What are the benefits of being self-employed?
You are your own boss. When you’re self-employed, you are your own boss, with all the risks and rewards that entails. You decide whom to work for, when to work and how to do your job. Many self-employed people report that the increased freedom they enjoy is the greatest benefit of self-employment. You may be paid more than employees. According to The Wall Street Journal, independent contractors are usually paid at least 20% to 40% more per hour than employees performing the same work. Hiring firms can afford to pay ICs more because they don’t have to pay half of the ICs’ Social Security taxes, pay unemployment compensation taxes, provide workers’ compensation coverage or provide employee benefits like health insurance and sick leave. All these items add at least 20% to 30% to employer payroll costs. Self-employed people are supposed to pay for these things out of their own pockets — and they can only afford to do this if they get paid more. Of course, exactly how much you’re paid is a
