What aspect distinguishes self-employed individuals from employees in terms of financial responsibilities?

The distinction between self-employed individuals and employees in terms of financial responsibilities primarily revolves around the financial risks each party bears. Self-employed individuals are responsible for their own business expenses and the financial outcomes of their business decisions. They must manage overhead costs, taxes, and potentially variable income, which can fluctuate based on business performance. This inherent financial risk means that self-employed individuals must be proactive in managing their finances and often lack the safety nets that employees typically benefit from, such as unemployment insurance or guaranteed wages.

In contrast, employees usually receive a fixed salary or hourly wage, which provides a level of income stability regardless of their employer's revenue fluctuations. This security reduces their personal financial risks as they are not directly responsible for the overall profitability of the business they work for.

The other options, while they may contain elements of truth, do not fully capture the essence of financial responsibility. For instance, the notion of salaries being fixed pertains more to the structure of employment than to distinguishing financial risk. Additionally, employees can indeed have multiple jobs, and self-employment is not limited to seasonal work, so those factors do not accurately characterize the fundamental financial differences between these two categories.