The gig economy is gaining popularity as more people exchange their rigid, full-time jobs for flexibility, mobility, and the opportunity to work on projects that interest them.
The Australian Bureau of Statistics estimates that approximately 2.5 million Australians are working on a casual basis, which includes freelance and gig jobs.
Gig employees now account for about a quarter of the workforce, up from about a third of the workforce in the 1990s.
So, how can you achieve your financial freedom and success with your gig works? Let us look into it.
#1 Think Like A Business Owner
Though it may seem self-evident, thinking of yourself as a firm and planning accordingly are some of the secrets to financial success in the gig economy.
That means developing the habit of holding yourself responsible for your spending and making smart choices that will help you succeed in the future.
It also entails taking the time to sit down and draft a business plan, which, in conjunction with your financial plan, will assist you in achieving financial success. A business strategy can include the following topics:
- How do you want to make money?
- Your specialisations
- Your product and service packages
- Your expenses and charges
#2 Build A Team You Trust
It’s no secret that, depending on your personal financial situation and the nature of your job, your financial world can be complicated. Working in the gig economy or as a freelancer can make your financial situation much more tricky.
Putting together a team of financial experts, including a financial planner, is critical for ensuring that every aspect of your financial life is taken care of while also simplifying your to-do list.
Your financial advisor should take into account your specific financial situation and develop financial plans that match your specific needs and investment risk tolerance. And that’s on top of offering you financial advice and assistance whenever and wherever you need it.
#3 Create A Safety Net That Is Accessible
As a gig economy worker, you’ll almost certainly never know where the next paycheck will come from or how much money it will make. That is why, to achieve financial success, you must create and sustain a financial safety net that you can easily access in times of need.
When work is slow or a payment you rely on is postponed, having a cash balance on hand means you won’t be forced to rely on a credit card or a loan to supplement your income.
However, before you can start building a financial safety net, you must first get your cash flow under control so you can gain a clearer understanding of your financial situation.
#4 Don’t Wait To Get Started
We understand that life can get in the way of even the most well-intentioned financial goals, particularly when your focus is split between multiple projects. However, good intentions can quickly become just that if you don’t take steps to start paving the way to financial prosperity.
That’s correct, there’s never been a perfect time to put these ideas into practise and make the most of your hard work to secure a more prosperous financial future.
Are you a little confused, how to start? Ethica, your personal financial advisor is here to offer clarification and support while they work with you to create a practical roadmap from where you are now to where you want to be.