Showing posts with label self-employment. Show all posts
Showing posts with label self-employment. Show all posts

Tuesday, July 9, 2013

How a writer has to figure their hourly rate

One of the problems with being a writer (unless you work in a cubicle as a writer) is that you never really know how much you are going to make for each hour that you spend at the keyboard. And if you are supporting yourself as a writer, it is something that you desperately need to know.

(This also applies to all professionals who are self-employed, so bear with me if you are not a writer.)

Robert Heinlein, one of my writing heroes, used to have a policy that he never wrote anything that he wasn't going to get paid for. Now, he did do a certain amount of writing that he never unloaded (aka sold); but for the most part, he did a pretty good job of keeping to that policy. So much so that he managed to pay off several mortgages as a writer.

Now, before you view that as a sign that you too can make it as a writer, just remember that when you start looking at the amounts Heinlein got paid, he got paid in the 1950s what writers are still being paid...and the cost of everything is higher today than it was back then. Writers are still being paid by the standard rates set forth in the 1950s--I suspect that the reason why is that so many writers are willing to work for free just to see their bylaw in print. Furthermore, Robert Heinlein was a really good writer.

Estimating how much you are going to make is easier if you are fulfilling orders that you know that you are going to get paid for (especially if you know the rate of payment). Freelance writers like having clients who ask them to do regular batches of work for them. Unfortunately, one of the things that could happen is that you find yourself working long hours for too little money.

I recently got cut loose from a project that was chewing up way too much time for way too little money. I could have made more per hour if I went back to flipping burgers. The appointed tasks essentially got worse and worse as the project dragged on. Needless to say, it was one of the jobs that I am grateful that I got fired from. Besides I know that I can make more money doing other types of writing. (Why do I know that I can more doing another project instead? Because I know the spread on how much I am making on various types of projects).

What a writer needs to do--on all their projects--is to keep a time sheet, and track how many hours projects take them to complete. The amount of money that one makes from a project then needs to be divided by the number of hours one worked on a project.

(This applies to all professions--keep a time sheet--figure out what projects are giving you the most amount of money per hour--it will do your business a world of good if you do so.)

Now, for me, a lot of my writing is of the page view (you get paid based on the number of readers that your article gets) and royalty based (you get paid based on the number of copies sold). So not only do I have to keep track of my hours, I also have to keep track of all the monies collected over a long period of time. In other words, a lot of my stuff is paid for (not upfront) by the level of readership I end up with.

(This long-term collection of payment information applies to anyone who is selling the same piece of work over and over again.)

This is why one of my current jokes is that as a writer, I make somewhere between zero and thirty-five dollars an hour...some projects I have received so little money I have yet to earn my break-even point yet (my "burger flipping" wage), and on other projects I have earned hundreds and hundreds of dollars already.

I am getting better at just doing the type of work that have earned me the higher amounts based on previous outcomes. (Occasionally, I do miss because of changing markets and the continued need to expand my writing into unknown [never done before] areas.)

As I said, what I am having to do as a writer--tracking hours spent working, and overall income received--applies to other professions that do not have a clear cut hourly rate. It is worthwhile to know your estimated hourly rate on various types of work to be able to budget your earning time more efficiently.

Saturday, July 6, 2013

A little about my father

One of the reasons that I think that I am ok with being self-employed is the fact that I got to watch my father be self-employed. My father ended up being my role-model when I was forced into self-employment. That is not actually surprising considering that his road to self-employment was also forced upon him.

My father grew up in farmland USA (Nebraska), living in a small town. He ended up dropping out of junior high to work (I believe it was simple economics, but I am not sure). When he married my mom, they moved first to Omaha, then to Colorado (Commerce City--then Denver).

The first job that I remember him having were working for a newspaper and magazine distributor (Nelson News, I believe they were called)...this is remembered simply because I ended up with a copy of every children book that they stocked. The second job he had (that I remember) was him working for a snack distributor (one of the items stocked was Boston Potato Chips which had a cute bear on the bag)--to this day, I still think of beef jerky and potato chips as a proper meal (it isn't if my wife is to be believed).

After that, Dad worked as a delivery driver for a produce company. Later when he decided to move into sales, he taught himself the ins and outs of the stuff he was selling by reading lots and lots of catalogs and product brochures. This self-teaching style ended up being my style of learning also--I tend to immerse myself into research projects with tables buried under books.

Now, each one of these career moves were advances in the family fortunes. Alas, all good things come to an end. In this case, Dad decided to support the union that was trying to organize the employees of the produce market area...an act that got him fired and black-balled from doing any more produce work.

At least, working for someone else that is.

As a result of not being able to find any work, he started his own produce company (out of our garage, later we had a warehouse inside a out-of-commission grain elevator). A lot of my business tactics come from him...but probably only the good ones.

It was the result of this that when I became more-or-less permanently unemployed, I decided to try my hand (once again) at self-employment.

Was it a wise choice...well we will see. As for the outcome of my father's self-employment, that is a story for another day.

Friday, July 5, 2013

My own brand of negative self-talk

Today, I was reading a blog post by Linda Ursin about negative self-talk. In it, she mentioned that negative self-talk tends to rear its ugly head when people are trying to lose weight. Now in my case, I have never needed to lose weight--I have been dangerously underweight for most of my life.

(This is one of the few times in my life that I have been at a healthy weight.)

First, I came from a really poor family, and learned to ignore hunger as a kid. Then I worked twenty years in food service where you would think that you would actually get to eat; but if you are a good employee, your breaks are few and far in between. Then I spent several years as a poor unemployed college student living off of student loans. Now, I am a self-employed writer...and so far, I have seen little evidence that there are tables laden with food any place in this particular profession.

