In today’s digital age, making money online has never been more plausible and more rewarding. It's safe to say that online freelancing is redefining employment.
Armed with nothing more than a laptop and a decent Wi-Fi connection, freelancers have the ability and the luxury to work virtually anywhere in the world.
However, with nearly 50% of US millennials freelancing, it’s important to stand out in a field that’s becoming more and more competitive each day. As a freelancer in today’s times, here are three invaluable tips to keep in your freelancing toolbox;
#1 Ensure Clients are Always Satisfied
The number one thing that will hinder your chances of success as a freelancer are negative client reviews and feedback. You must ensure that every client you work with is more than satisfied, or you might find yourself with a negative review on your profile. If you find yourself in a situation with an unhappy client, don’t fret. It’s not the end of the world.
According to a freelancer who made $62k in a year, one of the keys to sustainable freelancing is receiving good client feedback. During an assignment, periodically check in and share your progress with the client. Doing so will make sure that both you and the client are on the same page in terms of expectations.
Periodic check-ins minimize the likelihood that a client will be totally disappointed when submitting final work. Plus, staying in contact with clients seems to make the overall freelancing process run smoother, too.
#2 Keep a Work and Life Balance
Setting your own hours and work schedule is one of the many joys of being a freelancer. However, this does not mean you should try to work at max capacity every day.
Being able to set your own hours is a double-edged sword. Overworking yourself as a freelancer is all too easy, and it can have a real impact on the quality of your work.
As a general rule, you should always try to keep a healthy balance of work and fun. After freelancing all day on the computer, try changing your surroundings and going for a run, taking a hike, or practicing your favorite hobby.
Moreover, freelancing is, by definition, a secluded activity where you are not set to mingle with coworkers on a daily basis. If you’re fully committed to freelancing, see if you can develop some form of a social network, whether it’s online or in person. Check for local freelancer meetups in your area and try to connect with other freelancers who share your passion. Maintaining an active social life is paramount to keeping a healthy life balance, especially for freelancers.
#3 Being Self-Employed Requires Responsibility with Taxes
It may seem nice to receive your first paycheck as a freelancer, but there are a couple of reasons why you shouldn’t spend it all.
For starters, saving money is always prudent financial advice. No one ever became rich by spending all of their hard-earned money. If you don’t save at least part of what you earn, you’re bound find yourself in trouble later down the road.
Additionally, once you start making money online, depending on your country of residence, you must remember to save some of your earnings for taxes.
To be safe, out of every paycheck you receive from freelancing, set aside 40% and don’t touch it under any circumstances.
This doesn’t mean you should do nothing with your saved money, however. You can open up no-risk investment products like a high yield savings account or money market account and securely stash your cash.
Saving 40% of your income as a freelancer, plus the money received from compounding interest, should be enough to cover the self-employment, federal, and state taxes when tax season rolls around. To be safe though, you should always save as much as you can.
Making a living as a freelancer is as rewarding as it is fun, just remember to keep these three tips in mind and enjoy partaking in the 21st century employment revolution.