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Freelance Writing Budget

The economy has been tough on everyone and even freelance writers are not immune. Although working for yourself is one of the best ways to control your income you can not always control the amount of work that you land. Even if you do maintain the workload, there is no way to control the costs of items. Freelance writers have to learn to budget beyond the scope of normal people.

Key Points to a Budget for Freelance Writers

1. Taxes - The government WILL get its share of your money. It is possible to reduce the damage by taking advantage of deductions and credits, but FICA will still have to be paid. Keep in mind that you have to pay both ends of FICA as a freelance writer. Budget out around 30% from every freelance writing paycheck so that half can go towards FICA and half towards income tax. Anything that you don’t have to pay to the government you can divide between savings, vacation and re-investment after you file your taxes in the following year (it’s your own little tax refund but it has been earning you interest all year). Baca Lanjutanya..

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