Here’s the final habit in my series on things to do if you want to make it as a freelance writer. Thanks for sticking with it. Find part six here, and follow the links to the rest of the series.
Habit seven may sound like a bunch of hippie silliness at first glance, but it’s actually something practiced by CEOs of major corporations.
HABIT SIX: HAVING AN ABUNDANCE MINDSET
Most freelance writers have the following financial cycle:
- Write your butt off.
- Count up how much money you made.
- Spend that money.
It’s an easy rut to fall into, and it does mean you’re making a little money. But it’s no way to grow your freelancing business. Instead, consider the power of this financial cycle:
- Identify how much money you want.
- Figure out how much writing will cover that nut.
- Write that much.
- Spend the money.
This is abundance-based budgeting, as opposed to scarcity-based budgeting. A scarcity-based budgeter asks “Can I afford this?”. An abundance-based budgeter asks “What do I have to do to afford this?”
Making this simple change to your freelancing business makes a huge difference in your chances for success, and your quality of life.
One important caveat….
Even though you should budget your money with an abundance mindset, always spend with a scarcity mindset. Doing anything else adds debt load to your budget that makes it harder to succeed.
How about you? What kinds of budgeting and forecasting techniques help you grow your writing (or other) business?