Only put off until tomorrow what you are willing to die having left undone - PowerPoint Presentation

Slide1

Only put off until tomorrow what you are willing to die having left undone.

--Pablo Picasso

Slide2

Budget

is

not a four letter word:managing Money and Financial Planning

sessionThree

Slide3

O

pening

exercise

Slide4

what methods do You

use?

Slide5

Annie cherry

a series of haiku inspired by tax time

can

i write this off?i ask myself while holdingshoebox of receipts.what am i doing?paper paper everywhere...no end is in sight.husband stares blankly.

neither of us understandsthe joy of filing.hard concentrating,no matter how much

i

try.

...kittens, unicorns

what the fuck,

i

say...

taxes make no sense to me,

i

think in colors

what's the difference

between me and someone who

this can make sense to?

i

can do this, right?

or procrastinate some more...

what's the date again?

receipts, envelopes,

i

have written nothing down!

dean

vivian

, help!

Slide6

Robin vanHoozer

Slide7

Chris dahlquist

Slide8

s

ession

3group discussion: the non-starving artist

pecha kucha

b

udgeting

basics

taxes

s

mall

g

roup

d

iscussion: weekly updates, elevator speeches

Slide9

Slide10

80% of

artists

d

o Not have a Budget

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% of participants With

. . .

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rate your Financial Recording Keeping System

Slide13

W

hy

do artists

Avoid budgets?

Slide14

what methods do You

use?

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Health Insurance

Vacation Time

Retirement Savings

Health Insurance

Vacation Time

Retirement Savings

What

Expenses

should be included?

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Revenues

Expenses

Profit

w

hat

is

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P

echa

Kucha

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Cheryl Eve acosta

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Charles hoffman

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Jane

b

ooth

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Erin

m

callister

Slide22

Lisa lala

Hanging Files by my desk

"galleries" "pricing" "radio" and all the rest.

Then the golden stack of papers that my painting's location nails:Sheets for paintings checked out to venues - also letters from galleries about last months sales.And then that stack goes to my meticulous Hunk Everything he types into Excel, that is where we put this junk.Each painting gets its own little row.

And then we can look up whatever we want to know: First a fingernail

pic

, then it's name,

Then an asking price, then the real sale price- sometimes it's not the same.

The next column is for gallery commission percentage take and finally the collector's name and address so future contact I can make.

 

Now to tell you the truth, there are a few blanks Sometimes info is incomplete... and your perfect system

stanks

.

But overall it is good to know,

where most of these paintings come and go.

 

And then we must open one more program before we're through Quicken tells us more about what we thought we knew.

Every receipt matched with each item off the credit card gets put into a category, so we know the real profits.

 

Then we can run reports left, right, and center, How much money for supplies? Just type it in and enter.

But some of the news I don't always likes...

Really? That much overhead? Yikes.

C

22

Slide23

Ann reckling

 

Regardless of intentions,

it seems they’ve flown the coop –those pieces that I sold (or ‘placed’) –no longer in the loop. 

I think I saw some cash or checks

and thanked my loyal peeps,

who took home my beloved art

and made me one who reaps

 

rewards that once were tangible,

but now, like clouds of dust,

have disappeared in every way,

dissimulating rust

 

about the countryside I traveled,

cities close and cities far,

away they went to their new homes

while I, not being one to mar

 

ephemeral transactions

with vulgar numbers or with notes,

but choose instead the lofty path

of the purist/artist who emotes

 

surprise and glee just knowing

they

liked

my rusted treasures!

For, really, isn’t all I need

the glory and the pleasures

of spreading loud and clear the words

zymolysis

and

wabi-sabi

?

It warms my heart, regardless of

that niggling label:

hobby

.

 

I wouldn’t want to change a thing

except … okay … perhaps

to glean what in the @*#!*&# became

of what I made. This lapse

 

in record-keeping might be seen

as negligence of mine,

though in defense of laxity,

true

artists would opine

 

that art for art’s sake rules the day!

