Well folks, this is the life of running a business. I once again had an income decrease month to month, but I know it happens from time to time, so I’m trying not to panic about it.
Part of the reason for my decrease was some delayed clients payments that came in quite a bit later than I was expecting, and I also lost a client part-way through May that make a bit of a dent in my income.
That said, one of the best things about running a business with multiple clients is that I actually have MORE job security than when I was working a full-time job. When you work a full-time job for an employer, if you are fired or laid off, you’ve lost your sole source of income. But with a business structured like mine with multiple clients, I still have plenty of clients left to provide me with work and income, so losing one client isn’t as big of a deal. I still don’t like losing a client, but I know it happens from time to time.
I also always see a bit of slowdown during summer, and that started kicking in mid-May as well. More people are on vacation and have less demand for content and other services during the summer. However, due to clients going on vacation, I am also able to pick up extra work sometimes by managing social media, email, or other tasks while they take a break. This is a service I actually want to start offering more often to help make up for the “summer slowdown” in other areas of my business.
Even with a slight decrease in income for May, it was still a great month.
In May 2016 I earned $6,464.53 with my online business. Here’s how:
VA/Blog Management Services – $4,129.53
Writing – $2,082.00
Advertising on both my sites – $250.00
Bonuses, Tips, etc.- $3.00
A few months ago, I started sharing my expenses with you too so you can get a better idea of how much I spend to keep my business going every month.
The expenses listed below are only what I pay out of my business account each month. You won’t see a charge 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 – $2,257.00
PayPal and Other Fees – $53.65
Hosting Renewal – $143.40
Technology – $3.99
Office and Equipment – $97.50
New Computer – $100.00
Total Expenses: $2,655.54
Income less Expenses: $3,808.99
Wow! My expenses were a lot higher than I was expecting this month and combined with a lower overall income, I did NOT meet my income goal with my net income.
As I’ve said before, I am paying off my new MacBook via a 0% promotion, so that’s what the “new computer” expense is.
I beat my income goal of $4,800 with my gross income, but my net income was short of this figure.
As always, you need to know that I don’t count my online income until the month it gets deposited into my account, so this is from some work at the end of April through about mid-May. I have made some more since then, but it will be included on my next report since it didn’t hit my account until June 1st (or later).
Remember, that my online income has not yet been taxed, which 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 of $3,808.99 listed above. Additionally, I’m saving some of my income to be used for FINCON16 and other business expansion projects in the future.
I’m going to set my June income goal at $4,800.
If income reports get you jazzed, you can see more online income reports on the new page I created!
For kicks and giggles I decided to average my monthly online income for the 23 months I’ve been freelancing. Even with the smaller months at the very beginning, my average monthly online income (gross) is $3,003.75. My 12 month (gross) average is $4,731.49.
Did you make any online income in May? 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!