The coronavirus pandemic affected the global economy in a way no one has imagined. It has been over a year since major cities around the world have shut down. In the U.S., there have been more than four million businesses having to shut down in the past year, and more than 10 million people continue to be unemployed.
For a lot people, having a stable job and receiving a paycheck every other week or twice a month is being financially stable. However, financially-speaking, it has been proven that a majority of people are better off becoming self-employed.
Statistics show that the average American household income is around $52,000 annually according to the U.S. Census Bureau (2012). That’s an average of approximately $4,000 per month.
It might be true that an individual's salary could outweigh the cost of living expenses at some point in his or her life. However, most U.S. households won't be able to live and retire comfortably when they are working at a job because most people cannot save enough money for their retirement.
So why would you want to think about starting your own business and become an entrepreneur?
There are many advantages to owning a business.
1. Building an asset
Besides the obvious income, owning a business also creates the opportunity to have an asset that can grow in value. A business is also a means of earning passive income.
2. You are in charge of your own schedule
Another advantage is that you are not controlled by someone else’s rules like when you work under a boss or company owner. You are not mandated to work with your employer or under someone else's rules. Business owners can set their own hours and work when they want.
3. You are free to make your own decisions
The decision making process is key in choosing what is best for each individual and what options he or she should choose. Being an entrepreneur also means that a person is free from someone else’s influence or having to listen to his or her boss’ every whim and order.
4. You get to work at your own pace
Workers are subjected to the workplace environment and its rules. They are told when and how to work, often at the whim of their employer or managers with little compensation or reward in return.
5. Potential tax benefits
The majority of the U.S. tax laws are designed to reducing your taxes. However, only business owners and investors can take advantage of these opportunities. There are many incentives and deductions that the government offers to business owners but the average employee cannot take.
6. Work flexibility
Business owners are able to have a flexible schedule and choose the location of their work. They can set their own hours and work when they want.
The U.S. government encourages you to have a better life, so why not take advantage of this moment? Get out there and start making your own opportunities. Economic recessions have traditionally been tough on entrepreneurialism. But now that we've seen the devastation of a pandemic, I believe entrepreneurship could be the pivotal to a more sustainable and flourishing lifestyle.
