Droughts are inherent in all freelance gigs.
They’re not fun, they can sometimes force you to take drastic steps (like getting a J-O-B for a while), but they are regular pit-stops on the road.
Thus, you should always be thinking about survival money, which is different than Fuck You Money.
FU$ is a wad you put away and never touch the rest of your life (if you do things right) — it’s the cushion that allows you to be the adult, to take calculated risks, and to simply operate more easily, knowing there’s a stash hidden away that under the MOST dire circumstances, you can tap.
Survival money is a second stash you keep liquid and nearby. It’s an amount you decide on that gives you breathing room in your daily life — could be 3 months of your nut, might have to be a year for you to feel comfy with it.
So you work to fill your bank account. You siphon off a bit for FU$, until you have your six-month wad stashed away in a safety deposit box somewhere out of sight/mind… and you siphon off a bit for a savings acc’t or some other semi-liquid holding place until you’re ahead multiple months.
You do not live at the maximum end of your income. Not ever. There is no excuse for doing this, guys.
Money buys you the basics, buys you free time, buys you power, and it buys you peace of mind. Live starkly until you’ve got your ducks lined up — those ducks being FU$ and a survival stash. You panic when your survival stash gets low, not when you’re at rock bottom.
Do not beat yourself up over droughts. It just happens.
Naked bullets from the recording:
- How to survive the financial peaks and valleys of the freelance game.
- Client droughts are inevitable – no matter how long you’ve been in the biz
- 2 rules for surviving any drought
- Building a high-end client incubator
- FU money
- Survival money
- How to know you’ve won as a freelancer
- The first rule is, know your nut (and how to determine your TRUE hourly rate – this is a reality bitch-slap)
- Avoiding the bad client spiral of death
- The warning sign that you’re slipping as a respected freelancer
We’re vowing to resume recording regular episodes, so tighten your helmets!