The Stress of (Financial) Uncertainty
Hello All,
Many years ago, as many of you know, I relinquished my stable job as an employee in the pursuit of greater career satisfaction. I did this somewhat impulsively and perhaps wasn't adequately prepared for the changes, the most difficult of which was the feeling of uncertainty.
I think for many of us, the uncertainty that comes from a transition of any kind is even more stressful than a negative outcome. Uncertainty taps into a deeper anxiety—the fear of the unknown. Our brains are wired to seek certainty and control and when that is missing, we feel powerless because there’s no clear path forward. We tend to overanalyze and be hampered by indecision.
There is a significant subset of the self help industry that revolves around managing uncertainty, that at its core targets fear. One must develop coping mechanisms some of which include focusing on what you can control (be more stoic), becoming more self aware and reframing the situation as an opportunity for growth.
In the context of transitioning to self-employment, whether you’re just starting out or have been doing it for a while, one of the biggest sources of uncertainty is financial. Unlike employees who receive a regular paycheck, business owners and freelancers need to be keenly aware of where their income is coming from, what their financial and tax obligations are, and how to manage their cash flow. Many promising ventures fail simply because they run out of money.
In my blog post this week, I explore the financial uncertainty that comes with transitioning from employee to self-employment (though the advice also applies to current business owners/freelancers/solopreneurs etc). It provides a roadmap to managing the financial side of self-employment so that you help to at least mitigate the uncertainty and feel a bit more confident.
Blog Post
Financial Guide for Transitioning from Employee to Self Employment
Deciding to transition from being an employee to self-employed business owner/freelancer/independent contractor. can be a significant life event. It can certainly be exciting as you relish the thought of greater freedom, flexibility and the ability to exercise your creativity in ways that you cannot when you are an employee. However, there is also a great deal of uncertainty, both professionally and financially. And while you cannot control the outcome, understanding where the uncertainty might come from will help you be much better prepared.
Updates
New Email Marketing Provider: Talking about transitions, I have started using a new email marketing provider, so my email format and delivery might look a bit different. If you have any issues or comments, please let me know by replying to this email. Also, although I tried to be very careful, I apologize to anyone who might have inadvertently gotten on to the list.
Free Webinar: Is your mindset holding your business back from true financial success? It's time to change that!
I will be speaking about Limiting Money Beliefs in this webinar from YES Montreal on October 29th from 6:30 to 8pm. It is online and free, so anyone can register. Hope to see you there!
Video Tutorials
My latest video tutorial is about understanding, calculating and entering accrued salaries.
Check out my channel for other QBO, accounting and tax tutorials
If you find the videos useful and would like to support my channel, please subscribe.
If you would have a request for a video please leave a comment or email me directly at ronika@montrealfinancial.ca
Articles/Items of Interest
Is it easier for the IRS to collect a Canadian tax debt than a U.S. tax debt? Apparently the answer is yes
Interesting prompt for those of you that use ChatGPT (I found this in a reddit thread) :
From all of our interactions, what is one thing that you can tell me about myself that I may not know about myself
New Crypto Reporting Rules: Global tax authorities are trying to increase transparency and ensure crypto is properly taxed
How I Help
My goal is to simplify finance, accounting and tax for small business owners, minimize the stress that comes from uncertainty and help improve confidence through financial literacy.
Educational Resources
Books to help Canadian small businesses improve their financial literacy (Get 15% of by using code “special”)
Personalized Consultations
For those of you who would like personalized guidance about your situation, I provide one one one consultations. For more details, and to book a consultation, check out my services page.
Note that I no longer provide ongoing accounting or tax preparation services.
Reviews/Feedback
For anyone who has purchased my books through Amazon, a review would be greatly appreciated.
I would love to hear your comments on my current blog posts, topic ideas for new blogs, book feedback or anything else that you want to talk to me about. You can use my feedback form or email me directly at ronika@montrealfinancial.ca.
Finally, if you think anyone would benefit from this newsletter, you can send them to my subscribe link.
Hope everyone gets to enjoy the lovely shades of fall!
- Ronika
