Make Money as employee or entrepreneur?

Self-employed individuals are admired for their courage in taking risks in a seemingly uncertain market environment, while employed workers are admired because they have set hours in their job and a guaranteed paycheck every month.

Since entrepreneurship does not suit everyone who takes the plunge, some people are perfectly happy working as an employee and enjoying regular compensation and benefits.

An interesting analogy given is that *working for somebody else is like renting an apartment; working for yourself is like owning your home*. Both have their rewards, but they each have drawbacks, too.

Self-employment guarantees that you are doing a job that you enjoy, so it doesn't come off as a chore. Work-for-hire is also a rewarding job for some who enjoy the challenges their work environment provides as well as the interaction among their co-workers.

There’s a lot of pressure when 'you' are required to generate your own income. For employees, there’s a sense of freedomwhere you’re not responsible for the daily decisions for keeping the company alive. There’s also the advantage that if you don’t like the job, you can just leave. In this setting, it’s also a plus that the actual source of income is not 'your' main responsibility.

According to a government study, self-employed people make more than those who work for others. But there’s a wider variance in incomes among the self-employed; some make a killing while others just break even or earn just enough, compared to employees who usually have the same range. Earnings for the self-employed are lower at first, but tend to grow more quickly until they surpass that of traditional workers.