And should forevermore!

Unless …I guess … one wants to eat

or keep the wolf outside the door.

 

So,

maybe

I could do a

wee bit

more

in noting what I’ve done

with money and materials: perchance

this class will be square one.

Slide24

Rick

w

heaton

Slide25

Cory

i

mig

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Ritchie k

aye

Since finding spare time to file is always a challenge, doing so while on the toilet works great!

Slide27

Nancy

m

orrison

Slide28

Cynthia van

roden

Where I keep all my receipts for the year until its time to do taxes—in my

burlesqy closet.The yellow bag is music related expenses because the bag is yellow and from Nantucket = fun.The brown bag is boring old tax receipts and is from Starbucks.

Slide29

Where I pay my bills each month.

Cynthia

van

roden

Slide30

What I see when I sit down to pay the bills, organize them, reshuffle them, take deep breaths, etc.

Cynthia

van

roden

Slide31

Daniel

e

ichenbaum

Slide32

Kerwin young

KEEP GOOD BOOKS!

Finance is the name of the game

You either play itOr you’ll go insaneDeep in debtOr not there yetSome hire accountants

To stay in checkI learned the rules

Watching gangster

pics

I’ve learned of ledger books and

Corporate tips

Keep good records

Keep them tucked away

They prove your earnings

And your spending to date

The IRS will be watching you

Keeping tabs on the books that you

Have claimed to be your evidence

If they’re not true

You’ll wind up in an audit or

A jail cell, dude

Keep good records

Keep them tucked away

They prove your earnings

And your spending to date

Insufficient reason on your part’s not good

A small detail could nail you

Write it down

Like you should 

Slide33

Natalie lassinger

C

33

Slide34

Brett jackson

Slide35

Anonymous

On the subject of keeping financial records...

 

 

I plead the 5th.

Slide36

Julie little-finger

Slide37

Judith G.

l

evy

Slide38

Our doubts are traitors and make us lose the good we oft might win, by fearing to attempt.

--William Shakespeare

Slide39

Annual income twenty pounds, annual expenditure nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pound ought and six, result misery.

--Charles Dickens,

David Copperfield

Slide40

Whatever works for you!

What is the best record keeping system?

Slide41

Possibilities

Slide42

Taxes

Slide43

iStockphoto #3584474

© 2010 KCArtistLink

w

rite it

D

own

& write it

O

ff

. . .

© 2013 Artist, INC

Slide44

No Receipt

for anything

U

nder $75 just Write it down!Exceptionsbusiness lodging

business entertainingwho were you entertaining?

w

hat is the business pitch?

b

usiness gifts

w

ho is the recipient?

w

hat is the business relationship?

w

rite it

D

own

& write it

O

ff

. . .

Slide45

all

I

ncome

is not the Same 1099

vs W-2

Slide46

all

Income

is not the Same $500—gross wagesMinus $125 federal income tax (25% rate)Minus $25

state/local income tax (5% rate)Minus $38.25 social security and Medicare (7.65% FICA)Minus $5 local income tax (1% rate)

$306.75

—net wages (check amount)

W-2

for a job paying $500 your check would look something like this:

© 2013 Artist, INC

Slide47

all

Income

is not the Same $500—gross wages$500—check But, you will have to pay approximately $231.50 taxes at the end of the year, meaning your net is $268.50$

125 federal income tax (25% rate)$25 state/local income tax (5% rate)$76.50 social security and Medicare

(

15.3%

FICA)

$

5 local income tax (1% rate

)

C 21

1099

f

or a job paying $500 your check will look like this

:

