I think this is one of the most common things people like to fight about when it comes to personal finance and self improvement. Pretty much everyone falls into the category of “my way is the best and only way” when it comes to entrepreneurship or working a more standard career. Instead of focusing on why you or I made the right decision for ourselves, let’s cut the crap and get straight to the heart of it. They both have merits, and they both have issues. Neither will offer a lifestyle that everyone is happy with, working a 9 to 5 may offer certain things that entrepreneurship doesn’t and vice versa.
What’s The Entrepreneur’s Lifestyle Like?
In theory, entrepreneurs get unlimited vacation and great pay, right? Like I said, in theory, but reality rarely works out that way. They can take as much vacation or work as little as they want, as long as they’re accomplishing everything they need to do for their business to stay afloat and provide them with the lifestyle they want. It is possible to have a light workload and make a ton of money as an entrepreneur, but that is usually after years of intense work. The stability of a 9 to 5 is sacrificed for more personal freedom and the opportunity to earn a lot more than you would be able to otherwise.
If you’re planning to become an entrepreneur, be prepared for late nights, a lot of stress, and more work than you thought you’d ever have to do. To be clear, I encourage entrepreneurship, but I want to emphasize that the stereotypes aren’t always true, and you should think carefully before making the leap to start your own business or turn your side hustle into a full-time endeavor. After all, the grass tends to seem greener until you make it to the other side.
The Pros Of Entrepreneurship
- When it comes to your take-home pay, the sky is the limit. While there are tons of jobs that pay well, there are many more that don’t. Meanwhile, if you’re good at building a business and put in the time and effort, making well into six figures is attainable. It’s even possible for you to make a lot more than that!
- It’s easier to make the most of each dollar. What do I mean by that? Well, there are more tax write-offs and ways to maximize your retirement savings when you own a business. If you own a business and you have no idea what I’m talking about, hire a tax consultant or financial advisor (that specializes in small businesses) and they’ll be able to help you save a lot more money.
- Almost unlimited vacation. Yes, I know I made fun of the idea earlier, but just the fact that it is possible (after a lot of time and hard work) makes it enticing.
- You get to work on YOUR goals every single day instead of the goals someone else wants you to help them achieve. All the work you do on a daily basis is directly helping you and your future, so you’ll get to appreciate the fruits of your labor. I don’t know about you, but I think that is a satisfying feeling.
- You are in charge. You make the rules and can decide to follow them or not. Of course, to be successful you still have to appeal to your customers, but you get to decide how everything gets done.
The Cons Of Entrepreneurship
- Your income is less stable. Most businesses have a decent amount of fluctuation when it comes to how much revenue they bring in. That being said, if your business isn’t still raking in a lot of money during its lows, a 9 to 5 can provide a lot more stability for your household. Of course, if you have a career in a highly volatile field, you might suffer from the same issue.
- You’re ultimately on your own. You might have help from friends or family, but at the end of the day the success of your business is up to you. At a 9 to 5 you have a lot more help and support, but as an entrepreneur you have to do it on your own or build a support system.
The Pros Of A 9 To 5 Job
- It’s stable! You know what you need to do on a daily basis, you know how much money you’re bringing home each month, and you can stick to routines if you want.
- You can learn a lot from coworkers and managers. Of course entrepreneurs are constantly learning a lot, but a traditional 9 to 5 experience can teach you a lot about a field faster than you can learn it on your own if you’re just starting out.
- There are clear-cut tracks to success. Most fields have metrics to tell you how successful you are, and you reap the benefits from being a high achiever. Entrepreneurship also benefits high achievers, but is a little less definite in how you measure it (you have to set your own bar).
- You get guaranteed benefits. You don’t have to worry about health insurance, your 401(k), or vacation – it’s all included in your total compensation package.
The Cons Of A 9 To 5 Job
- You report to someone else. I’ve fortunately had some great bosses, but a lot of people don’t like the idea of working under someone, and they don’t like not being able to make the big decisions.
- Your income is unfortunately limited. Not matter what you do, there is a hard cap for your position.
How Do I Tell If Entrepreneurship Is Right For Me?
If you’re asking the question, I have a feeling you already know the answer, you’re just having a hard time admitting it one way or the other. A 9 to 5 offers a lot of stability, a normal life, and is the standard for most people. A lot of people will not like entrepreneurship.
If you want to be in charge, and love constantly striving to get and accomplish more, entrepreneurship may be up your alley. There is one major caveat I need to mention though. If you can’t handle the potential stress and instability that comes with entrepreneurship, don’t do it or at least make sure you do it in a way that mitigates those issues.
You Can Always Use A 9 To 5 To Become An Entrepreneur
….and that leads me to my next point. If you want to ease into entrepreneurship (as many others have done), you can always ease into it while still working a normal job. Start a business or lucrative project part-time, after your normal work hours, and let it start growing into something big enough to support you before you take the leap into doing it full time.
Conclusion
Whatever you like, whichever path you end up doing, be sure to make the most of it and find joy in your daily work. Some people like normal jobs and the perks that come with them. After all, a normal life isn’t necessarily a bad life. Others like more freedom and the potential for more income, and are willing to take on more risk and stress for it. At the end of the day, have fun with it and make sure you don’t end up with regrets. If you have any thoughts on the entrepreneurship lifestyle, please comment below.
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