23 Disadvantages to being self-employed

Good Read But Not All Acurate....

Shameful Mis-representation Of Some Facts But Some Will Believe This Stuff Verbatim So I Guess It's Intended For Those Who Are Told And Don't Go Find Out For Themselves.

I Found 4 In The List You Can Get Around With One Change....

non-profit Most Slept On Way To Run Your Own Business....and Many Advantages Over For-profit Start-ups.

My brother and I are in the process of starting our own non-profit now. We're sending our 501c3 forms out tomorrow. We're targetting teens in urban areas as a sort of refining program for them (I realize all the hassle that comes with it, but my brother is truly dedicated to that type of stuff). What other areas are good to look into for ur own non-profit?
 
Point is...self-employment is just that...self employment. It doesn't necessarily mean "Bling Bling Bentley like Puffy Combs and hoes in the back on the limo". It means self-sufficient

that's why it almost turned into wwIII up on here. the slant of the "disadvantages" seemed to be intended towards keeping a person stuck exactly where he or she is. the best "advice" posts for the self-employed (or those thinking of becoming self-employed) usually tell both sides of the story.
 
Too cute, ;)

Too real, lol. women all over the country are choosing to sell the goodies to the higher bidder and that is usually not their man...it's to the other man called my boss because that's their source of income for paying for that cute little red sportscar and those 4 inch heels her man loves to see her in, though she's too tired to actually use those heels the way God intended. so sex becomes a saturday night quickie...blowjobs become birthday gifts and so on...if a man wants the goodies to return to their rightful owner, give your woman the green light to quit her job.
 
here's my response to this, from a woman's perspective. no science, just gut

1. Small business owners pay more taxes than...

the self employed have a better understanding of their money situation and don't live in the fairytale world of gross income, you know, where you can buy a house or a car based on income that can't actually be spent. because of taxes, costs, etc we know how much we're actually earning and we value, invest and spend our dollars wisely


2. When you work for someone else, not only does your employer cover half of social security, but the company might also offer other financial benefits...
the american corporation has proven to me that these "financial benefits" often come with a price that ultimately screws the working class. weekends away from my fam for time and a half, only to have it doled out in miniscule paychecks so as to not affect "their bottom line" - other "fringe benefits" such as 401s, bonuses, pensions, etc. are too sensitive to the business cycle and their bottom line as well. ask a general motors employees how altruistically the notion of "guaranteed pension" is to their employer and see what sort of response is given

3. The self-employed also miss out on paid days off...
the self employed are not freezing their asses of in blizzards or endangering their lives in storm-of-the-century weather just because biff the butthole manager insists on "face time". neither am I entrusting minimum wage paid workers to care for my sick children or getting the guilt trip for daring to use one of "my days" to care for them.

4. Also on the line of benefits, you will have to pay for your own health insurance...
true and it can be expensive. however I actually care what I put in my body because I know I can't afford to role into the doctor's office just because I got a bad case of indigestion.

5. Not only do you go without certain personal benefits, you also miss out on some of the benefits longstanding businesses enjoy. For instance, you will not have an established inventory or client list...
maybe not, but you will enjoy the hell out of any networking opportunity, you will gain experience in promoting your own business ideas (not the company's) and formulating your own clientele.

6. Unless your business is a franchise, you will have little or no name recognition when you start...
like a manager ever remembers who you are in the first place? I doubt my manager ever went to bed thinking, "that alyric is such a good researcher. I'll have to remember to tell a friend about her." :hmm:

the average american worker has no name recognition and no value beyond the repetitive task they have been trained to do. how many people know the weird guy's name that sits in the cubicle at the end, eating cheese sandwiches?

7. While building your business reputation, you will likely be competing with bigger, more established businesses...
they may have more resources, but customer satisfaction is the great equalizer. any business is suseptible to losing a share of the market, especially in this crappy customer-service-means-no-service era.

8. If you cannot afford to hire others right away, you will need to do multiple jobs...
another payoff of networking is hooking up with other individuals who are starting off on their own as well. bartering service from fellow business owners is one way to address these needs. I have a financial manager who bills me by the hour, I bill him right back for my hours. we meet at zero and call it a day.

