3 Excellent Reasons to Leave Traditional Employment

If you've caught the news in the last year, you might be wising up to the false security of employment and starting to think about a side hustle.

If you aren't, it might be time to start paying attention. If you're in tech, you might want to be across the 800 jobs gone at Xero , and 170 at Sky . If you're in education, you'll be watching the hundreds of layoffs at The University of Otago and Victoria University of Wellington , on top of the 200 to 1000 jobs expected to be lost with the Te Pukenga merger . If you're in the public or infrastructure sector, you'll want to be wise to the 150 person job loss at Auckland Transport and the?Auckland Council slash and burn? that’s already axed 500 ‘nice to have’ jobs and has another 200 cuts in the pipeline.

If you're not in New Zealand, you've probably noticed redundancies at your place too - Australia has been hit hard by the 'tech wreck' , with thousands of jobs disappearing. Globally, Amazon’s 27,000+ person layoff? is just a fraction of the?168,000 jobs that have already been lost in tech alone , with Google ?and?Meta , slashing 12,000 and 10,000 jobs respectively.

For years, people have put up with the constraints of corporate bullshit in exchange for the security of steady employment. If the security is gone... what's next?

Traditional employment has always come at a personal cost: limited flexibility, a lack of fulfilment, and a ceiling on financial rewards. That cost is no longer a good deal, in a world where even the most skilled and loyal staff find themselves jobless.

This is the perfect time to seek more freedom, fulfilment, and financial rewards in your professional life - as well as the increased security of having multiple income streams.

If you think you might be ready to move closer to self-employment, here’s three good reasons to get serious about it.

TL;DR

1. Flexibility: Break free from the limitations of traditional employment and enjoy the autonomy to choose where, when, and how you work.
2. Fulfilment: Say goodbye to compromises and embrace the joy of doing what you love while making a positive impact on others.
3. Financial Rewards: No more settling for fixed salaries or limited earning potential – it's time to take control of your income.

Three Killer Benefits of Self-Employment: Flexibility, Fulfilment, and Financial Rewards

Self-employment gives you three key things a normal job can't. Let's explore each one in detail.

1. Flexibility: Embrace Freedom, Autonomy, and Independence

In a survey conducted by Upwork and Freelancers Union , 59% of freelancers stated the ability to work whenever and wherever they choose is a major factor in their decision to freelance.

That's because self-employment offers unparalleled flexibility. No more of this "we want to see people back in the office" business. Self-employed professionals shape their work life according to their own terms. You have the freedom to decide where, when, how, and for how long you work.

When you become self-employed, you embark on a journey of unlimited potential for professional development and growth. Every decision you make directly impacts your business and your success.

You hold absolute responsibility for making things happen - which is both utterly terrifying, and incredibly empowering!

?? How to create flexibility as a self-employed professional

Design your business for flexibility from the outset. I see many people do this badly. New to the game, and nervous about attracting clients, they wind up overcommitting and compromise their independence, resulting in burnout.

Some early scene-setting can prevent this from happening. Smart SEPs build their businesses around their ideal life. That's why the very first curriculum module in Consultants of Choice is "Plan Your New Life". When you know what kind of life you want, you can set boundaries and build a business that makes it possible.

Ask yourself these questions as you shape your business:

?? What aspirations do you have for your life that go beyond work?

?? What work/life balance do you need to achieve these aspirations?

???? What kind of people do you most enjoy working with?

? How, where and when do you prefer to work?

?? What boundaries will you establish around your time, energy, and life?

When you know your priorities, and set clear boundaries, you can have all the flexibility you need.

2. Fulfilment: Make a Difference and Live Your Values

It makes sense that self-employed professionals report higher levels of job satisfaction and well-being compared to those in traditional employment .

Traditional employment requires constant compromise, and many professionals end up making yucky trade-offs that go against their values or limit their impact. Corporate constraints, bureaucracy, and delays can hinder even the most dedicated people from doing work that matters.

Self-employment offers a different pathway to impact. You can choose to do work you care about, that makes a difference, in a way that upholds your most important personal, professional and social values.

?? How to maximise fulfilment as a self-employed professional

Even with the best intentions, self-employed professionals can find themselves working with clients or on projects that don't resonate with their values.

They haven't thought about what their values are, and how they show up in others, or they haven't done the pre-work to define who they don't want to work with... so they find out the hard way.

During the early stages of building your business, consider the following:

?? What are your most important values?

?? How do you define success for yourself?

? What types of work are you unwilling to engage in?

? What criteria will you use to select clients and projects?

Define your values, clarify your vision, and set criteria for the type of work you pursue, so you can experience the fulfilment you've been missing in your 9-5.

3. Financial Rewards: Unlock Unlimited Earning Potential

In a regular job, you hit a hard ceiling on earning potential - but not so with self-employment. As a self-employed professional, you have the freedom to create service offerings and products that command lucrative fees.

Over three quarters of independent workers earn the same or more income compared to when they were traditionally employed. And if you’re switched on, you can generate passive income from your intellectual property as your business succeeds, too.

However, many self-employed professionals struggle with cash flow. They don't know how to price correctly, they're scared to charge too much, and they underestimate the value they bring to their clients. Some new consultants are so grateful to get any work, they feel pressure to undercharge.

It doesn't need to be like that. Your values and your value are not mutually exclusive.

?? How to master your finances as a self-employed professional

The first and most important thing is to know your numbers. More on this here.

Once you're across what it takes to run your target lifestyle, you can set pricing that reflects your value.

Consider some of these things when you calculate your price:

???? The value of your work to clients:

Take into account the amount of time, money, or energy your services will save your clients. Consider the long-term value of your expertise to their business. Understanding the impact you have on your clients' success will help you establish a fair pricing structure.

?? Your total business hours

Recognise that not all your time is chargeable. Administrative tasks, marketing efforts, and other non-billable activities consume a big chunk of your working hours. Adjust your pricing to account for this, ensuring you capture your target hourly or daily rate.

?? Competitor rates

Research what others in your industry charge for similar services. Consider the additional staff or overhead costs they may have, and factor that into your own pricing. You might be surprised what people are charging!

Caution: while it's important to remain competitive, don't undervalue yourself. You bring unique skills and expertise to the table, and clients are willing to pay for that value!

By taking a strategic and thoughtful approach to pricing, you position yourself for financial success and ensure your business is both personally and financially rewarding.

... What are you waiting for?

Self-employment can transform your professional - and personal - life. With the flexibility to shape your work according to your own priorities, the opportunity to align your values and experience true fulfilment, and unlimited financial rewards... traditional employment has some serious competition.

It's not all roses. Doing this well takes careful planning, strategic decisions, and a whole lot of trial and error. But the rewards far outweigh the challenges.

If you design your business with flexibility and fulfilment in mind, commit to mastering your finances, and staying true to your values, you can unlock a world of opportunities. If you want a useful framework for getting that right, and a community of smart, savvy self-employed professionals to do that with... check out Consultants of Choice.