If you’re looking for a new job or need a change of pace, it might be tempting to consider freelancing. It’s important to consider how freelancing has changed in recent years before diving in. While freelancing offers freedom and flexibility, compared to a 9 to 5 job, you may find that today it is incredibly challenging to find consistent work. Here’s why freelancing in 2025 may be worse than a traditional job.
Companies Are Outsourcing
There has been a dramatic shift in companies relying on freelancers for things like writing, design, marketing, and website management, to name a few. However, in 2025 many companies are looking to get the most bang for their buck. As a freelancer, you may have to do more work for less pay. In addition, companies are turning to freelancers in other countries because they typically charge less. You may lose work to someone who can do the job for less pay.
You May Get Paid Less
One of the best parts of a 9 to 5 job is the opportunity for raises and career growth. With freelancing, you’ll have to make the decision to raise your prices and risk losing clients. In the long run, a 9 to 5 job may pay you more than freelancing.
The Market Is Very Competitive
Unfortunately, AI has replaced the role of many freelancers. An already competitive market has become even more competitive in 2025, unfortunately. You’ll have to have ample experience and a strong portfolio to get work, and you’ll probably compete with many other freelancers for the same roles.
You’ll Have to Pay for Your Own Insurance
There are no benefits with freelancing like there are with a traditional job. You’ll have to pay for your own health insurance and life insurance, and set up any retirement accounts. This can be very costly and can significantly reduce the money that you bring home.
Taxes Can Be Burdensome If You Don’t Plan
Since taxes aren’t taken out of your paycheck, you’ll have to plan accordingly. If you don’t you might be surprised by how much you owe in taxes come tax season. Many freelancers choose to pay taxes quarterly and work with a tax professional since filing taxes can be complicated.
You Won’t Get a Lot of Time Off
There is no built-in vacation time with freelancing. If you aren’t working, you aren’t making money. This can be very stressful and can lead to burnout. With a traditional job, paid time off, sick leave, and maternity and paternity leave are all included.
Work Can Be Very Unstable
With freelancing, a paycheck is never guaranteed. Clients can part ways with you at any time. You’ll constantly have to look for new clients so that you’re never out of work. Plus, you can’t collect unemployment if you’re self-employed. If you can’t work for any reason, this can become very challenging. Whereas, with a 9 to 5 job you can take short-term disability or other types of leave.
Starting Freelancing
Even though freelancing has become more challenging in 2025, you still can build a viable freelancing business. With hard work and determination, freelancing can still be lucrative. Plus, you won’t be tied down by a 9 to 5 job. You can easily choose when you work and for whom. While freelancing isn’t for everyone, it can be very rewarding and a good fit for some people.
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