Comments on: Lifestyle Creep and the Self-Employed http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/ A premier personal finance blog, established 2003. Within, Flexo discusses his own experiences with money, and he and other authors comment on a wide range of personal finance topics. Mon, 13 Feb 2012 01:22:47 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: vcmcguire http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200123 vcmcguire Wed, 18 Nov 2009 14:37:38 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200123 DCL, that's quite a cautionary tale. Kristen, this is a great point. I agree that freelance writers should know the basics of web publishing because it will open things up in terms of what types of assignments we can do. Luckily this is one of the cross-overs from my other life as a librarian--I learned the basics of html in library school, and SEO is really just a new spin on classic information retrieval principles. DCL, that’s quite a cautionary tale.

Kristen, this is a great point. I agree that freelance writers should know the basics of web publishing because it will open things up in terms of what types of assignments we can do. Luckily this is one of the cross-overs from my other life as a librarian–I learned the basics of html in library school, and SEO is really just a new spin on classic information retrieval principles.

]]> By: BW http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200118 BW Wed, 18 Nov 2009 03:01:39 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200118 well VC as I ran through Staples the other day I heard a little voice in my head asking me if I REALLY needed an item for my business? Your article is resonating with me! well VC as I ran through Staples the other day I heard a little voice in my head asking me if I REALLY needed an item for my business? Your article is resonating with me!

]]> By: ANdi @udandi http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200108 ANdi @udandi Tue, 17 Nov 2009 22:25:31 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200108 As I told you on Twitter, this is a great angle to present to the financial blogging community, especially for those running or thinking of starting their own business. As I told you on Twitter, this is a great angle to present to the financial blogging community, especially for those running or thinking of starting their own business.

]]> By: Kristen from FiLife http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200063 Kristen from FiLife Mon, 16 Nov 2009 00:24:13 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200063 Hi V.C., Great post. In terms of building a website: there are a few low-cost almost no-cost options out there. Personally, I like wordpress. It offers good-looking, easy-to-use *free* templates. You just have to buy domain (~$10 a yr) and web hosting (~ $2 - $10 a month). Intuit just launched some affordable, easy-to-use web building tools too. Of course, time is money...and it takes some time to get either one set-up. LinkedIn is a great way to promote yourself and maintain a web presence. But I think creating / monitoring a website can really help a writer's career because it provides real life experience with online publishing tools. Hi V.C.,

Great post.

In terms of building a website: there are a few low-cost almost no-cost options out there. Personally, I like wordpress. It offers good-looking, easy-to-use *free* templates. You just have to buy domain (~$10 a yr) and web hosting (~ $2 – $10 a month). Intuit just launched some affordable, easy-to-use web building tools too. Of course, time is money…and it takes some time to get either one set-up.

LinkedIn is a great way to promote yourself and maintain a web presence. But I think creating / monitoring a website can really help a writer’s career because it provides real life experience with online publishing tools.

]]> By: Money Crashers http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200034 Money Crashers Sat, 14 Nov 2009 16:02:00 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200034 Hey Ray, thanks for this article. I have a few clients doing internet marketing, so I have decided to take the plunge and start spending some money to make the part-time business look like more of a legitimate business. This is a good reminder to not go overboard. Hey Ray, thanks for this article. I have a few clients doing internet marketing, so I have decided to take the plunge and start spending some money to make the part-time business look like more of a legitimate business. This is a good reminder to not go overboard.

]]> By: DavidCL http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200021 DavidCL Sat, 14 Nov 2009 04:56:00 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200021 Boy do I ever know what you're talking about. My small business went through so much lifestyle creep that a number of years ago it moved out of the house and got it's own place. That didn't go so well. Now it's back, hanging it's head, living in Mom and Dad's attic. In retrospect, the two big pieces of lifestyle creep that I should have avoided at all costs were the outside office and the fulltime employee. I had convinced myself these were investments that would pay off, but I hadn't really done the math. I'm actually working on rebuilding my business after a few years of not focusing on it much. Avoiding lifestyle creep, this time, is very much on my mind. Thanks for helping me put a name on what I'm trying to do! Boy do I ever know what you’re talking about. My small business went through so much lifestyle creep that a number of years ago it moved out of the house and got it’s own place. That didn’t go so well. Now it’s back, hanging it’s head, living in Mom and Dad’s attic.

