Financial Issues for Freelance Writers

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					Financial Issues for
Freelance Writers
Brian Bass
President
Bass Advertising & Marketing, Inc.
Agenda

 Earn more, work less
 Keep the cash flowing

 Prepare for the unexpected

 Achieve your financial goals
Ahhh…the good life
How can you earn more
and work less?
 Know what you’re worth
 Charge what you’re worth

 Negotiate effectively
                2004 AMWA salary survey

                     Full-time freelance
                           Mean gross annual income range:
                            $77,018−$125,611
                         Mean net annual income range:
                          $56,596−$103,432
                         Mean hourly rate$85
                         Mean page rate$155




Gray T, Hamilton C. AMWA Salary Survey 2004. Analysis of Data.
Charging by the hour

   50 hours @ $85 = $4,250

   30 hours @$100 = $3,000

   20 hours @ $125 = $2,500
Charging by the project

   Project X @ $4,250

       @ 50 hours = $85/h

       @ 30 hours = $141.67

       @ 20 hours = $212.50
Words to the wise


    Charging by the hour
 punishes the proficient and
   rewards the inefficient
Tips for Getting Your Fee

 Work to be the best
 Promise what you’ll deliver
 Deliver what you promise
       On-target, on-time, on-budget
   Master the art of freelance fee
    negotiation
     Never negotiate your fee
     Always negotiate the deliverable
How can you keep the cash
flowing?
Time is money

 Provide written estimates right away
 Build payment schedules into your
  agreements
 Make billing a priority

 Don’t be afraid to collect
The time to look for work is
not when you need it
How can you prepare for
the unexpected?
Cash reserves

 Pay yourself first
 Build a 3-month
  reserve
 Liquid assets for
  emergency
Keep selling

 Attrition happens
 Budgets get cut

 Projects get killed

 People leave and
  get promoted
Protect yourself

   Projects blow up
Plan ahead

 You’re going to get old and tired
 You could get hurt

 You will die

 You might want to retire first
How can you achieve your
financial goals?
 Set 1/3/5/10-year goals
 Keep a personal
  financial statement
 Build assets that
  will keep working
  when you stop
Thank you