure out what you’re great at (and love to do!)
If you’re considering freelancing, you must get to the basics and get to know yourself first regarding your skills and abilities.
Ask yourself, what skills do you have that others might need help with? Check if you love writing, design, coding, or social media management.
Your niche will be your bread and butter, so pick something you enjoy!
Consider writing down all the skills and abilities you can think of. From there, you can find a niche to apply these things.
You don’t have to rush if you can’t think of anything. You can also review what most freelancers do to figure out where you can apply your abilities and even your knowledge, educational background or experiences.
- Know your Clients
From your list, think about the people or businesses you can help. Think of the possible reasons why they are looking for you or need the service you offer. What could be their current pain points?
Think of who would benefit from your skills.
Are you a whiz at bookkeeping? Then, target small businesses!
Great with graphic design? Social media influencers might need you or even people struggling with their social media.
These are just examples of what you can do and how to match your skills.
- Set your rates
Rates!
Setting your rate is one of the things you need to think about and do research on as well. You must develop a reasonable rate that will help you as a freelancer but will keep clients from getting away.
Research what others with similar skills are charging. Don’t undervalue yourself, but be fair based on your experience. Rates can also be adjusted as you continue to hone your skills, but it’s best to have a set rate.
- Build a portfolio to showcase your awesomeness!
Put together examples of your past work, which will be very helpful to build trust with your future clients.
You don’t have any fancy projects yet?
You can offer to do some work for free to build your credentials or apply as an intern to gain experience and more understanding of what you want to offer.
A website would be great for your portfolio, but even a social media profile with your best work can do wonders. You can also build yourself up through social media posting about the value they can get from your services.
Optimizing your profile works well.
- Find freelance work!
If it’s your first time, this will be the hardest part –Finding a work!
There are websites like Upwork or Fiverr where you can find freelance gigs. You can also leverage LinkedIn for this.
Social media can also be a goldmine! Let people know you’re open for business by posting about your business or even sending messages to possible clients from your existing friends lists.
- Be professional and reliable!
Once you get your very first client, you have to be professional. Working on your own terms is where discipline comes in. You have to meet deadlines, communicate clearly, and do great work.
Happy clients lead to more work through recommendations. Building a good relationship and trust or showing good work to your clients will help you get more clients without even looking for one.
- Equip and Educate yourself
If you cannot find a service you can offer yet, take some time to learn new skills. Enroll in courses that will help you find what you want. There are free online courses that can help you learn the basics.
Another thing you need to invest in is the tools. You might also need to learn freelancing tools to help you do the job faster. There are also project management tools that are mainly used to help you manage your projects properly. You can read our article on freelancing tools to find out some of the free tools you can use. You can always subscribe for the paid version if you are satisfied with the tool.
What are some Freelancing Jobs you Can Do?
The freelance market offers a vast array of opportunities. Here are a few popular fields you can check out:
Writing & Editing
Do you love writing? If so, then this might be an opportunity for you.
People consume a lot of content nowadays, and websites always look for people to help them create content online. If you’re into this, you can find content creation, copywriting, editing, and proofreading gigs online.
You can also utilize AI tools for this, and even with the rise of AI tools, people are still looking for proofreaders and editors—those who can edit and improve AI-written content.
Web & Software Development
Are you an IT graduate? Put it to use, other people are looking for skills like web design, app development, programming, and IT support, to mention a few. These kinds of skills can also be learned online for free.
Marketing & Design
Digital marketing is another big business online. Some services related to marketing are graphic design, social media marketing, and SEO optimization.
Administrative & Customer Support
This service is where most of us can start. If you already worked in an office, you already have experience in basic office and customer service-related tasks. These are normally admin tasks that business people cannot do anymore, but they will find people who can assist them.
So, if you already have that experience, you can actually offer services such as Virtual assistance, data entry, and bookkeeping. You may find many of these through online job platforms like Upwork, Fiverr, and OnlineJobs.ph and more.
Creative & Multimedia
Are you into video editing or passionate about photography? Then, this can be a niche you can get into. You can offer Photography, videography, animation, and music production services.
Translation & Interpretation
If you have good typing skills or can speak other languages, this is another opportunity for you. You can offer language translation, interpreting, and transcription services.
Accounting & Finance
If you graduate from a course related to this, you can put your education to good use in the freelancing world. You can offer freelance bookkeeping, tax preparation, and financial consulting services.
Consulting
You can also offer expertise in a specific field on a project basis if you have been practicing in a particular field for a long time.
Education & Training
Online courses are one of the rising industries online. You can offer online tutoring, course creation, and instructional design.
Conclusion
Freelancing can be a rewarding career path, offering flexibility, autonomy, and the potential for high income. By understanding the advantages and challenges and taking the necessary steps to prepare, you can set yourself up for success in the freelance world.
So, what do you think? Are you ready to get started?
Stay tuned for future blog posts where we can dive deeper into specific aspects of freelancing, like finding clients, managing your finances, and building a strong personal brand!