I’ve said it before and I’ll say it again. Running your own business means dealing with a lot of ups and downs – both financially and emotionally.
I’m a little sad to report that this is the lowest income month I’ve had this year. The worst part is that I felt like I worked more in July than I did in the previous two months, but my income didn’t reflect that.
Part of the reason things like this can happen is because a lot of my income isn’t counted until the month after I’ve done my work. I can’t invoice for freelance writing and other projects until after they are completed. For my steady clients that I work with each week, this is the last business day of the month. And I’ve never counted my income until it actually hits my bank account, not when I’ve invoiced for it.
This is just another reason why solopreneurs have to hustle and why an emergency fund or buffer of some sort is 100% necessary when you run your own business.
Here’s a deeper look into how I made money, and spent money, with my business last month.
VA/Blog Management Services – $3,776.62
Writing – $1,285.00
Advertising on both my sites – $375.00
Bonuses, Tips, etc.– $0.00
A few months ago, I started sharing my expenses with you. I think sharing the cost of running my online business each month help provide a more realistic picture.
The expenses listed below are only what I pay out of my business account this month.
You won’t see a line for internet in the expenses below because that is something I would pay for even if I didn’t have an online business. (But yes, I do get to deduct most of it now that I have an online business.) So keep that in mind. ?
Staff Writer, VAs, Tech Services – $2,036.84
PayPal and Other Fees – $35.90
Business Tools – $119.40
Office and Equipment – $43.95
New Computer – $100.00
Total Expenses: $2,336.09
Income less Expenses: $3,100.53
I’m glad that my expenses are finally going back down, especially since my income was lower too. My PayPal fees would be significantly higher if I didn’t use FreshBooks for invoicing my clients. I can’t recommend FreshBooks enough.
Remember, that my online income has not yet been taxed. This means that about 30% of what I make is going to be taken by Uncle Sam. That “expense” is not included in the net figure listed above.
I’ve been trying to hold back on business spending so I can re-build my business savings after a few expensive months. But at the same time, I know there are some things I need to pay for if I want to take my business to the next level.
Speaking of which, I am planning to make some big changes to my website and branding later this year. I am setting up a new, more professional website that I hope to roll out in December. I have lots of ideas in my head for how it’s going to look, but I just need to get them out there now. 🙂
If income reports get you jazzed, you can see all of my online income reports on this page!
Just to see how far I’ve come, I averaged my monthly online income for the 25 months I’ve been freelancing. Even with the smaller months at the beginning, my average monthly online income (gross) is $3,270.64. My 12 month (gross) average is $5,402.07.
Did you make any online income in July? Is there anything else you’d like to know about how I run my business or make income online? Let me know, I’d love to help you out!