Photo Credit: Robert Chlopas
Do you have some serious musical chops? Being a musician, whether as a solo act or part of a band, is a great form of artistic expression.
Not everyone has enough talent to perform in public, and yet live music is a perfect way to showcase your tunes.
Performing live music can be one of the biggest thrills in life. But when it comes to being a paid freelance musician, how can you show proof of income for things like loans or renting an apartment. Fortunately, you’ve come to the right place for help.
This article takes a look at providing freelance proof of income when you’re a self-employed musician. Keep reading to get the inside scoop.
Bank Statements
One of the easiest ways to provide proof of income to lenders, landlords, and other types of creditors is by showing them your bank statements. Simply go online and print them out or ask a teller at your bank to print out your bank statements for the last six months.
After all, your bank statements clearly show monthly cash flow going in and out, including all deposits that you’ve made consistently.
Keep in mind that each income deposit might not be specifically noted as a freelance music performance payment in the bank ledger, but it will at least show that you earned income from a specific source. Thus it’s your responsibility to keep meticulous records where you label the source of every payment that will show up on your statements.
Pay Stubs
It’s important to remember that each time you receive payment for musical services rendered, the venue should pay you by check. Keep in mind that many venue managers will likely offer cash in exchange for your performance, and yet cash payments are more difficult to accurately track.
The only real benefit to cash payments for performances is obviously to avoid dealing with taxes. And yet it’s crucial to build a full history of income. Every dollar you make matters. While some gigs might pay very little, it all adds up.
Regardless of how a venue pays you, they need to provide a pay stub.
You can also produce your own with a pay stubs maker.
Most Recent Tax Returns
Lenders and landlords will also request to see your most recent tax returns. This is why it’s so important to carefully track your income and pay your taxes on time. In fact, your tax returns are the most effective way of showing them your full income over a period of years.
Performance Contracts
Any time you book a performance, the venue needs to provide a written contract. You can then use these contracts to provide proof of income whenever the need arises.
Profit and Loss Statements
As a self-employed musician, you should also maintain records of all income as well as expenditures. This will provide further evidence of payments from music venues as well as seconds to be used during tax season.
A Guide to Providing Proof of Income as a Freelance Musician
Not everyone has the talent to make money performing music. Fortunately, these tips help anyone generating income as a freelance musician to stay on top of their finances.
Keep scrolling to discover more cool music-related advice and information on our blog.
