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What Are The Disadvantages Of Working From Home?

Updated on October 8, 2012

Thinking of working from home can be very exciting and it becomes easy to forget that there may also be some disadvantages to it as well, so here are some of them for you to consider and if they don’t put you off then you know you truly are ready to give self employment a go no matter what it takes.


There is no set wage at the end of the month like in a regular 9-5pm job and you are solely responsible for ensuring you make enough money to meet the needs of your business, your self and your family.

You will also be responsible for finding your start up funds and paying the money back. You may also need to open up a business bank account.

Doing your own paperwork

It will be up to you to carry out all necessary paper work including the possibility of contacting the housing department for planning permission.

If you need to apply for a loan towards your start up funds then you may need to type up your own business plan to help you keep your costs down.

Responsible for doing your own Tax and VAT

It can be quite a daunting thought for many people knowing that they have to take care of paying their own taxes as when they first leave a job it’s automatically paid for them.  Not only that but you will also have to do your own book keeping and accounts unless you can afford to hire someone else to do them for you. You will need to make sure that you can work out your business expenses and tax deductions so that you don’t end up paying over the odds. You may also need to register to pay VAT as well.


You will need several different types of insurance such as public liability insurance, business insurance and more expensive insurance on your car if you are using it for work.

You may also find that your health insurance will be a bit more costly as well.

No paid time off work

Unless you are earning a passive income then you won’t get sick pay, holiday pay or maternity leave and you are unlikely to get compensation if you have a work related accident in your home.

More responsibilities

With more responsibilities comes more stress. You become the one who people look to when something goes wrong. Plus if you are planning to hire employees then you are responsible for them too.

Work longer hours

You may find you have to work longer hours to bring in enough income or too meet the needs of clients. This would ultimately lead to less time for your self, your family and friends.

Less job security

There is a lot of redundancies going on at the moment but if you are fortunate enough to already have a job that you are guaranteed to not lose then going self employed could mean you having less job security as you are going to be the one that has to fend for your self and find your own work, even at times when there may not be much work around.

No pension

There is no pension plan when you are self employed so it will be up to you to set aside money for your retirement, as will be deciding where is best to save it, either in investments or a bank account.

Needing to learn new skills

There will always be more things that you need to learn in order for you to keep growing your business. You may have to learn these skills or do certain tasks whether you particularly want to or not.

Difficult getting friends to believe you are actually working

I don’t know why but most people seem to think that if you work from home then you don’t actually have to do any work at all and will be tempted to still ring you for an hour at a time or insist on spending the day sipping cups of tea with you, so you may have to be tough with your friends and family and politely tell them 'sorry but I’m working'. You might be your own boss but if you don’t get any work done then you won’t get any income either.


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    • Victoria Stephens profile image

      Victoria Stephens 6 years ago from London

      Hi ecstacY9845,

      Thank you for having a read. It's all too often that people get themselves into a business without realising what they are letting themselves in for. Hopefully this will help prepare them a little bit.x

    • ecstacY9845 profile image

      ecstacY9845 6 years ago

      Great article,I agree with your points.And this is the first time I am seeing someone covering the disadvantages of working from

    • Victoria Stephens profile image

      Victoria Stephens 6 years ago from London

      Hi wandererh,

      I can totally agree with you, one of the hardest parts of working from home is getting other people to believe that you are actually working. Be strong and hang on in there, be persistent at reminding people to call back or knock later because you are busy.x

    • wandererh profile image

      David Lim 6 years ago from Singapore

      I have been working from home for the longest time and what irritates me most is that when friends automatically assume that I am free to chat or go out when they catch me at home. No matter how much I explain, they don't seem to understand that I have office hours just like everybody else, and just like everybody else, I do not like to be disturbed or interrupted during office hours.

    • Victoria Stephens profile image

      Victoria Stephens 7 years ago from London

      Hi thougtforce,

      Yeah it defiantly does take quite a bit of self discipline to stay focused on working from home and I can well believe studying would follow the same principle. It has to be something your really interested in.


    • thougtforce profile image

      Christina Lornemark 7 years ago from Sweden

      You have summed it up very good! I have never been working from home but once, I studied at distance. And it requires some discipline and that you see it as an important work. Very informative article!

    • Victoria Stephens profile image

      Victoria Stephens 7 years ago from London


      There's lots of good points as well so all is not bad. Thanks for having a

    • barbergirl28 profile image

      Stacy Harris 7 years ago from Hemet, Ca

      Wow - that really makes me want to go out and get a job. Great hub!

    • Victoria Stephens profile image

      Victoria Stephens 7 years ago from London

      Hi Pamela N Red,

      You have a very good point, I can't imagine I would get much work done at all with a toddler around the place, thankfully mine are a bit older now so that helps me a lot.

      I get very tempted to tell everyone i'm going out for the day so I can sit in quite and get on with it, hahaha.

      Thanks for you comment, much appreciate you stopping by, best

    • Pamela N Red profile image

      Pamela N Red 7 years ago from Oklahoma

      I have friends that don't think I have a job and will say, "well since you are home anyway." Yes, but I'm working.

      Then there are the kids bugging you to do something for them or they are being noisy. It can be trying sometimes.