The numbers of telecommuting employees across the country is at an all-time high. Some are fortunate enough to telecommute full time, while others have worked out a part-time telcommuting schedule in order to be home with their young children or elderly family member in need of some assistance. Even if you don't telecommute, odds are that you need a home office. You've probably never considered it until recently. But home offices are becoming nearly as common as kitchens and living rooms. In addition to serving as your office away from the office, they can also be an excellent place to keep your home finances -- and your life in general -- organized.

So, after spending the last several months using your kitchen table as a makeshift desk and your file folders as placemats, you've decided to create a home office for yourself. Whether you designate a room in your home or a space under the stairs, you've got to take several factors into consideration before claiming your spot.

The most obvious one, of course, is the flow of traffic in your home. While you might initially lean toward the idea of having your office space out in the open -- where you can keep an eye on your children, for example -- it's preferable to keep your office in the most quiet spot in your house, the one with the least amount of traffic. The less traffic and noise you have to contend with, the better your concentration, and the more productive you're going to be.

Not all of us are lucky enough to have a spare bedroom. If you do, congratulations. Many baby boomers and new empty-nesters are enjoying that luxury for the first time ever. If you do decide to establish your home office in that spare bedroom, you might consider doubling up on the space. In addition to your computer desk and bookshelf, you may want to have a pull-out sofa or futon on which visitors may both sit and sleep. All of this assumes, of course, that your home office is going to be a casual environment. If that's not the case, and if you need to establish a more formal office in which you can meet with clients, it may not be the best idea to use your spare bedroom for this purpose. Spare bedrooms are often located off a hallway along which your other bedrooms are situated -- meaning that you'll have to lead your clients through a tour of your home past your living areas, children's bedrooms, etc., on your way to the office. Needless to say, that's not the most professional approach to a meeting.

If you don't meet with clients at home and spend many of your home-office hours in a bathrobe and slippers in front of the computer, you might consider establishing your office within your own bedroom. Place it in the corner away from traffic. Setting up your office in your own bedroom allows you to shut the door, even locking it if necessary. You keep control over your own working environment. From aesthetic and psychological standpoints, however, this may not be the best option for you. For starters, you'll go to bed looking at the work piling up on your desk -- that could turn you into an insomniac faster than you can say "stress." Many furniture manufacturers, however, have created attractive cabinets, armoires, etc., that allow you to shut the doors on your workplace clutter. Also keep in mind that if you or your spouse enjoys working at night and the other partner does not, the ensuing conflicts could cause more than a few rifts in your relationship.

Is space at a premium in your home? You could set up shop in your kitchen. Many new homes have built-in desks in the kitchen, and that makes finding the right spot for your office an easy task. If you're disciplined and relatively organized, you could use part of your kitchen table and clear it off when it's time to eat. But be careful. Kitchens are the most-frequented rooms within any home. The amount of traffic coming through your kitchen, as well as frequent shifting of your office necessities, leaves the door wide open for losing your valuables -- bills, bank statements and other important paperwork. Fido might decide to indulge in a late afternoon snack: your Visa statement. Working in your kitchen also could expand your waistline if you're not careful. The fridge and your pantry are, after all, just steps away. Your child (or even you) could spill a drink on that loan application. Kitchen offices are a risk, but depending upon your living situation (namely, the other occupants in your home), this could be a workable solution for you. (The kitchen is obviously out, of course, if you plan to meet with clients.) You might also opt for a corner of your family room, but your ability to concentrate could be severely impaired by the television, stereo, playful kids and pets, and the position of the family room itself. In most homes, the family room is central to all of the activity. From here, you can keep an eye on most everything, and that's not good for your productivity.

If you have a basement or attic, you've got an excellent space for a home office. Basements are best; they have separate entries, allowing you to meet with clients and have them come and go without intruding upon the privacy of your family members. Basements are also considerably cooler than the rest of your home during the summer months. In the wintertime, however, it might be time to purchase a space heater. Attics have the opposite problem; if anything, they face excessive heat, so you may have to buy a window-unit air conditioner and/or a couple of unintrusive fans. The plus side of attics is that they usually bring you plenty of natural light for your office, creating a cheerful environment. Both basements and attics can easily be turned into cozy surroundings with a little creativity.

As a last resort, you might consider turning a space underneath your stairs or even a large closet (if you're lucky enough to have one and can sacrifice the space) into your home office. These two solutions are both workable if don't need a tremendous amount of space for your office environment. And if you opt for a large closet, you're going to have to come up with a plan for getting an electrical source ... a lengthy extension cord, perhaps? What about a phone/modem line? It might be time to call a contractor.

Building a room onto your existing home is wonderful if you can swing it, but it's a costly venture. By the time you investigate zoning restrictions, draw up plans, dig, build, paint and retouch, you're talking big bucks. It's likely that you'll need a loan to pay for the project, and don't forget that both your property taxes and your heating and cooling bills are going to increase if you build an addition on your home. On the other hand, constructing a home office is a good investment that could very well pay for itself in a short period of time. And home offices are a definite selling point if you think you'll eventually place your home on the market. Regardless of the surroundings you choose for your home office, make sure they're comfortable and above all, quiet. After all, one of the biggest advantages of working at home is the ability to eliminate many of the common workplace stresses -- commuting, office politics, micromanagers, noise and other distractions that keep you from doing your best. Take all of your personal needs into consideration to make sure your home office works for you.

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