In retrospect, the two big pieces of lifestyle creep that I should have avoided at all costs were the outside office and the fulltime employee. I had convinced myself these were investments that would pay off, but I hadn’t really done the math.

I’m actually working on rebuilding my business after a few years of not focusing on it much. Avoiding lifestyle creep, this time, is very much on my mind. Thanks for helping me put a name on what I’m trying to do!

]]> By: Nicole @ RainyDaySaver http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200018 Nicole @ RainyDaySaver Fri, 13 Nov 2009 20:46:02 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200018 Excellent points for freelancers in all industries to consider. Many things to keep in mind if I make the jump to FT freelance work. As a part-time writer/editor, I don't need too much "stuff" -- the computer is about it, but I've been toying with the idea of business cards and a website. Excellent points for freelancers in all industries to consider. Many things to keep in mind if I make the jump to FT freelance work. As a part-time writer/editor, I don’t need too much “stuff” — the computer is about it, but I’ve been toying with the idea of business cards and a website.

]]> By: Financial Samurai http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200003 Financial Samurai Fri, 13 Nov 2009 04:23:03 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200003 Sounds great. Looking forward to your e-mail. BTW, I can't and don't check my FS e-mail or twitter during the day (7am-6pm PST), so if you do contact, do know i'll get back to you in the evening! Best, FS Sounds great. Looking forward to your e-mail. BTW, I can’t and don’t check my FS e-mail or twitter during the day (7am-6pm PST), so if you do contact, do know i’ll get back to you in the evening!

Best, FS

]]> By: vcmcguire http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200001 vcmcguire Fri, 13 Nov 2009 03:40:38 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200001 FS, Wait, are you saying "Spend less than you earn" has already been done? I was totally going to do that for my second guest post. Snap, now I have to think of another topic. Yeah, 50-60 hours a week is about what I work too. For example, it's 10:30 PM. What am I still doing online? I'm shutting down after this comment, I swear. I'll email you tomorrow so we can talk about writing off the air. VCM FS,
Wait, are you saying “Spend less than you earn” has already been done? I was totally going to do that for my second guest post. Snap, now I have to think of another topic.

Yeah, 50-60 hours a week is about what I work too. For example, it’s 10:30 PM. What am I still doing online? I’m shutting down after this comment, I swear.

I’ll email you tomorrow so we can talk about writing off the air.

VCM

]]> By: Financial Samurai http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-200000 Financial Samurai Fri, 13 Nov 2009 02:47:05 +0000 http://www.consumerismcommentary.com/?p=7542#comment-200000 Hi VC! Thanks so much for sharing your insights! Good writing is truly HARD WORK and I commend you for your work. I work about 50-60 hours a week and also try and come out with 3-4 original articles on my site b/c I feel the personal finance community has too many same old boring things. There's only so many ways you can say "spend less than you earn" right? Was your first NYT gig via a blog post they found, or something you submitted to one of their writers or editors? Ahhhhh, to have some of the best editors in the world edit your work and make it pretty would be such a luxury. I would love that. VC, your answer is great, and I think the all-seeing Flexo will appreciate your openness and thoughts. Succeed or fail, it's great to see you TRY! Best, FS Hi VC!

Thanks so much for sharing your insights! Good writing is truly HARD WORK and I commend you for your work. I work about 50-60 hours a week and also try and come out with 3-4 original articles on my site b/c I feel the personal finance community has too many same old boring things. There’s only so many ways you can say “spend less than you earn” right?

Was your first NYT gig via a blog post they found, or something you submitted to one of their writers or editors? Ahhhhh, to have some of the best editors in the world edit your work and make it pretty would be such a luxury. I would love that.

VC, your answer is great, and I think the all-seeing Flexo will appreciate your openness and thoughts. Succeed or fail, it’s great to see you TRY!