9. Long hours, already mentioned in #3 above, come along with these extra jobs and the effort of building a business...
:lol: long hours come with anything these days. factor in the time needed to maintain employee status and you will find that just as much time, if not more, spent preparing to give someone else your time. this one was pretty funny, especially as a wife. doing my own thing, I now have more time to give to my husband, not less. no managers trying to put my sex life on their time clock.

10. You have to dedicate time to a new business, but you also have to dedicate money...
I'd rather invest in me than invest in someone else's dream. all the guilt trips associated with maintaining employee status -donating to the buy-becky-a-birthday-cake-fund or the united way-too-much-with-my-money fund. plus, if I am to go down, I'd rather go down because of my own doing. do you know what you call someone who believes the company is the end all and be all of economic security?

a former enron employee.

Thank you, Alyric, for replying. There is definitely something refreshing about getting a woman's perspective (no offense to the fellas:D).

DHustla, thanks for the shout out. I'm just glad that its been a positive thread and that ya'll actually respect enough to reply in the first place and keep it going.
 
Excellent rebuttal and post Alyric. Well Said in many ways.

Also I want to add a side note, to my first experience running my own studio on B'way in NYC. I shared studio space with 4 other business owners (jew, irish, hick and one guy). What I learned is business owner is interpretive and subjective.

This way 10-15 years ago. One guy made about $75K a year. This was good money for a one man show. He was growing. Fact was, it was his money, business, schedule and passion. It's not that it was HUGE money it was just money his way and good pay. Most of the time he clocked in at 10 ish and clocked out at 7pm. He had much respect for himself and had an exciting life. That's was his level of success.

2.

Another guy had slide output. Yes, that long ago. He ran a Oxford animation stand. He too came in at banker's hours and left at 5. He took over the first guys client because the first had moved to digital and was no longer doing analog slides. This guy had a wife who worked a day job. So basically he made his "50-65K" and they were both doing well. She supported him through the dry period and the lows but they did well together with him doing his own thang. That was their level of success.

3.
Third guy was kind of strange. He had a HUGE business but lost it because of a coke habit. He moved into the studio after he saw me there. He was more mature but didnt do well. I think he turned to pimp'n. :lol: Joking but he was kind of hustling homely rich chicks to stay in bidness. word. But that was his thang.


4. There was one other guy. Bit of a red neck. I didn't like him. He didn't like me. he looked like a bum but he had been their for years. He only came in when worked needed to be done. That was his thang.


5.

When I moved into the studio I was 35. I was escaping job that paying me only 35K for my skills. I needed to breakthough to a new level. I was nice to start getting 2K, 10K or 5K in lump sums. Eventually the others learned my skills and I went down quickly because they stopped sharing work. However, I was building my portfolio as I worked. I closed my business and worked for a corporate for 75k and some. Fact is two years in business on my own gave me a better 9-5. I couldn't have grown with out stepping out on my own. :)


Point is...self-employment is just that...self employment. It doesn't necessarily mean "Bling Bling Bentley like Puffy Combs and hoes in the back on the limo". It means self-sufficient even if you have joint income. :yes:




Thanks for sharing your story and congrats on your success
 
SO, this article wants you to not start your own business? Talk about mind control. That tax shit is real though. My aunt owns 2 daycares and pays 100,000 a year in taxes. :smh:

Playboy, Auntie needs to spend a little money and get a GOOD TAX GUY/CPA.

Makes all the difference in the world. I don't have anything against paying 100k in taxes (someone needs to do it) in my mind it just tooooooo disproportionately small business owners and minority business owners.

go with that though. best believe to be paying that much the "People In The Know" are making millions.
 
Your opinion is valued here, but I have one question for you. How do you fail well? That is a genuine question and I'm not trying to be a smart ass.

Sorry I took so long to reply, but its been hectic. To answer the question in simple every day terms, for e.g, you ever played a basketball game, and you ran hard, sweat like a slave, and broke your damn wrist on the dunk but still lost the game. That is failing well.

