Freelancing alongside your job: here's what you need to arrange for a successful start

Starting as a freelancer alongside your permanent job can be a safe way to discover if entrepreneurship suits you — you retain the security of your salary while building your business. However, pay attention to three things: whether your employment contract permits secondary employment, which documents you need, and how to insure yourself. Below, you can read about the pros and cons and what legal arrangements you need to make for a good start.

Advantages and disadvantages of the part-time freelancer

Part-time entrepreneurship alongside a job has clear advantages, but also disadvantages.

Advantages:

• smaller financial risk, because your income continues to come partly from your job;
• the security of an income, allowing you to build up without stress;
• A safety net: if your business doesn't work out, you still have your job.

Disadvantages:

• You have limited availability for clients, which can make your accessibility and securing assignments difficult;
• You may have fewer tax benefits than a full-time self-employed person because you do not always meet all the conditions (such as the hours criterion). TODO_VERIFY: the current tax regulations and conditions for self-employed persons (such as the self-employment deduction and the hours criterion) change regularly — check these with the Tax and Customs Administration;
• Slower growth can mean lower revenues;
• You have the same obligations as a full-time freelancer, but with less time and money.

Are you allowed to start a freelancer alongside your job? Pay attention to the secondary activities clause

Before you start, it is important to know whether your employment contract allows this. Some contracts contain a clause regarding secondary employment, which means you may not work as a freelancer alongside your job without your employer's permission. Check your employment contract for this.

Good to know: since the introduction of the rules regarding transparent employment conditions, a clause regarding secondary employment is in principle only valid if the employer has an objective justification for it (for example, health and safety, or the prevention of conflicts of interest). If the employer cannot provide an objective reason, the clause is invalid. As a result, you can sometimes start as a self-employed professional—even with a clause regarding secondary employment. If in doubt, have this assessed legally.

Which documents do you need as a starting freelancer?

For a good start, arrange a number of agreements:

• A self-employment agreement or contract for services. In this, you agree with your client on the content of the assignment, its duration, and the remuneration you will receive.
• General terms and conditions that apply to all your assignments, ensuring that your liability, payment, and delivery are properly regulated.

Well-drafted agreements help prevent legal conflicts and contribute to ensuring that the tax authorities actually view you as an entrepreneur (and not as a disguised employee). Preferably, have these documents drafted by a lawyer; this offers the greatest certainty.

Insurance for the starting freelancer

Ensure you are adequately insured when you start working as a freelancer alongside your job. Consider, among other things:

• (Business) liability insurance, against third-party claims for damage resulting from your work;
• disability insurance;
• a provision for your pension.

This list is not exhaustive. Depending on your situation, you may also need other insurance, such as business car insurance or contents insurance. Ask an insurance advisor for advice on this.

Frequently Asked Questions

Can my employer forbid me from starting as a freelancer?

Only if a valid clause regarding ancillary activities applies, and that in principle requires objective justification. If this is lacking, the clause is invalid and you may, in principle, start.

Am I entitled to the self-employment deduction as a part-time freelancer?

That depends on whether you meet the tax requirements, such as the hours criterion. It is harder to meet this while working. Check the current requirements with the Tax and Customs Administration.

Which contracts do I really need as a starting freelancer?

At least one contract for services (or self-employed agreement) per assignment and your own general terms and conditions. These provide clarity and limit your liability.

Does a good contract help with my self-employed status with the tax authorities?

A good agreement contributes to the image that you are an independent entrepreneur, but the tax authorities look at the actual situation. Sham self-employment remains a point of concern.

Off to a good start as a freelancer alongside your job?

A strong start begins with the right contracts and clarity regarding your employment agreement. We draft your freelance agreement and general terms and conditions at transparent, fixed rates, so you can take them into account in your business plan.

View our freelance agreement and general terms and conditions, or have your employment contract checked for a secondary employment clause. Schedule a no-obligation intake consultation.