Best,

FS

]]> By: vcmcguire http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199999 vcmcguire Fri, 13 Nov 2009 02:36:06 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199999 FS, Thanks for your comment. My bio is pretty unconventional. I studied writing in college, but then became a librarian because writing seemed too uncertain. I don't like not knowing where next week's grocery money is coming from. But working 9-5 didn't suit me, so I've worked out a crazy patchwork professional life. I work part-time as a librarian for the steady income, benefits, and the satisfaction I get from helping people. With the rest of my time I do freelance writing, and occasionally index books. I got the NYT gig through the usual combination of luck and hard work. I don't have any magic formulas for you. I will tell you that one of the writing samples that got my foot in the door at NYT was a blog I was writing at the time. Why write for Consumerism Commentary? How much time do you have? Let's see. I'll give you my top 3 reasons. 1. Like many people, I'm looking for work. Two of my long-term projects are winding down by the end of the year. Even though I'm busy right now, under-employment looms if I don't find some new venues to write for. I decided to look for 2-3 blogs to write for to supplement my other work. I started to put out feelers to find blogging work, and then Flexo advertised for a writer. I've been reading this site semi-regularly since 2005, so it was a no-brainer to apply. Whether I become a staff writer here or not, I'm still hoping to find a couple other similar gigs. 2. I want to break into writing for some personal finance and business publications, but I don't have many writing credits or contacts in those areas. I could just doggedly send out queries til I get a bite, but writing here would give me a chance to get experience, build a portfolio, and meet lots of personal finance geeks. 3. Tomorrow I'm going to start working on another NYT article that will run online in about a month. It will take me hours and hours and hours. I will do international phone interviews, spend tons of time doing research online, write and re-write. The end result will be really slick, thanks to NYT's team of editors, copy editors, web editors, and photo editors. Tomorrow or the next day, I'm also going to start working on my second guest post for this site. I'll think of a fun topic that I want to learn about, do some online research and some thinking, and write it up. I'll probably print it out and edit it by hand to make sure it reads smoothly. Then I'll send it to Flexo and I'll be done, the same day I started the project. I love writing for NYT, but can you see how blogging would provide a nice respite from it? That was a long answer, but I hope I answered your question. FS, Thanks for your comment. My bio is pretty unconventional. I studied writing in college, but then became a librarian because writing seemed too uncertain. I don’t like not knowing where next week’s grocery money is coming from. But working 9-5 didn’t suit me, so I’ve worked out a crazy patchwork professional life. I work part-time as a librarian for the steady income, benefits, and the satisfaction I get from helping people. With the rest of my time I do freelance writing, and occasionally index books. I got the NYT gig through the usual combination of luck and hard work. I don’t have any magic formulas for you. I will tell you that one of the writing samples that got my foot in the door at NYT was a blog I was writing at the time.

Why write for Consumerism Commentary? How much time do you have? Let’s see. I’ll give you my top 3 reasons.

1. Like many people, I’m looking for work. Two of my long-term projects are winding down by the end of the year. Even though I’m busy right now, under-employment looms if I don’t find some new venues to write for. I decided to look for 2-3 blogs to write for to supplement my other work. I started to put out feelers to find blogging work, and then Flexo advertised for a writer. I’ve been reading this site semi-regularly since 2005, so it was a no-brainer to apply. Whether I become a staff writer here or not, I’m still hoping to find a couple other similar gigs.

2. I want to break into writing for some personal finance and business publications, but I don’t have many writing credits or contacts in those areas. I could just doggedly send out queries til I get a bite, but writing here would give me a chance to get experience, build a portfolio, and meet lots of personal finance geeks.

3. Tomorrow I’m going to start working on another NYT article that will run online in about a month. It will take me hours and hours and hours. I will do international phone interviews, spend tons of time doing research online, write and re-write. The end result will be really slick, thanks to NYT’s team of editors, copy editors, web editors, and photo editors. Tomorrow or the next day, I’m also going to start working on my second guest post for this site. I’ll think of a fun topic that I want to learn about, do some online research and some thinking, and write it up. I’ll probably print it out and edit it by hand to make sure it reads smoothly. Then I’ll send it to Flexo and I’ll be done, the same day I started the project. I love writing for NYT, but can you see how blogging would provide a nice respite from it?