In a business sense, it is within your own mind, heart and soul that you did everything humanly possible to keep your business afloat, pushed your body and mind to the limit, took all available avenues not only for you, but for your employees who also depend on you and the business.

That is failing well.
 
Sorry I took so long to reply, but its been hectic. To answer the question in simple every day terms, for e.g, you ever played a basketball game, and you ran hard, sweat like a slave, and broke your damn wrist on the dunk but still lost the game. That is failing well.

In a business sense, it is within your own mind, heart and soul that you did everything humanly possible to keep your business afloat, pushed your body and mind to the limit, took all available avenues not only for you, but for your employees who also depend on you and the business.

That is failing well.


Understood, and well said.
 
Sorry I took so long to reply, but its been hectic. To answer the question in simple every day terms, for e.g, you ever played a basketball game, and you ran hard, sweat like a slave, and broke your damn wrist on the dunk but still lost the game. That is failing well.

In a business sense, it is within your own mind, heart and soul that you did everything humanly possible to keep your business afloat, pushed your body and mind to the limit, took all available avenues not only for you, but for your employees who also depend on you and the business.

That is failing well.

I follow. Thanks for indulging me. Oh, stay up with all the busy work in your life.
 
My first thought was "This dude must work for some mega corporation that is missing out on the employee pool or something".

Then I read again an noticed a few things: Like the brother said, there is a difference between self employed and business owner. I have a client who thought his corporation was paying too much in taxes (truck driver makes 150k, pays payroll,heavy highway, and income taxes). So he stopped paying himself a salary with withholdings and now pays himself straight cash. No more payroll taxes. He is happy. Until he finds that he has no refund on his personal. WTF??? So we spend two hours of unbillable time explaining to him.

Then you have the case of a female who has three rental properties on her LLC and no personal income. Smart. No taxes to speak of for about six or seven years.

It is all in how you set yourself up. Corporation, S-Corp, I says skip the LLC and stick to S-Corp. Pay yourself as an officer ($1000 will do) then carry over the profit or loss to your personal return on the K-1. Use the business expense of the home on the 8829. Easy.

As for the personal space and personal time ... you are your own damn boss. If you let your clients run you, they will. Put them in check, and they will respect your time.
 
My first thought was "This dude must work for some mega corporation that is missing out on the employee pool or something".

Then I read again an noticed a few things: Like the brother said, there is a difference between self employed and business owner. I have a client who thought his corporation was paying too much in taxes (truck driver makes 150k, pays payroll,heavy highway, and income taxes). So he stopped paying himself a salary with withholdings and now pays himself straight cash. No more payroll taxes. He is happy. Until he finds that he has no refund on his personal. WTF??? So we spend two hours of unbillable time explaining to him.

Then you have the case of a female who has three rental properties on her LLC and no personal income. Smart. No taxes to speak of for about six or seven years.

It is all in how you set yourself up. Corporation, S-Corp, I says skip the LLC and stick to S-Corp. Pay yourself as an officer ($1000 will do) then carry over the profit or loss to your personal return on the K-1. Use the business expense of the home on the 8829. Easy.

As for the personal space and personal time ... you are your own damn boss. If you let your clients run you, they will. Put them in check, and they will respect your time.

Good post. Thanks.
 
im confused by this article shit :confused: ...... im confused by the bitch wit the 10 inch waist and the fat ass(happy, but the shit is mind boggling):confused::yes::confused: , and im confused by the niggas talkin about they makin 2 g's in 2 days and shit...:confused: ....... i was wonderin, true this nigga could make 2 g's quickly, but how much did of that 2 g's actually hits his pocket...(not hatin or knockin anyone, but money is never freely earned)

so the question i have for all you self employed people on this forum.... WTF is ur "BUSINESS" and what is your 1. REVENUES 2. EXPENSES and 3. NET INCOME

please answer me this...... cause i always hear people on this forum talkin about they makin bread and they are self employed, but never really go into details about it...... i really wonder what small business opportunities there are, and how people are able to open up businesses that profit when there are so many american giant companies out there



Average over the road truck driver makes 120-180k a year. After expenses a poorly run operation nets 35-50. A well run operation doing the same miles and same loads net more like 75-80. It is all in management. Average barber pulls 35-40k. Net = 15-25 depends on the management.

