According to a recent report, Georgia lost its crown spot as #1 for feature films being made…well for 2017. But we only lost to Canada (an entire country), and we remained ahead of LA (well actually both LA’s: Hollywood and Louisiana).
The industry is still booming here, and I can’t go out without meeting someone who is or wants to work in films. I have the pleasure of advising some of the folks in this industry, and there are three important pieces of savings wisdom I share with people just starting to “make it.”
The first is everyone’s favorite topic, taxes. (Note: this author is a recovered accountant.) If taxes aren’t taken out of your paycheck, then make sure you are setting funds aside so you can pay “the tax man” when he comes calling. Even if you do have taxes withheld, you may not have enough withheld (you may work several jobs with several different people paying you,) so try to save a little extra on the side, just in case he comes for you at the end of the year.
The second important piece of advice I give is to set aside some extra money for emergencies. I have clients who refer to this fund as very different things (not all of which are safe for work), so we will just call it the “Uh-Oh Fund”. In this industry I prefer to see this be about six months of living expenses. This may come in handy in between gigs. You may also want to pad this account with a little more than six months, because we all know that you sometimes have to pay to play, whether it be buying equipment, getting a new certification, or even just headshots. These things can really add up fast, so you may want to keep some extra for the extras that will inevitably pop up on you.
Lastly, don’t allow for The Creep…. that is your lifestyle creeping up on you. Definitely celebrate your success, but don’t let it get ahead of you. You do not want to start allowing your spending to blow up, because it’s very hard to go back to spending less. How often do you see someone with a Mercedes go back to Hyundai? But do feel free to treat yourself to a little something. Maybe a small vacation, or hire a CPA …potato, potato?
Ok so that sums up my advice for dealing with “the tax man”, “The Uh Oh Fund”, and “The Creep.” We will talk about paying off debt another time. That’s a wrap y’all!