Financial Planning For Authors
Financial planning for authors is very important. Authors who take the proper steps in financial planning will be happy with the results. Today’s guest post is from Eddie Hedges, author of The Heart of Financial Matters: Seeking a Servant’s Heart
Motivational speaker, Jim Rohn said, “If you really want to do something you will find a way. If you don’t, you will find an excuse.” So, you want to write a book, but you don’t have the finances to self-publish. How can you find a way? Looking back on my career of forty plus years in banking, I often had customers come to me wanting to start a business, but they didn’t know where or how to start. I believe there are some similar principles necessary to finding money to write a book or start a business. If becoming an author and writing a book is your goal and finances are tight, then I recommend good financial planning.
- The first principle I would tell you is that it is going to take a lot of self-discipline. Not only to write the book, but to save the money to pay for the publishing of the book. Self-discipline to me is the key to success in life. Look at the successful people you know. Most of them have a certain degree of self-control. I believe that we all know what we should do, but those people that are truly successful are the ones that make themselves do what they should, even though they don’t want to do it. Becoming an author is hard work. Do you really deep down inside want to write a book? Are you will to make the sacrifices necessary to be able to reach your goal of writing?
Authors Make Changes and Jumpstart Financial Planning
2. Look for areas of your finances where you can make changes. Just as a business must raise capital before starting, authors also need to raise capital before publishing. Where can you find money when it currently takes everything you make just to pay your monthly bills? If this is your situation, here’s what I recommend. Review your spending habits searching for areas you can eliminate or reduce. This could include purchases such as magazines, soft drinks, bottled water, alcoholic beverages, tobacco products, memberships, travel habits, eating out, and grocery purchases (start using coupons and search for items on sale before purchasing, plan in advance weekly menu’s). I know this doesn’t sound like fun, but reaching goals in life often involve sacrifice.
Authors Financial Planning Should Include a Savings Plan
3. Start saving a minimum of 10% of all of your income including the money received from book sales. This should be done immediately when you are paid. Before paying any bills or spending any money. This is called “Paying Yourself First.” If you try to save later instead of first, most of the time the money will be gone and there will be nothing left to save. If you make paying yourself first a priority, you will find there will be money to pay the bills and other needs. I have found in my banking career that it’s not the amount of money you make, but it is what you do with the money you make. This principle is actually one that I recommend for everyone. This financial principle is the key to building wealth.
Is this going to give you the funds to publish your book immediately? No, but if you will be patient, the money will eventually be there. If you don’t start, will the funds ever be saved so you can reach your goal?
I take you back to my opening comment from Jim Rohn and ask is reaching the goal worth the sacrifice or will you find an excuse?
You can buy my book, The Heart of Financial Matters: Seeking a Servant’s Heart on Iuniverse right here