Wednesday focus: The workplace

With layoffs on the rise and job opportunities scarce, more people are turning to freelance work to make ends meet or as a springboard to a new career.

And some people, burned by corporate America, may also be motivated by the idea of being their own boss.

The new workplace reality is that many companies are using temporary employees to keep costs down, especially health-care expenses.

Here are some things to keep in mind if you’re thinking of going the freelance route:

Get started: Figure out who would hire you and why. That will help you clearly articulate your value and allow you to target potential employers. Approach former employers or clients and see if they could use your services on a part-time basis. This will help you get started, serving to increase your network, potentially bringing in more jobs down the road.

Stay covered: With medical costs soaring, health care typically is a huge expense for self-employed workers. And if you’ve been forced out of your job, having to provide your own coverage can be daunting.

If you are laid off, make sure you meet with your HR professional before you pack up your desk. If getting onto a spouse’s health plan isn’t an option, you are allowed to continue your old employer’s plan at your own expense under COBRA.

You may be eligible for group health insurance through organizations like the Freelancers Union (freelancersunion .org),

which offers health insurance plans in 31 states. Also check out the Actors Fund (at ActorsFund.org) to find health insurance information in your area.

Embrace the tax man: A well-qualified tax accountant who understands freelancing issues can advise you on the type of deductions you can take for things such as a home office, paper and expenses relating to networking. An accountant can also help figure your tax rate, advising you on the hefty checks you’ll be writing to the IRS, since your employer isn’t withholding taxes for you anymore.

Think long term: For workers less enthusiastic about the idea of launching a freelance career, it might be helpful to approach it as simply an extension of a traditional job search. Do a great job and you might be the one they do hire when the economy turns around.

MarketWatch