Rob Perkins explains why freelancers in film go broke after great years. The problem: mistaking a busy stretch for lasting wealth, ignoring taxes, and locking into expenses you can't afford in slow months. Test new spending against your worst realistic year.
Number 1, your best year will lie to you. You book several jobs in a row, the checks start coming in, and you're working constantly. Maybe there's overtime, maybe you're traveling, maybe a long project keeps you booked for 6 straight weeks. And you start thinking, this is what I earn now. I used to think that way. Freelance income does not arrive evenly. A salaried employee usually knows another paycheck is coming in 2 weeks. You don't have that guarantee. I remember finishing a strong run of jobs and looking at my checking account thinking, I'm doing great. There was plenty of money sitting there. So spending some of it, eh, that doesn't feel risky. I was looking at the balance instead of looking at the whole year. Part of that money belonged to taxes. Part of it needed to carry me through the next slow period. And part of it should have been building my future. That busy stretch made me feel richer than I actually was. Before taking on a new recurring expense, picture your slowest realistic year. Could you still pay for it comfortably? That's the test.
