Financial pros and cons of telecommuting, continued

Category: Jobs

Woman and child using laptop

For a lot of people, telecommuting is the optimal work setup. While there are many benefits of working from home, there are also cons to bear in mind. More specifically, there are ways that telecommuting can save you money, and ways that it could cost you money. Many of these potential issues will depend on the arrangement you have worked out with your employer. Whether you’re in between jobs and you’re exploring your different options, or you’ve been given the opportunity to work from home, remember to consider the following:



Not everyone does well in a virtual working environment, and you may find out that it’s not for you. It can take a lot of discipline to work from home, and you might be more tempted to watch television, take care of chores, or do other things when you have the freedom to work from home. On top of that, if there are children or other distractions, your productivity levels can drop significantly. Failing to meet deadlines or finish projects can put your job in jeopardy.

Getting passed up for raises and promotions

If you’re a full-time employee at a company, but now just working from home, you might not get the same considerations as on-site employees do for raises and promotions. Unless you’re already extremely satisfied with your job title and compensation, this is another potential disadvantage to consider.

Health insurance

As a telecommuter, you may have dropped to part-time status, or you might be working as an independent contractor. If you’re no longer eligible for benefits as a full-time employee, it means you’ll be financially responsible for your own health insurance plan. Forgoing health insurance altogether can have its own consequences, such as tax penalties and substantial out-of-pocket healthcare costs.

Retirement benefits

Similarly with health insurance, you might need to worry about contributing to your own retirement fund if you’re working from home. Many companies will offer these benefits to employees, and may even match their employees’ retirement contributions, which can help them grow their retirement funds in half the time. As an independent worker, you’ll be financially responsible for ensuring that you have enough money for retirement.

No paid time off

You guessed it—working from home may mean no more PTO days, either. If you want to go on vacation or you get sick, you might need to work double time to ensure your pay isn’t cut when you do take that time off, which can be stressful and very difficult to do.

Do you need extra cash to catch up on bills and expenses? Contact Peachtree Financial Solutions today if you’re receiving long-term structured settlement or annuity payments. We may be able to purchase some or all of your future payments and send you a lump sum of cash.

Previous page


Nothing above is meant to provide financial, tax, or legal advice. You should meet with appropriate professionals for such services.

Tags: Health Insurance, promotions, retirement, telecommuting

Comments are closed.