Is Freelancing and Raising Kids as Great as It Seems?

Freelancing in the gig economy offers parents the flexibility they may not find in traditional full-time employment. With the ability to set their own schedules and work from home, freelancing can be a great option for parents looking to balance work and family life. However, there are significant drawbacks to freelancing, particularly when it comes to financial stability and benefits.

According to a 2022 McKinsey American Opportunity Survey, roughly 58 million Americans identify as independent workers, including freelancers and gig workers. While freelancing can provide parents with the flexibility they desire, it often comes at the cost of a consistent and reliable income. Eleanor Victorioso, a CPA and money coach, notes that freelancers do not receive paid leave, such as holidays and sick days, and lack benefits like employer-sponsored health insurance and retirement plans.

Nicole Magelssen, a former freelance virtual assistant turned business owner, highlights the double-edged sword of freelancing for parents. While the flexibility is invaluable for being present for school drop-offs and sick days, the unpredictability of income can be challenging. Dr. Cynthia Edwards-Hawver, a single mother and therapist, emphasizes the financial strain of lost income as a freelancer, particularly when faced with unexpected circumstances like sick children or caregiving responsibilities.

The lack of paid parenting labor and the high cost of childcare further compound the financial challenges faced by freelancing parents. Unpaid caregiving labor, predominantly done by women, is estimated to be worth $1 trillion annually. This unrecognized work represents a significant financial burden for parents who choose to stay at home to care for their children. Magelssen shares her experience of balancing freelance work with childcare costs, illustrating the financial trade-offs that parents often have to make.

Despite the financial and emotional costs of freelancing, many parents find the flexibility and ability to be present for their children to be worth it. Victorioso suggests reframing time off as an investment in wellbeing rather than a sunk cost, emphasizing the importance of balancing work and life. Edwards-Hawver echoes this sentiment, highlighting the emotional value of being present for her children despite the financial challenges.

For parents feeling overwhelmed by the demands of freelancing, financial therapist Kate Dorman recommends reassessing their situation and considering alternatives for work. Magelssen’s decision to grow her virtual assistant business and hire colleagues demonstrates how parents can adapt their work arrangements to better suit their needs and financial goals.

In conclusion, freelancing in the gig economy offers parents unparalleled flexibility but comes with significant financial challenges. Balancing work and family responsibilities can be a delicate tightrope walk, requiring careful consideration and adaptation to ensure both financial stability and quality time with children. By understanding the trade-offs and seeking support when needed, freelancing parents can navigate the gig economy with greater confidence and resilience.