How are people getting entry level jobs rn??
<div class="user-question">I'm torn about what to do. I graduated from university this year and getting an entry level job is impossible. Everyone around me is struggling. I'm seeing more and more people starting to do freelance, side hustles or their own business but I'm scared to take the leap. What do I need to do to start a successful business myself?</div>
First off, congrats on graduating! It totally sucks that the job market is trash right now - the unemployment rate for new grads is around 5.3%, but the real kicker is that almost 42% of you are underemployed. So, it makes total sense that you're thinking about freelancing or starting your own thing. Don't be scared - it's actually a smart move!🙌
Since I spent some time freelancing before founding my startup, I’m sharing my TL;DR on what you need to do to get started on the right foot!
1️⃣ Figure out your vibe (goals & skills)
- Short-term hustle or long-term empire? Are you just looking to stack some quick cash, or do you want to build a whole career/future business? Your answer changes everything - how much you invest, what you learn, and how much time you spend on it.
- What’s your secret sauce? What knowledge, skill, or passion do you have that can actually solve a problem for someone else? Seriously, technology makes it so easy to level up any baseline skill.
<div class="frich-tip">Frich tip: We love the free Lenovo community that offers online courses for freelancers. Here are some that our team members have taken & loved ⬇️ Note: you'll have to create a free account before accessing these! Find them under "tutorials".</div>
2️⃣ Make a simple plan (business & money)
- Business plan: You don't need a massive, boring document. Use AI! ChatGPT is awesome for drafting a quick plan, and Perplexity is great for deep-dive research on market data and competitor pricing. When using AI, be sure to ask specific questions based on what type of work you plan to do, your skills, and goals - any parameters that might be specific to your circumstance. Using the right prompt is key.
- Funding: You need a budget. How much money do you actually need to bring in each month? Figure out your bare-bones, mid-level, and "if I'm killing it" revenue/cost scenarios so you can adjust as you go.
- Taxes: As a freelancer, you are responsible for paying your own self-employment taxes. This includes Social Security and Medicare taxes, which an employer usually splits with you. The self-employment tax rate is generally around 15.3%.
<div class="frich-tip">Frich tip: Connect with experienced bookkeepers specializing in small businesses through FreshBooks. At the end of the year, you'll receive tax-ready financials saving you hours of stress. Use code FRICH2026_75F6 to get a 75% discount exclusive for you!</div>
3️⃣ Tax reality check
- Quarterly estimated taxes: Because no employer is withholding taxes for you, you need to pay estimated taxes quarterly to the IRS (and possibly your state). If you expect to owe more than $1,000 in taxes for the year, you should be paying estimated taxes on April 15, June 15, September 15, and January 15. Failing to do this can result in penalties.
- ➡️Save for taxes: A great rule of thumb is to automatically set aside 25-30% of every payment you receive into a separate savings account reserved only for taxes. This ensures you aren't scrambling when quarterly payments are due.
<div class="frich-tip">Frich tip: Keep this money in a HYSA. High-yield savings accounts offer around ~4% APY, up to 10× more than the average savings account, while keeping your money FDIC-insured and accessible. Here's a list of our favorites.</div>
4️⃣ Get legal (business structure)
This sounds scary, but it's important for taxes and protection.
- The basics: As a freelancer, clients will send you a W-9, and you'll get a 1099 tax form at the end of the year. Many people start as a Sole Proprietor (basically, you're self-employed). This is fine if you're just looking for a full-time job eventually.
- LLC: If you’re serious about building a business, an LLC (Limited Liability Company) is your best friend. It’s cheap, simple to set up, you still use the standard 1040 tax form, and the biggest benefit is personal liability protection. This means if the business gets sued or goes into debt, your personal assets (your savings, your car, etc.) are usually safe. As a sole proprietor, you're personally on the hook. There’s an annual fee for the structure, but it’s tax-deductible like any business setup expense.
5️⃣ Separate your cash
- Get business accounts: This is a must for tax season. Open a dedicated business checking and savings account and a cash-back business credit card.
<div class="frich-tip">Frich tip: Here is our list of best business accounts.</div>
- Deduct everything: Track all your business expenses - software subscriptions, your home office percentage, business travel, professional development, and even parts of your phone bill. These deductions reduce your taxable income, saving you money. This is where accounting software is essential.
- Use accounting software: If you don't love spreadsheets, get . They make tracking every tax-deductible expense (literally anything related to your business) simple, and they help you send and track invoices (aka how you get paid) easily.
Found this valuable? Here are some more deep dives from the Frich team 🤝
✅ More than $2M in non-dilutive funds available to every founder
✅ Strategies for getting a raise
You got this!💪 Taking the leap is the hardest part, but the prep work is totally manageable.
Gwyneth Borden
Founder & CEO, Remynt
