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Just hit $10k in a single month for the first time, which is crazy to me.
I've been a freelance writer for three years and my average was always around $4k. This month I landed two big ongoing clients from a referral. How do you even start to plan for taxes on that kind of jump?
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jenkins.alice1mo ago
Whoa, congrats! That's a huge jump. First, don't spend all of it. I'd take 30-40% right off the top and put it in a separate savings account just for taxes. Then, look up your estimated tax payment dates. You might need to make a bigger payment next quarter because of this income spike. I use a simple spreadsheet to track what I set aside.
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the_jessica1mo agoTop Commenter
How much did you set aside for taxes on your first big check? @jenkins.alice is right about that separate account, I did the same thing. I actually opened a second savings account just for tax money so I wouldn't even see it with my regular cash. Made my quarterly payment way less stressful.
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julia8111mo ago
Oh man, that "set aside for taxes" advice is good but it hurts. You finally see a big number in your account and immediately have to pretend like a huge chunk of it isn't even yours. It's like getting a birthday cake and being told you can only look at the slice with your name on it. I just stare at the money in my tax account and sigh.
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