Many people have started to now work for themselves, which is something that has increased dramatically since COVID-19. When you work for yourself there are some things that you need to be aware of, such as your place in the market, when to use a filing service for an EIN, how to budget, and more. There are some ways to help yourself make the move into self-employed.

It’s often to first step that is most difficult so let's have a look at some of the ways you can set yourself up:

Improve Your Savings

If you have no or little savings it is a good idea to grow these as much as possible before you make the move from employed to self-employed. Ideally, you should have around 6 months of savings which is the equivalent of your monthly wage. However, the most successful self-employed people plan their move throughout the entire year. You might not be able to save enough within 6 months so if you want to do it, try a year. You could always ask to reduce your hours with your employer and start by doing your self-employed work part-time. Once you are making enough money from your business you can then make the full move.

Sort Out Your Working Environment

When you are making the move from employment to self-employment it can be a hard fact to realize that you are responsible for providing the working space and equipment that you need ot do your work. When you are employed this is provided for you and if you need something replaced you get it straight away. When you are working for yourself, this might not be as realistic or easy. If your laptop breaks down and you need a new one it might be as easy as just ordering one, you may need to save and then you’re not working. Think about setting up a small pot of money for emergencies for work equipment and try to properly set yourself up before you make the move to full self-employment.

Slowly Build Your Workload

You will instantly become your boss when you make the move to be self-employed. This gives you a huge sense of freedom but also a great responsibility to get things right and find the work you need. Unfortunately, your work is very unlikely to just appear in front of you. The best thing you can do is to diversify your work as much as you can. This way you have many areas where you are getting decent work into your business. If you are struggling to know when to make the move to self-employed look at your workload. If your workload is getting too much for a part-time role or as a side hustle it could be time to leap full-time.

These are just a few things that could help you make the move to self-employed work. Do you know anything else that could help? Please share them in the comments below.