The Differences Between a Freelancer & an Employee: Money and Mindset

If you are newer to the field of Virtual Assistant work, it’s so important to understand that you are not an employee.

Let that sink in for a moment….

You are more of a partner or a contributor than an employee, and we will discuss the differences on all levels.

The Difference

A Virtual Assistant, aka a freelancer, is a contractor, not an employee.

An employee works under someone, a boss, a manager, etc., and they report to them for everything!

You, as a Virtual Assistant, might have someone you report to, but I wouldn’t consider them to be a boss. They are your equal, your partner. You develop more of a business relationship rather than a hierarchy.

Finances

You, as the Virtual Assistant, determine your hourly rate, retainer, or project rate.

An employee is told how much that particular position is worth without the influence of what their time or the value that they bring to the table is worth.

Taxes are not withheld out of your pay as a freelancer, whereas they are if you’re an employee.

You also do not get benefits such as health insurance, dental, vision, or wellness reimbursement for gyms and such as a freelancer. 

Your Time

You’re told when and where to work as an employee, but as a freelancer, you decide when and where you do your work. You can work on a boat, in bed, or on a plane. It doesn’t matter as long as you have Wi-Fi and complete what is needed.

You don’t have to request off work or even tell clients when you aren’t working, for that matter! 

Try that with an employer!

You are bringing relief and value to your clients, and good clients see that. They respect that and also the boundaries that you set. 

I once had a client that made me feel trapped. I felt like I had to have my phone with me 24/7 in case she needed me because she paid me well. I lost sleep over that client, family time, and memories. I lost my sanity and a sense of why I even started this career in the first place.

When we decided to part ways, I told myself I would never allow myself to be a prisoner in this job again! That’s when I shifted my mindset from “employee” to “partner”.

Invest your time, love, and energy into your client's work as if it were your own, and watch the business relationship flourish and grow. Be extra in the best way possible, and I promise you, you will be more fulfilled in how you serve.