That was a long answer, but I hope I answered your question.

]]> By: Senan http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199995 Senan Thu, 12 Nov 2009 23:25:47 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199995 You're livin' the dream dude, writing in your pyjamas! Seriously though, the one thing I think that does need some money spending on it for a freelancer is the creation of a 'workspace'; be it in a garage, bedroom corner, whatever. You’re livin’ the dream dude, writing in your pyjamas! Seriously though, the one thing I think that does need some money spending on it for a freelancer is the creation of a ‘workspace’; be it in a garage, bedroom corner, whatever.

]]> By: BW http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199993 BW Thu, 12 Nov 2009 23:01:38 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199993 Thanks for making this great point! I frequently talk myself out of buying personal items I feel are frivolous but somehow when it's work related it is so easy to justify it as an investment in my business and splurge! But you're right - we should be examining each business expense as critically as we would our personal ones! Thanks for making this great point! I frequently talk myself out of buying personal items I feel are frivolous but somehow when it’s work related it is so easy to justify it as an investment in my business and splurge! But you’re right – we should be examining each business expense as critically as we would our personal ones!

]]> By: Financial Samurai http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199991 Financial Samurai Thu, 12 Nov 2009 22:02:32 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199991 Hi VC, Thanks for your tips. Do you mind sharing with me/us your bio? I'm curious to know how you got the opportunity to write for the NY Times, a great paper of course. Also, since you write for the NYT, what spurred you to write for Consumerism Commentary, not that this is a bad site. I'm always fascinated with success stories in particular fields. I don't think Flexo bothered to notify those who took the time to apply as guest writers that they didn't get accepted, which is his perogative I guess. Your thoughts appreciated! FS Hi VC,

Thanks for your tips. Do you mind sharing with me/us your bio? I’m curious to know how you got the opportunity to write for the NY Times, a great paper of course. Also, since you write for the NYT, what spurred you to write for Consumerism Commentary, not that this is a bad site.

I’m always fascinated with success stories in particular fields. I don’t think Flexo bothered to notify those who took the time to apply as guest writers that they didn’t get accepted, which is his perogative I guess.

Your thoughts appreciated!

FS

]]> By: Adriene Crimson http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199987 Adriene Crimson Thu, 12 Nov 2009 20:34:59 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199987 This is so helpful! Thank you for sharing your experience & insight Ms McGuire. I hope to see more of your thoughts here. This is so helpful! Thank you for sharing your experience & insight Ms McGuire. I hope to see more of your thoughts here.

]]> By: anonymous http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199986 anonymous Thu, 12 Nov 2009 20:19:45 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199986 You might be surprised to find out that individual health insurance is actually much cheaper than group health insurance through an employer. In most states you can get a similar plan from the same insurance company even for about half of the cost of a group plan. The main difference is that with a group plan everyone is approved for coverage regardless of health issues (hence the higher rates) while on the individual health insurance side one has to go through medical underwriting before they are approved for coverage. You might be surprised to find out that individual health insurance is actually much cheaper than group health insurance through an employer. In most states you can get a similar plan from the same insurance company even for about half of the cost of a group plan. The main difference is that with a group plan everyone is approved for coverage regardless of health issues (hence the higher rates) while on the individual health insurance side one has to go through medical underwriting before they are approved for coverage.

]]> By: vcmcguire http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199984 vcmcguire Thu, 12 Nov 2009 17:54:52 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199984 Love the barter idea. I bet I could find a photographer to take my picture in exchange for having me write a press release for their latest exhibit, or something like that. Love the barter idea. I bet I could find a photographer to take my picture in exchange for having me write a press release for their latest exhibit, or something like that.

]]> By: vcmcguire http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199983 vcmcguire Thu, 12 Nov 2009 17:51:09 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199983 Thanks for this. I thought I remembered that home maintenance is also deductible. I still don't use a tax pro. I do my taxes myself with pencil and paper. I know, I know, I'm a dinosaur. One of these years I should hire an accountant just to make sure I'm not missing anything. Thanks for this. I thought I remembered that home maintenance is also deductible.