Your first thought, if you really want to get out of corporate America, should be... what do I love doing? The thing that makes it worth while is doing what you love.

Second thought is ... what can I bring to the field or industry in which I will be operating? Depending on the field, the market might be saturated and you need to distinguish yourself from competition.

Manage your time, manage your money, manage not to laugh at the haters when you are on the rise.
 
Average over the road truck driver makes 120-180k a year. After expenses a poorly run operation nets 35-50. A well run operation doing the same miles and same loads net more like 75-80. It is all in management. Average barber pulls 35-40k. Net = 15-25 depends on the management.

Your first thought, if you really want to get out of corporate America, should be... what do I love doing? The thing that makes it worth while is doing what you love.

Second thought is ... what can I bring to the field or industry in which I will be operating? Depending on the field, the market might be saturated and you need to distinguish yourself from competition.

Manage your time, manage your money, manage not to laugh at the haters when you are on the rise.

This is another good post. I think that a lot of people go in with the same thoughts and intentions, but I don't know if they know how to apply the principles.
 
Average over the road truck driver makes 120-180k a year. After expenses a poorly run operation nets 35-50. A well run operation doing the same miles and same loads net more like 75-80. It is all in management. Average barber pulls 35-40k. Net = 15-25 depends on the management.

Your first thought, if you really want to get out of corporate America, should be... what do I love doing? The thing that makes it worth while is doing what you love.

Second thought is ... what can I bring to the field or industry in which I will be operating? Depending on the field, the market might be saturated and you need to distinguish yourself from competition.

Manage your time, manage your money, manage not to laugh at the haters when you are on the rise.


Very sound post.

I mentioned that people that do what I do have to love it. It's the love that is going to keep you from failing. When you love it, there's no such thing as failure. It's the love that you will hold on top when things get tuff. Do what you love.


Also, I mentioned, I worked corporate, for 75K. The goverment taxes took 40%. I would only getting about 35k. I could do that in month now.
 
fuck that shit, i have my own business (2 years old)and yes it's a headache sometimes, but nothing beats being the boss. closest feeling to being truly free in the u.s.a., but yea state and federal taxes lets u know ur still answering to big brother! it's worth it just keep your books tight

all u big money mofo's in here huh, well donate something to the board then.
sounds like it's nothing to ya!!!! big money in here
 
fuck that shit, i have my own business (2 years old)and yes it's a headache sometimes, but nothing beats being the boss. closest feeling to being truly free in the u.s.a., but yea state and federal taxes lets u know ur still answering to big brother! it's worth it just keep your books tight

all u big money mofo's in here huh, well donate something to the board then.
sounds like it's nothing to ya!!!! big money in here

Good for you. Do you keep your own books or did you hire someone to do that for you? I'm just interested since I'm sure the operational stuff is hard enough to keep up with without having to worry about balancing the company's "check book" at the same time.
 
Good for you. Do you keep your own books or did you hire someone to do that for you? I'm just interested since I'm sure the operational stuff is hard enough to keep up with without having to worry about balancing the company's "check book" at the same time.

my monthly records are in house but my state and federal are all outsourced. i used a different (recommended by a friend) service this year and i'm not happy with them at this time:hmm:. i'll know whether they are good or bad by the end of the week(i should have repeated my last years service:(). anyway that's my problem, but i hope that answered your question.
 
my monthly records are in house but my state and federal are all outsourced. i used a different (recommended by a friend) service this year and i'm not happy with them at this time:hmm:. i'll know whether they are good or bad by the end of the week(i should have repeated my last years service:(). anyway that's my problem, but i hope that answered your question.

Yes, it did. Thank you for responding. I wish you all the best fam.
 
