A Home Business – Why You Should Start One Today!

 

The Problem

In today’s rapidly changing economy, many people are getting a rude awakening as they realize that having a job with one company for their entire career is not how things work anymore. Companies continue to downsize, merge and even disappear. They are doing it more now than ever before. Even government jobs are not “safe” as federal and state agencies are getting into the act with layoffs and a reduction of available positions.

Keeping a balanced life

Juggling Life

Management positions are shrinking and there is no such thing as loyalty between companies and employees anymore. Sitting around in the same job with the same company does not guarantee any kind of financial stability or security. Job insecurity makes all the long hours and extra efforts to increase position and pay even more frustrating when there is no guarantee of a job tomorrow no matter how valuable you think you are.

Long commutes in heavy rush hour traffic, a sometimes unreasonable boss, long hours, reduced benefits - all problems you deal with daily.  But no matter how well you do, there is no guarantee that your position will be around next year, next month or even next week.

If I haven’t ruined your day yet, here is some more wonderful news.  Under recent tax laws employees are on the short end of the stick once again with limits and thresholds for deductions and higher social security tax limits.  And who knows about retirement pension plans or social security benefits…

All this has resulted in more couples working than ever before and, on many occasions, working more than one job. It is now almost impossible to have only one job in the family and make ends meet! Today, many households need two if not three incomes just to survive.

On Friday, August 1, 2008, the Bureau of Labor Statistics announced that the nation’s factories and offices shed 51,000 jobs and the unemployment rate climbed to a four-year high of 5.7 percent. This is the seventh straight month of a contracting labor market, and the unemployment rate has climbed by a full percentage point since July 2007.

The Usual Solution

Sadly, having more than one job does not always increase the size of your bank account in the amount that is necessary. Why? Mainly because of tax laws. A good example of this was well illustrated in 2004 by Jane Bryant Quinn in her Woman’s Day article on “How to Live on One Salary.”

Ms. Quinn’s example assumed that one spouse, the husband, was earning $40,000 per year and this was the only income for the family. The situation wasn’t working. The couple had more month than money. (Sound familiar?)

So what did the couple do? Well like most of us they decided it was worth it to have the wife and mother go out and get a second job instead of her full time job of MOM to her kids. Sounds like the perfect solution doesn’t it?

The Problem with the USUAL Solution

The PROBLEM was the second job didn’t fill up the bank account like expected. Making just over minimum wage brought home $15,000 but after paying the increased taxes, cost of commute (GASOLINE), new clothes, eating out, DAYCARE, and the other unforeseen costs of working outside the home, the family only added about $1500 to their bank account.

So was it really worth it to go to work for corporate America. All the extra stress, the commute, the time away from children…. And for this the Government made more in extra taxes than the family did in income.

No wonder more and more people are starting home-based businesses. In fact, there are currently over a hundred million people working from their homes and the number is growing every day. Working from home has become and will continue to be one of the greatest mass movements in the U.S. in the coming years.

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About Michael Tomberlin

I am happily married and have 6 wonderful kids so life is sweet! I am building my own business on the internet and helping others to do the same. If you are looking to achieve more in life and reach for your dreams of being your own boss let me know. I would love to help you.

Working online and sharing what I have learned about an online business and improving your health and wellness are two things I enjoy.

Comments

  1. fengardahey says:

    But what are we supposed to do when we cant make it on the one income. We both need jobs to survive. Do the home businesses really work? My experience is that they are mostly scams.

    • mtomberlin says:

      I would have to agree with you on most counts. Many of the home business plans, while maybe not complete scams, do not back up their promises with the necessary training for success. They also make a lot of promises that are very unrealistic. Honestly a home business is like most business start-ups where it takes 2-5 years to truly become established and be making a good profit. The secret is knowledge and action. Be aware of what the business offers and what is required for success and then be willing to take the actions necessary to be successful. Just because it is a home business it is still a business and it needs to be treated like one. Most people are not ready to start a home business and fail before they get started.

      Good Luck and I hope that helped…
      Mike

  2. Homebased business really practical nowadays, has lots of benefits, to be w/ family always, that’s everything!

  3. The author is absolutely right. I have been working freelance for many years in part because the jobs available want to pay just over minimum wage for my technical skills. That’s crazy, and so is the job market. I recently started an internet business to supplement my freelance income. Even though the revenue is irregular, it still beats the expense of commuting to a job that barely pays enough to cover the bills.

  4. Almost daily there are local news reports about job fairs getting overcrowded with the unemployed masses clamoring for a job- any job. If it is not that, there is always a story about a large company laying off its employees to feed the need for headlines. And I am sure you have all seen some similar news story about support groups forming, made up of career professionals with college degrees who were laid off and are having to fill out job applications for unskilled positions. Bartending schools are booming with business because of the job market, but unfortunately, there are only a certain amount of those type of jobs. The only thing left is to think creatively and come up with your own internet venture.

  5. Getting the desire to generate a home-business prospect and getting in the situation to essentially make it happen will be two different issues. There are a couple of concerns make sure you determine when you leave your career and begin a home-business. Make the effort to ask yourself a number of doubts so that you can determine. One thing to contemplate is if you might be all set to begin a home based business Self-confidence can always be a major part in the accomplishment of your home-based business. You’ve to think that the work from home is really worth starting if you wish for it to prosper. Often all of us is often just a little more than self-confident concerning our very own ability. Nonetheless, on the subject of no matter whether you can do well having do it yourself-business, you need to be sincere with yourself. Give thought to the way you perform at your present position. Are you someone who tidies up responsibilities regardless of the circumstance? Can you do the job simply just as critical at work regardless of whether your employer is in the office or not? If you are, you may have what it takes to acquire a business from home.

  6. I think a home based business is good for supplementing one of the two incomes. Recently my husband and I decided we would venture out on a career with each other. The only draw back was that there is only one income now and things are not looking so great. So I think I need to start doing something online to help out a little. What would you recommend?

  7. Times are tough with the recession, unemployment and the state of the housing market. And extreme circumstances call for extreme measures [insert your own cliche]. I feel the internet has evolved enough and it’s now reaching its potential and so people can explore the possibility of creating their own business that will allow them to work from home. After all, if we no longer need to leave our home in order to enjoy movies or concerts, get a college degree or even to communicate with someone across the world, why shouldn’t we also be able to make a living from the comfort of our own home, in our pajamas.

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    In today’s rapidly changing economy, many people are getting a rude awakening when they realize that having a career with one company for their entire……

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