just the facts

[adelaidesean]

Today, as part of the SA Writers' Centre's week-long "Maximising Opportunities" course for developing writers, I co-presented a seminar on "Taxation, Accounting & Effective Record Keeping"--which really sounds like fun, hey?

Uber-accountaint Simon Graetz handled all the important stuff, while I burbled on about the broader financial picture--the picture that emerges after nigh on two decades of doing this crazy job and a week or two poring over tax records to get some hard figures. Hence:



Not just pretty piccies but pie-graphs showing (L) the different categories into which I divide my expenses, (C) where my income comes from, broadly speaking, and (R) how much of every dollar I earn I get to take home. (The links will take you to individual breakdowns.) Terrifying.

Then there's this:



A roller-coaster made all the more vertiginous when you realise it's the path my income has taken from the first dollar I earned from writing up to my latest tax return. (Ulp. Is it too late to get off?)

In the seminar I projected actual spreadsheets from my "Money" file, to demonstrate (a) what an Excel nerd I am and (b) how important it is to take the job seriously. I thought I'd post these images here, since I'd gone to the trouble of making them and learned a thing or two myself along the way (like: I spend how much on travel???).

In honour of these and other silly numbers, here are some more titles from my dim, dark past: "Yuckipoo No. 1", "Meaningless Scribble No 517 and a bit", "Paraphernalia: 2 (La Limace)" ("la limace" = "the slug"), and "A Bit of Length No. 2: Soldier's Death"

Comments

[roberthoge.livejournal.com]

That's a great post, Sean. Thanks. So, have you noticed any trends over time?

[seanwilliams.livejournal.com]

I noticed that, while major expenses like international travel and new computers tend to be "lumpy", everything else was pretty even. Post, telephone, books, stationery, bank & accounting, etc all came to about the same figures each year, amounting to about 47% of my total expenses. So no trend at all, really, just confirmation that even in the absence of usual business expenses like rent, salary, etc, there's still a base level of expense that is arguably required to operate as a professional writer. For me, that's around $10000.

The only real trend that emerged is the PLR/ELR line, which is on a definite increase over time. Otherwise, my income was all over the shop. No wonder my brain hurts. :-)

[murasaki-1966.livejournal.com]

I think I'll stick to my day job.

[seanwilliams.livejournal.com]

Wise move. :-)

[murasaki-1966.livejournal.com]

Well, I may be going to have to support a writer sometime. Iain's plays are doing well, but not good enought for him to leave his day job.

I long ago realised, that as a writer, I make a great librarian.

Now I have to go back to very boring minutes.

[seanwilliams.livejournal.com]

May your minutes not stretch into hours, or else become rather less boring. Either way. :-)

[murasaki-1966.livejournal.com]

State Librarians meeting minutes. They have stretched into days. Between the boring subject matter and my sinus infection, it's been bloody hard to concerntrate on the B****y thing.

[(Anonymous)]

Thanks for the great post, Sean. Now that you (generously) cracked open that door, can I poke a prying nose in even further? Where would you say a writer (an Australian-based writer, at that) has to get to in their career these days before they can give up the day job? I know these things will be different for each individual (some of us cost more to run than others), but is there a ballpark figure? Would it be in sales volumes? Number of successful novels published? When did you get to a point where you were able to day: 'this is my job!' (And, I don't mean to ask specifics about your private finances--just generalities). Please feel free to decline to answer, as I realise that some might take this question as being overly personal (which I do not intend it to be). Thanks again for sharing.

Jason (living in hope)

[seanwilliams.livejournal.com]

This is a very difficult question to answer, as it depends in part on what kind of lifestyle you want to enjoy. :-) Kevin J Anderson advocates not giving up the day job until you've saved enough money to cover at least two years' worth of living expenses. That's not a bad starting point for consideration.

I quit my last shift at the CD shop once I had (a) enough money coming in to keep me alive for at least a year and (b) so much writing contracted that there was no way I could've worked on top of it anyway. Getting an Australia Council grant didn't hurt, either...

[(Anonymous)]

Thanks, Sean. Very generous of you.

Jason

[seanwilliams.livejournal.com]

No worries at all. :-)