There are pros and cons to being a freelance worker. People can have the ability to work from home and set their own schedule, but there is also a downside of a lack of benefits and a steady paycheck. Freelance workers who want to save for retirement will have to overcome the challenges of having a variable income and a lack of an employer-sponsored retirement plan. It is important to first set aside a fund to deal with emergency situations. People also need to create a budget and make saving for retirement a top priority. This article also mentions the type of retirement plans that freelance workers can save money in. These retirement plans include 401(k)s, traditional and Roth IRAs, and Simplified Employee Pension (SEP) IRAs. The crucial key for any freelance worker is to make retirement saving a top priority.
See Maurie Backman, How to Save for Retirement as a Freelancer, The Motley Fool, February 15, 2016.