And I am good at ignoring hunger. For instance, it wasn't until seven hours into my day today that I realized that I hadn't eaten anything yet. Unless, you count the one can of soda I had. And my wife tells me that the can of soda doesn't count.

But enough about that problem...this post is supposed to about my own personal brand of negative self-talk.

My own personal brand of negative self-talk comes in the form of "I am too stupid to figure that one out" (IQ is the upper five percent of the population); "No one would be interested in reading that" ("It is a box of clowns!!! Everyone run for your lives!!!"); "The only proper type of writing that one should practice is the literary kind" ("Gee, I have made over three hundred and fifty dollars on a three thousand word erotic short story that took me less than ten hours to finish and self-publish").

My negative self-talk kept me in burger flipping jobs that I loathed, made me positive that I was going to fail college (ended up with two bachelor degrees), and make me have anxiety attacks about the fact that my business is going to fail and that my cats will starve (please note that my cats have no food issues other than the one where they skraff down a dish of their favorite food real fast, and then proceed to barf everywhere because their tummy is upset).

So what is your negative self-talk? What has it prevented you from doing? And can you send me a doughnut?

Tuesday, July 2, 2013

Yes I write erotica (Safe for Work)

While this post is about the business of erotica, or at least how I got involved in it, the post is perfectly safe for work. That fact might be confusing, but the truth of the matter is that you can talk about the economics and business of erotica without any actual erotica being involved. If that disappoints you, just leave a comment in the comment section...and I will pretend to be shocked that you were disappointed that the raciest word in this post is the word "erotica" itself.

As for the rest of us--prepare to be bored by how dull the writing of erotica is.

I started writing in junior high--this is when there was junior high schools (now they are middle schools, or at least they are in my neighborhood)--and I continued to do it in high school. And no, I wasn't writing erotica in high school--thanks for asking.

It was while in high school that one of my friends decided to declare that I was going to be a writer when I grew up. I think that she got tired of me shrugging my shoulders and saying," I dunno" whenever anyone asked me what I was going to do for a living after high school.

(Honestly, I thought that I was going to be in the military for several years...I was kinda overlooking the fact that I am not exactly the ideal material to be a soldier.)

The truth be told, I never realized that it was possible to be a writer and actually do it for a living. I thought writing was something you did for entertainment purposes, and that you felt lucky to get published. (Again, no, I wasn't writing erotica yet.) And no one around me informed me otherwise.

The fact that you could get paid to write is something that I stumbled upon all on my own. After all, given how poorly the profession pays (on average), you could hardly have a booth set up on career day advising students that they too could make more money flipping burgers than they could as a writer.

(Yes, your average writer would be better off flipping burgers for a living--appalling, isn't it?!)

It was actually at a truck stop in Kansas (or was it Nebraska?) that I realized that someone had to be getting a paycheck to write stuff. I was on my way home (riding the Greyhound Bus) from being asked politely to leave the army...it might have been the fact that my father got killed in a truck accident a week before, or it may simply be that I am not good at marching and doing pushups (I be a white boy; I have no rhythm and no upper body strength). Anyway, I was looking over the magazines in the rack when I saw it.

The vital clue that someone was getting paid money to write something. Yes, it was an erotica magazine, one of those magazines filled with sexy stories...that are supposedly written by readers of the magazine. And I realized that the writing was too good to be written by amateurs--hey, I saw the writing skill of my class mates in high school, and mine wasn't much better--no, this stuff had to be written by people getting paid.

Why did I assume that money was involved? Well, you would never write this stuff and admit to it.

(Yes, I found one of the stranger types of erotica...in Kansas...at a truck stop...and no, I am not telling you what type of erotica it was. Just say imagine the worst, say Ewww! and read on.)

Or at least, I wouldn't admit to it. And still don't. I do it under a pen-name...and my pen-name is a secret...one that my wife doesn't even know. (Yes, she knows what my bread and butter writing is...but I am too ashamed to let her read any of it.)

And the moral of this story is: If you don't want people writing trash, don't let them know that they can make money doing so. Or at least, I think that is the moral; I could be wrong--and if I am, feel free to say so in the comment section.

Monday, July 1, 2013

Creative time lost at Walmart

Yesterday, me and my wife went to Wal-Mart. For a fan. Which we decided not to get...but that is another post for another time.

There was four registers open, and they were at least four customers deep. We got into a line with four people before us. And we waited in line. And waited. And waited.

We were in line for over a half hour.

At certain point, the happy little cynic that is me, looked at my wife and asked, "How much money are we saving here? Because I think that I could have made more money in the amount of time that we have spent in line."

Now, in all fairness to Wal-Mart, that last part might not be true. I am a writer and an artist--self-employed. And there is no guarantee about how much money I would make in a half hour. My wife was also working on her business yesterday--the same problem applies.

But my time is worth anywhere from zero plus to thirty-three dollars plus an hour.

(Ok, real quickly I state my potential hourly rate in a range because a lot depends upon what I am working on. There are some articles that I have written on the page-view sites that have earned me only pennies. And there are the ebooks that have only earned me a couple of dollars. There is my mid-range earners...about ten dollars a hour. And then there are the stories that beat that marker, like the story that took me ten hours to cobble together that has earned me over three hundred and thirty dollars and counting. Yes, it is the joys of ebook royalties.)

If nothing else, I could have been home napping with the cat. Sure, it would have earned no income, but it still beats standing in line at Wal-Mart.

I suspect that I was in a "penny smart, pound stupid" situation; and as you will see tomorrow, it was just the tip of the iceberg.