Freelancing seems to be on a lot of peoples’ minds lately. One hot topic is virtual assisting. There are many positives and negatives, and today we will be talking about the disadvantages. The other day we talked about the advantages.
Disadvantages of Becoming a Virtual Assistant
And yes, there are some. The main disadvantages of becoming a virtual assistant are:
That you need to provide for your own health care costs, taxes, setup costs, training costs etc. This is something that many who are new to freelancing do not realize. I’m sure that you read plenty of income reports online written by people who make a good amount of money online or freelancing, but you have to keep in mind that there are other costs that they have to factor in that you might not think about if you work for someone else.
Working from home might also be a disadvantage for you. If you don’t have the discipline and focus to work on what you need to, then you might find yourself wasting many hours doing things each day that are not productive or money-making.
Healthcare costs can add up very quickly. You might only need coverage that cost a couple hundred dollars each month, but sometimes coverage for you and your whole family might be in the thousands each month.
It takes a lot of effort and hard work to get established initially, with the effort required being similar to starting a small business.
You need to deal with the back end issues – calculating the taxes, dealing with customer support and issues, marketing and promotion etc. As a freelancer, taxes also need to be considered. You will most likely have to pay self-employment tax, and your taxes altogether may be near 30 to 40%.
If you would rather not be saddled with these issues, you can get around some of them, to a certain extent, by joining a virtual assistant agency who will match you up with a client (for a fee, of course). If you are looking for a temporary gig, or a one-off project to make some extra money, or just want to get a taste of this before diving in, then this may be the route to go.
Is virtual assisting in your future?