First off I want to say welcome to my new subscribers. I’m around if you have questions or requests. Feel free to reach out; just not in a stalker kind of way! 🙂 Contact me at ( matt at workingclassauio.com).
Identify your super power or the lack of.
When I ended my studio owner run at Broken Radio I was in a position that required reinventing my audio world and I needed serious inspiration. I also needed inspiration to address the financial mistakes I had made running the studio and inspiration to organize my life that I had been living with blinders on since I was so focused on studio survival. Let’s address the money.
I think all people have what I would call “super powers” of some sort. Some people are good with relationships, some are good at cooking and some are good with money; I traditionally was not one of those people good at money! My habit was to always get a little in the bank and spend it thinking that since I had a little extra it was ok to spend; not a wise plan! The work would dry up or the clients would want to do a payment plan and cash flow is affected. Next thing you know the expenses would become late, bounced checks, fees, anxiety; avoiding phone calls from those wanting to get that credit card payment. That was how I handled things while trying to run a commercial studio which is a horrible way to run a business and is part of the reason I am no longer a studio owner. The irony in the name Broken Radio did not slip past me either. I came across this guy named Dave Ramsey who was a financial self-help kinda guy. I listened to his podcast and was amazed at the stories people told about paying off debt using methods Dave prescribed. Dave had a little bit of a Christian vibe going on. I don’t have a problem with Christians, I’m just not a religious person. I’m a holiday Catholic at best so I was a little suspicious at first; but after a while I just thought “Who cares if this guy drops bible verses in his show? I need to get my act together!” Part of Dave’s methods include setting aside money in an emergency fund. $1000 was the prescribed amount. He argued that it is inevitable that something could happen that would cause you to endure an expense that this fund would cover and that it was better to use that than to charge the expense on a credit card. Long story short I followed that idea, saved $1000 in a fund and didn’t touch it. Unexpectedly one summer my car ended up needing four brand new tires due to worn out front tire (damn 4 wheel drive cars!) . $600 was the bill. I can’t tell you the relief I felt knowing I had the money ready to go that covered that unforeseen issue; plus, it didn’t interrupt my cash flow! Of course once you spend it you need to put back what you took even if that takes another month or two. That might all seem like common sense to many of you, but to me it was a moment I realized that i had to really dig deeper and really focus on the money. I strongly encourage you to go check out Dave’s site if you do not posses the money super power. Start with the podcast and work your way over to the site. Dave’s series of steps will help to set you straight. Dave’s podcast helped me get a plan together to deal with the studio debt but I was also in need of a real method of tracking my money.
Tracking (money not instruments).
Part of my battle with money in the past was paper based bank statements coming in and getting lost in the shuffle of life and business. When I actually sat down with the statements (the ones I could find) and the accounting program I loathed downloading data from the bank, reconciling with the statements and honestly hating the whole process. My lack of enthusiasm stemmed from my bad money management skills and what seemed to me like a tedious method for tracking money. That was while running a business. One again, not a good idea and not the best attitude. These days post studio I’m using MINT.com for the tracking. MINT.com is an excellent and free way to take all of your accounts/assets and place them in a location that you can track them and which works on my phone and from a browser. If you suck at tracking where your money is going this is for you. I can see charts of where I’m spending and on what. The site has been awesome and recently was instrumental in identifying a bit of fraud on my checking account.
That’s all for now. Thanks for reading! Until next post.