You Should be Saving Money as a Freelancer
When I was working full-time and growing my freelance business, I saved every single penny I got from clients. I did reinvest some of it back into the business but the great thing about freelancing is that it has very low business expenses.
By the time I quit my corporate job, I had $22k saved up from freelancing.
Was it a lot? No.
Was it enough to see me through some hard times? Yes. Ish.
Today, I still save a portion of all the income I make. And the reason is that sometimes things go south, as a lot of you are seeing right now.
The economy tanks. Clients panic or lose funding. You get sued (yes, it can happen). Reliable income goes out the window.
And then you’re stuck hoping that you have enough put away to help see you through until the next client comes onboard.
Here are some ways I've seen freelancers put away money:
-Taking one client's payment every month and saving it
-Not outsourcing, or letting go of outsourced help when they need to
-Taking a percentage every month (no matter what) for savings
I wish saving some of your income was talked about more in the industry. Unfortunately, often it’s about how to earn six figures, make your dream income, and attract clients that pay high fees. (Yes, I’m fully aware that is a large portion of my marketing message too and it’s something I help with)
But when I look around at the freelance community and those that are worried about their outlook, I also want to ask, "What are you doing to prepare for the future?"
Because the future is here. Right now.
It comes back to your mindset. Someone not saving is not in the mindset of being a business owner. Instead, you're a task taker. You keep hoping that a client will magically find you, you don’t market a lot and you’re not watching your finances.
Your business is your livelihood, right? That means your business has to support you when times are hard as well, not just support you when you have clients.
Use this lesson to start considering how to start saving a bit of money here and there (even if it’s just $20!) so that you can build a fund that sees you through some rough times.
How are you saving some money to bring ease into your life?
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