An increasing number of freelancers are considering the switch to an employment position, especially as regulations surrounding freelancers become stricter. What are the benefits and challenges of this transition? And how can you make the switch smoothly? In this blog, we explore the changes and their impact on freelancers, along with what to expect when choosing employment.

Why are freelancers considering the transition?

There are several reasons why freelancers are considering switching to employment, particularly with the expected changes in legislation. Some key changes include:

• Tightening of the DBA act: With the Deregulation Assessment of Employment Relationships Act (DBA), it has become more important than ever for freelancers to carefully consider their work structure. Starting January 1, 2025, the Tax Authority will begin enforcing rules against sham self-employment. This means that companies and organizations hiring freelancers for work that is not genuinely independent may face fines and back taxes. There is a one-year transition period during which employers and workers will not incur a violation penalty, provided they can demonstrate they are taking steps to combat sham self-employment. This measure is part of the government's efforts to combat sham constructions and contribute to greater security in the labor market. By transitioning to employment, you can minimize these risks and establish a clearer employment relationship with your employer.

• Income security: In employment, you have a fixed salary, which can provide financial peace of mind. The assurance of a stable income becomes increasingly attractive, especially in uncertain times when freelance assignments are not always guaranteed.

• Social security and pensions: Employment offers more social security, including pension accrual, vacation days, sick leave, and insurance. As a freelancer, you must arrange and finance these yourself, which incurs additional time and costs.

The benefits of employment

The transition from freelance to employment may feel like a step back for many, but it also offers several advantages:

• Fixed employment conditions: You receive a stable salary, vacation days, holiday pay, and sometimes even a thirteenth month.

• Work-life balance: Employment often comes with more defined working hours, making it easier to keep work and personal life separate.

• Greater growth and development opportunities: Many companies provide training opportunities and career paths that you might find harder to develop on your own.

• Less administration and taxes: As an employee, you do not have to worry about VAT returns, annual accounts, or complex tax issues.

What to consider when transitioning?

If you are considering the switch, it’s important to prepare thoroughly. Here are several things to keep in mind:

• Do not underestimate your entrepreneurial experience: Many employers value the independent mindset and skills you have developed as a freelancer. Leverage your experience as a strength: self-discipline, a broad network, and knowledge of various projects can all be valuable in your new role.

• Review your insurance and pension: As an employee, you are entitled to social securities such as sick leave and pension accrual. Ensure you have a clear picture of these and check what your current insurances cover.

• Discuss your expectations with the employer: Talk about what is important to you in a job, such as flexible hours, remote working options, or growth opportunities. This can help facilitate a smooth transition.

• Adjust your mindset: Transitioning from freelancing to employment can take some getting used to, especially if you are accustomed to the freedom of freelance life. Prepare yourself for working within a team and following company processes and structures.

How Trinamics can help you transition to employment

At Trinamics, we understand that this transition can be a significant step. Our specialists are eager to assist you in finding an employment position that suits you, allowing you to utilize your entrepreneurial qualities while continuing to grow. Various assignments in employment are always negotiable, enabling you to apply your expertise in diverse roles. We support you at every step, from searching for a suitable position to onboarding and evaluating your experience after you start. Together, we build your career—Taking on Tomorrow.

Do you have questions or want advice about your options? Who you gonna call? Trinamics!