© 2013 Artist, INC

Slide48

all

Income

is not the Same you can now Deduct mileage and expenses related to this “business”you can open or add to a Retirement A

ccount for yourself, sheltering some of the profitsC 22

1099

Benefits

of 1099 income

© 2013 Artist, INC

Slide49

all

Income

is not the

Same often you may have to pay Quarterly Taxesyou must Keep R

ecords of the Income

you receive and report it—whether or not you receive a 1099 from the employer

y

ou must pay

B

oth

H

alves

of the

FICA

taxes (Social Security and Medicare)—with W-2 income, the employer pays half

C 23

1099

Disadvantages

of 1099 income

© 2013 Artist, INC

Slide50

all

Income

is not the Same 20-25% for those in lower tax brackets (single $41,500 or married $83,00)30-35% for those in higher tax bracketsC 24

1099

w

hat

P

ercentage

of 1099 income should

I

S

ave

for taxes?

© 2013 Artist, INC

Slide51

the “Part-Timers

C

urse”

© 2013 Artist, INC

Slide52

C

52

r

un a

Profitable business from your

Home

Do the essential service at home.

Make most of your money at the house, by doing the essential service of the job.

Do most of the work at home.

Spend

more of your work time at the house than any other single work place.

Meet your clients at home.

Meet our clients in your house as a regular part of the business.

Have no other fixed location.

Have no other fixed location to perform “substantial administrative or management activities of your trade or business.” If your employer provides you an office at work, it doesn’t pass this test.

w

hat

Qualifies

?

(must be at least one of the following)

© 2013 Artist, INC

Slide53

C

53

make your

In Town

Travel Pay you

1.

t

raveling to

produce income

© 2013 Artist, INC

Slide54

C

54

make your

In Town

Travel Pay you

2

.

t

raveling to

T

emporary

Location

© 2013 Artist, INC

Slide55

C

55

make your

In Town

Travel Pay you

3

.

t

raveling to

F

ixed

Location

Slide56

C

56

make your

Out Of Town Travel pay

you

w

hat

Q

ualifies

?

(

All FOUR

of the following occur)

The main purpose of the trip is business, and the majority of the days are workdays

You

duplicate expenses from back home. The most obvious examples are a hotel room bill or car rental receipt.

There

is at least one overnight stay or you could not have reasonably returned in a day, i.e., you drove back overnight and arrived home after 3 am.

Your

physical presence is required to do this work.

© 2013 Artist, INC

Slide57

Tax Bracket

Reduce your taxes by:

What you’re actually paying for the $1,000

investmentImmediate

return on your money15% federal/5% state

$200

$800

25%

25%

federal/5% state

$300

$700

42%

m

ake

the

Government

H

elp

P

ay

for your

R

etirement

$1,000 IRA Investment

© 2013 Artist, INC

Slide58

Spending Plan

AMagill

www.flickr.com 362201147

C 30

© 2010 KCArtistLink

Slide59

budgeting Don’ts!

d

on’t

Dictatedon’t Rushdon’t go by what Others Spendd

on’t look for Miraclesdon’t Nickel-and-Dime it

d

on’t

O

verdo the Paperwork

d

on’t be

I

nflexible

Adapted from Lewin, Elizabeth S. (1989).

Financial Fitness for New Families

. New York: Facts on File.

Slide60

It is better to have a permanent income than to be fascinating.

--Oscar Wilde,

The Model Millionaire

Slide61

small group discussion:

weekly

two-minute

updateRemember: What happens in Vegas stays in Vegas!

Slide62

Elevator Speech

each member will give their elevator speech to the

group

Marketing Checklist

S

mall

G

roup

discussion

Slide63

Action

items

Complete

:

one year goals

bring 6 copies of your resume and 6 copies of your artist statement

Suggested

:

r

ead

: Chapter 2 of

The Artist’s Guide

r

ead

: “Dean Vivian’s

2013-2014

Tax Letter and Update”

Overhead Worksheet (

Artist INC Workbook

)

Pragmatic Pricing Worksheet (

Artist INC Workbook

)

Slide64

The road to success is always under construction.

--Lilly Tomlin