Co-sign. I had a good weekend with my business. I made 4 thousand dollars cash in the last 2 days. I haven't had a "job job" since I was 21. :yes:

This whole article is for loosers and weak asses afraid to take the plunge.:lol:

C/S..What advice do you have to someone that's looking into starting their own business?
 
Good Read But Not All Acurate....

Shameful Mis-representation Of Some Facts But Some Will Believe This Stuff Verbatim So I Guess It's Intended For Those Who Are Told And Don't Go Find Out For Themselves.

I Found 4 In The List You Can Get Around With One Change....

non-profit Most Slept On Way To Run Your Own Business....and Many Advantages Over For-profit Start-ups.

true....

it sounds like they are trying to discourage one from going into business for themselves.
 
mind_control_ebook.jpg
 
SELF EMPLOYMENT AND ENTREPRENEURSHIP IS NOT FOR EVERYONE.
THOSE PEOPLE WRITE GARBAGE ARTICLES LIKE THIS ONE TO
EXPLAIN THEIR FAILURE.:hmm:
 
interesting,,, however, i'm recently learning that there is a difference between a business owner & an entrepreneur,,,

a business owner has really only created a "job" for himself,,, long work hours & if he misses a day, the job may not be able to operate. 1 - 10 definately apply to him

an entrepreneur has a vision & creates opportunity for others,,, he starts a business, but assembles the proper staff to run the business for him,,, the business makes him money whether he's there or not,,, he may pay more in taxes, but he's doing very little (or no) labor,,, and has greater profit potentail than an employee or small business owner
C/S
 
I remember reading this thread almost 2 years ago and I was scared as hell to start my business. Now that I have started, I can't think of ever going back to work for somebody. The freedom is priceless. The disadvantages are: lack of steady income, overhead, and non paying clients. But overall, you make more than working for someone else and you don't have to please a boss but yourself and your clients.
 
there are advantages and disadvantages to everything in life but as far as what i have seen bein in business for ones self is the best route to take
 
That's what's up! I've been self-employed for the past 17 years as a barber/stylist and I agree with you 1000%. Slave mentality I hate.
 
It is all in how you set yourself up. Corporation, S-Corp, I says skip the LLC and stick to S-Corp. Pay yourself as an officer ($1000 will do) then carry over the profit or loss to your personal return on the K-1. Use the business expense of the home on the 8829. Easy.

I presume you run a public accounting/CPA firm. I co-run one with my partner, so I can relate to your scenarios fully.

(at bolded) I have some reservations about automatically setting yourself up as an S-Corp, unless your projected net income will exceed $50k in your first year. There are "rules" to be followed in having a corporation (ex. officers taking a salary, making sure your distributions don't exceed the corporation's basis, and if you own other businesses and are performing intercompany transactions with the S-Corp, to make sure the transactions are properly executed at arm's length, etc.).

A person contemplating setting themselves up as an S-Corp needs to have the discipline to perform the necessary duties to substantially demonstrate that they are functioning as a S-Corp, and not as a deluxe LLC, because they are one legal action away from getting their corporate veil pierced (losing their corporate status and protection).

I recommend that unless a business is making >$50K annually in net income to set themselves up as an LLC. They can then set up their own health insurance and SEP contribution plans that will largely defray any potential self-employment tax issues, which you can get a 1/2 above the line deduction on, so you're really not paying the employee and employer portion of FICA per se, just one or the other.

With an S-Corp, you have to pay FICA, FUTA, and SUTA taxes, instead of the just the FICA portion as an LLC.

As for the personal space and personal time ... you are your own damn boss. If you let your clients run you, they will. Put them in check, and they will respect your time.

C/S :yes:
 
For me, this is the only advantage of starting and owning your own business that trumps any of the advantages of being an employee:

You can't get fired. That means, if you don't make money, you are at the biggest fault.

In Georgia, you are in a "right-to-work" state. You can get fired without cause, and you have no retribution. They do not have to give you an excuse in Georgia. All they have to say is "Pick up your belongings and get out."
 
Where is the list of 100 disadvantages for working a slave job
for the man....... call me when they find that article.
 
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