I still don’t use a tax pro. I do my taxes myself with pencil and paper. I know, I know, I’m a dinosaur. One of these years I should hire an accountant just to make sure I’m not missing anything.

]]> By: Rosemary http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199982 Rosemary Thu, 12 Nov 2009 17:25:59 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199982 Good tips! Especially #2. There are a lot of products marketed to the small business owner, it's helpful to take stock of what you really need and not be afraid to find creative solutions and barter with other small businesses. Thanks! Good tips! Especially #2.

There are a lot of products marketed to the small business owner, it’s helpful to take stock of what you really need and not be afraid to find creative solutions and barter with other small businesses.

Thanks!

]]> By: NJ http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199981 NJ Thu, 12 Nov 2009 17:21:50 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199981 Home Office deductions include more than a portion of your mortgage and utilities. If you dedicate a sixth of your home space to strict office use, you can deduct a sixth of your cleaning and home maintenance expenses as well. Even the small things, a jar of gum drops or a cup of coffee you serve your client, are also deductible. These do add up. When you were going back and forth to Kinkos, your mileage was deductible. So is the mileage to pick up that printer paper. If you paint your home office, take off the paint and the mileage to purchase it. Re-roof or paint your whole house and deduct a sixth of its cost. Add a room onto your house--Oops. That's going to reduce you home office deductions. So will letting guests sleep on your office sofa, letting the kids stash a box of toys in the office closet or folding your laundry on your desk and making personal phone calls from your office. Do too many of these things and you will be denied a home office deduction all together. What saves us from life-style creep the most is running everything by our tax professional. I highly recommended that to anyone starting a new business. Home Office deductions include more than a portion of your mortgage and utilities. If you dedicate a sixth of your home space to strict office use, you can deduct a sixth of your cleaning and home maintenance expenses as well. Even the small things, a jar of gum drops or a cup of coffee you serve your client, are also deductible. These do add up.
When you were going back and forth to Kinkos, your mileage was deductible. So is the mileage to pick up that printer paper. If you paint your home office, take off the paint and the mileage to purchase it.
Re-roof or paint your whole house and deduct a sixth of its cost. Add a room onto your house–Oops. That’s going to reduce you home office deductions. So will letting guests sleep on your office sofa, letting the kids stash a box of toys in the office closet or folding your laundry on your desk and making personal phone calls from your office. Do too many of these things and you will be denied a home office deduction all together.
What saves us from life-style creep the most is running everything by our tax professional. I highly recommended that to anyone starting a new business.

]]> By: Leslie http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199980 Leslie Thu, 12 Nov 2009 17:16:26 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199980 All great advice; I'm a freelance musician on a shoestring budget, and I'm starting to feel like I should be spending more on work-related 'necessities' in order to keep myself competitive. Setting up an attractive website seems to be the trend, but I've managed to make a lot of contacts without that, simply through word of mouth. I'm sure it depends on the area of the country and the industry, but I think it is possible for someone self-employed in a creative field to be successful without a huge investment. All great advice; I’m a freelance musician on a shoestring budget, and I’m starting to feel like I should be spending more on work-related ‘necessities’ in order to keep myself competitive. Setting up an attractive website seems to be the trend, but I’ve managed to make a lot of contacts without that, simply through word of mouth. I’m sure it depends on the area of the country and the industry, but I think it is possible for someone self-employed in a creative field to be successful without a huge investment.

]]> By: Miranda http://www.consumerismcommentary.com/lifestyle-creep-and-the-self-employed/comment-page-1/#comment-199977 Miranda Thu, 12 Nov 2009 14:03:48 +0000 http://www.consumerismcommentary.com/?p=7542#comment-199977 I bought business cards for the first time last year. It was a rather heady feeling. And I bought a better computer -- one that can handle the workload of a freelance writer. But other than that, I'm keeping costs mostly down. I bought business cards for the first time last year. It was a rather heady feeling. And I bought a better computer — one that can handle the workload of a freelance writer. But other than that, I’m keeping costs mostly down.

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