Lights, cameras. . .software, a computer, that fancy gaming chair: the list of expenses for a content creator is almost never-ending. Whether you’re just starting out or you have a solid following and income, managing your money is key. Be it your flight to the next major con or upgrading your PC, managing money as a content creator with Nav.it makes it all easier to do.
How to manage money as a content creator
Content creators often have to juggle a lot of different balls – constantly thinking about how to produce great content, how to promote it, and how to get paid for the work.
A money app can help you streamline your personal and professional finances
A money management app can help take some of the stress out of managing your finances as a content creator. With its ability to track your income and expenses, set up budgets, and create financial goals, a money management app like Nav.it can help you get a better handle on your finances so you can focus on what you do best – creating content.
Let’s break down the basics of managing your money as a content creator
Tracking your spending
If you’re like most content creators, you’re always on the lookout for ways to save money and improve your financial situation. One of the best ways to do this is by tracking your spending and expenses.
Why is tracking your spending and expenses so important? There are a few key reasons:
It helps you keep tabs on where your money is going.
When you track your spending, you’re able to see exactly where your money is going each month. This can be a eye-opening experience, and it can help you find ways to cut back on unnecessary expenses.
It can help you identify financial problems early on.
If you’re not tracking your spending, it’s easy to let financial problems sneak up on you. But if you are tracking your spending, you can spot problems early on and take steps to address them before they become serious.
Manually moving money is mentally taxing. Logging into your account, selecting an amount, and watching those numbers move is tedious, even if for a good cause. Believe it or not, there is some psychology behind why it feels more difficult to do it yourself. It’s called present bias, a term coined in Doing It Now or Later The American Economic Review, Vol 89, No. 1 by Ted O’Donoghue and Mathew Rabin.
The present bias refers to the tendency of people to give stronger weight to payoffs that are closer to the present time when considering trade-offs between two future moments
Doing It Now or Later The American Economic Review, Vol 89, No. 1 by Ted O’Donoghue and Mathew Rabin via BehavioralEconomics.com
When presented with the option of getting something now or later, we’re more likely to go for instant gratification over playing the long game. To counteract that instinct, financial advisors the world over suggest automation. Whether you know it or not, most of us have experienced the ease of automated saving before: a 401(k).
When we’re automatically enrolled in a 401(k) plan at work and start contributing 3% (or more) of each paycheck toward it, we don’t get the chance to choose between putting the 3% toward retirement or using the 3% for something else because we never see the cash in our checking account.
Nav.it’s auto-save option lets you set it and forget it just like a 401(k) except you dictate what it’s for. When you’re managing money as a content creator, being able to take anything off what can be a very full plate is a godsend. So set up your auto-save and kick your feet up while your money manages itself.
Managing Money and accomplishing your financial goals
It’s always easier to save when you know what you’re saving for. Using Nav.it to set up different savings goals gives you a way to see just how close you are to getting that next upgrade or new gaming chair (because they’re REALLY expensive). Visualizing where your money is going and why helps keep you motivated to stash your cash. And that motivation is pretty clutch considering saving isn’t exactly the most glamorous part of being an adult.
You also have the added advantage of ensuring one savings pool doesn’t affect the others. If you find yourself in a situation where priorities change, you don’t have to worry about wrecking your savings. You can even adjust your auto-save to pile onto one specific category to hit that goal faster. Managing money as a content creator should be all about control and the Nav.it app provides that in spades.
Creating a spending plan can help you manage money as a content creator
One of the keys to success is creating and sticking to a spending plan or budget. But if you’re not careful, it’s easy to let your content creation expenses and personal spending get out of control.
There’s a lot of competition out there, and it’s hard to stand out from the crowd. That’s why it’s important to stay on top of your finances and categorize your spending.
Categorizing your spending can help you stay on track financially as a content creator. It allows you to see where your money is going, and what areas you can cut back on. This can be a great way to save money and become more financially stable.
There are a few different ways to categorize your spending. You can do it by content type, or by project. You can also do it by month, or by year. Whichever way you choose, make sure you’re consistent. This will help you see where your money is going, and what areas you need to focus on.
Here are a few tips to help you keep your content creation costs under control:
1. Know your content creation costs. This may seem like a no-brainer, but it’s important to have a clear understanding of how much you’re spending on content creation each month. Track your content creation expenses so that you can see where your money is going and identify any areas where you may be able to cut costs.
2. Make content creation a priority. It’s important to set aside a certain amount of money each month for content creation. This will help you stay on track and avoid overspending.
3. Focus on quality, not quantity. When it comes to content creation, quality is more important than quantity. It’s better to produce a smaller number of high-quality pieces than a large number of low-quality ones.
4. Use content creation tools wisely. There are a lot of content creation tools available, and it’s tempting to use them all. But be selective about the content creation tools you use and only invest in those that will truly help you create better content.
Content creators, remember to take your taxes into account as you manage your money
As content creators, we have to deal with a lot of different things – and taxes are one of them. If you’re not careful, taxes can really eat into your earnings. But don’t worry, there are ways to minimize your tax bill as a content creator. Here are some tips:
– First, make sure you’re keeping track of all your income. This includes any money you make from online ads, sponsorships, or affiliate links. Keep meticulous records so you can easily report your earnings come tax time.
– Second, take advantage of deductions and expenses. If you’re paying for things like website hosting or software subscriptions, you can deduct those costs from your taxes. There are a lot of potential deductions for content creators, so make sure you do your research and claim everything you’re entitled to.
– Finally, remember that taxes are just a part of doing business. They’re not something to be afraid of, and they don’t have to eat into your profits too much if you’re smart about it. Just stay organized, claim all the deductions you can, and don’t forget to set some money aside for taxes each month. With a little planning, you can easily keep your tax bill under control.
Remember, if you need managing money help as a content creator, get it.
Here are a few things to consider:
1. Are you making enough money?
If you’re not bringing in enough revenue, then hiring an accountant may not be the best use of your money. Make sure you’re at a point where your business is doing well enough to justify the expense.
2. Do you have a complex business?
If your content creation business is simple and straightforward, you may not need an accountant. However, if you have a lot of moving parts or complex financial transactions, it might be worth investing in professional help.
3. Are you organized?
An accountant can help you keep track of your finances and make sure you’re staying on top of your bookkeeping. If you’re not the most organized person, hiring an accountant may be a good way to get your business in order.
4. Do you need tax help?
If you’re not sure how to file your taxes as a content creator, an accountant can help you out. They can also help you maximize your deductions and make sure you’re taking advantage of all the tax breaks available to content creators.
5. Are you ready to hand over the reins?
Hiring an accountant means giving up some control of your business. If you’re not ready to let someone else handle your finances, then it’s probably not the right time to hire an accountant.
Being a content creator is expensive but it becomes much more manageable when you have the proper tools. Use Nav.it to handle your money so you can focus on entertaining the world!
Writer, rhymer, gamer: the easiest way to define the man known as Kenneth Medford. I’m a simple man who loves to learn and loves to help and I wander the digital world trying to find ways to sate my hunger for both. Basically, I’m Galactus but helpful.
Check out my other work here or reach out to me on LinkedIn.