The number of people working from home has reached its highest number in the recent years. There are many benefits to working from home. First, flexibility is one of the greatest benefits since you can usually create your own schedule when you work from home. Second, working from home is that it saves money in fuel costs and occasionally, childcare expenses. Third, a person who works from home can explore several fruitful projects instead of putting his or her eggs in one basket and one employer.

It is quite true that working from home has a heap of benefits. However, working from home has some not-so-positive points to consider as well.

Working from Home has Benefits, But These 4 Drawbacks are Worth Considering

1. No Unemployment Benefits

One of the biggest disadvantages of working from home is the lack of unemployment benefits. Some remote workers are employees of the companies for which they work, so this disadvantage does not apply to them. Unfortunately, the majority of home workers are usually self-employed individuals who will not qualify for unemployment benefits if something unforeseen occurs. Because of this, all self-employed workers must create a financial cushion just in case an unforeseen job loss comes. A steady savings plan can help you accumulate enough to assist over the years.

2. Lack of Benefits and Insurance

The second disadvantage of working from home is the lack of benefits. The work-from-home contractor usually has to find his or her own way to get health, life and dental benefits. The work-from-home business owner will also need to obtain professional insurance. Many companies offer insurance policies for their own staff, but if you’re self-employed it is worth reading up on the special insurance that PLI policies offer.

If you provide professional services to clients – like advice, consultancy or design – they could make a claim against you if they think you’ve made a mistake that’s caused them to lose money. But that’s where professional indemnity insurance (also known as PI insurance) comes in.

3. Creditor and Public Scrutiny

Another disadvantage of working from home is the scrutiny that a person may receive from their friends and family. A person’s friends and family members may not believe that he or she is truly working just because that person’s method of earning income is not the same as theirs. Working from home may cause a greater problem with creditors and financial organizations. They may be skeptical because the work-from-home salary is not always as clear-cut as the regular salary is. The creditors, therefore, may turn the self-employed person down for loans or burden them with extremely high interest rates.

4. Isolation

Finally, there is often less distractions at home than in the workplace. However, it can take some serious discipline to stick to your work without being distracted from the bills you need to pay, the snack you have to get in the kitchen or the pile of clothes in the laundry room. To help you with this, it is definitely worth looking for freelance communities online or in real life. Regular meetups with other people working from home, such as Jelly, can offer some relief from the boredom of working from home and could lead to new freelancing opportunities.

The modern worker must weigh the pros and the cons and then decide if working from home is right for him or her. In some ways it is a great advantage, but in other ways it can be an extreme hindrance.

Everyone’s situation is different. What works best for you?