Acting Careers and Artist Finances - Abundance Bound

Sneak Peek...

2009-04-14T21:55:00.000-07:00

...at a video segment for our Artist's Prosperity 101 audio / video online course.

Click Here to see the first video piece about how to finally get financially organized... for good!

To your prosperity

Miata

Long Silence... New Program

2009-03-18T09:06:00.000-07:00

It has been a long time since my last post, but I have been working on getting a new program off the ground.

So here it is (fanfare...)

Artist's Prosperity 101

It is designed to give every actor and artist the tools necessary to develop a solid financial foundation, help them get their finances in order, and prepare them for a long term career in the arts (because we all know that lack of money drives you out of an artistic career quicker than anything else!)

I hope you like the look of it, and take advantage of what it has to offer.

To Your Prosperity!

Miata

Free Financial Teleseminar

2009-01-05T09:20:00.001-08:00

So, as we kick off into the new year, I have the first of our special teleseminar / webcasts "The Power of Prosperity" to announce.

Click Prosperity for more details.

It will be held on Tuesday, January 13th, from 5pm to 6:30pm pacific, and will be broadcast via both the web and regular telephone. Also, please don't forget that, even if you cannot make the call live, it is still worth signing-up, as we will be sending out a recording of the call to everyone who registers.

I look forward to hearing you on the call.

To your prosperity.

Happy New Year!

2009-01-03T09:43:00.001-08:00

Despite all the talk of SAG strikes, recessions, and more, lets make 2009 a great year for all of us.

More to follow soon, but in the meantime

To your prosperity!

Internet Television!

2008-12-11T09:02:00.000-08:00

I just read this press release from The Elevision Network - it is incredibly exciting stuff!

Click Affiliate Network to read.

Especially given these economic times, affiliate marketing can be an incredibly powerful way for actors and artists to generate much needed extra money - and this company offers an unbelievable training program for exactly that.

Currently this is only available to"super affiliates", but I will post again once the opportunity opens up for everyone.

To your prosperity!

Great Weekend

2008-11-17T15:51:00.000-08:00

Just a quick note to say thanks to everyone involved with our NY festivities this weekend: We met some great people, had a lot of in depth and interesting conversations, and heard some inspiring stories about peoples acting careers, and more.

More to come soon, but thank-you all again for making it such an excellent weekend.

To your prosperity!

Miata

From Starving Artist To Money Magnet Seminar

2008-11-14T13:27:00.000-08:00

I will be teaching a seminar on Sunday, November 16th, from 11:30am to 2:30pm called

From Starving Artist To Money Magnet

Topics covered will include:

* Conquering your financial fears so they are no longer a barrier to your success

* Becoming financially organized so you know your exact financial starting point and can develop a strong plan for the future

* Creating a debt elimination plan that will allow you to stop stressing out about those credit card bills

* Developing attainable financial goals and dreams that inspire and motivate you to move forward

* Much more besides!

So click Prosperity for more information and registration details, and I will look forward to seeing some of you there.

I am working on a specific investing post for next week, so stay tuned.

Also, please click the "comments" button below and let me hear from you - I always value people's input!

To your prosperity!

Miata

Holiday Jobs...

2008-11-12T15:18:00.000-08:00

... apparently, given the state of the economy and the fact that business' are cutting back left, right and center, there is a greater chance of getting into an Ivy League college than there is of finding a job this christmas.

Given that most people pursuing an acting career are at least partially dependent on part time work of some kind, if you have a job that you can tolerate, don't give it up yet!

More to follow...

To your prosperity

Miata

The Actor's Guide To Money Management

2008-11-06T17:09:00.000-08:00

It's here!

The first case of books just arrived - very exciting!

We will be lunching the book this Saturday, November 8th at Actorfest LA, and then will also be at Actorfest NY the following weekend - come by and check us out.

See you there!

To your prosperity.

Miata

Investments... in beer

2008-11-02T14:07:00.000-08:00

"If you had purchased $1,000 of shares in Delta Airlines a year ago, you will have $49 today. If you had purchased $1,000 of shares in AIG a year ago, you will have $33. If you had purchased $1,000 of shares in Lehman Bros a year ago, you will have $0. But if you purchased $1,000 worth of beer one year ago, drank all the beer, then turned in the aluminum cans for a recycling refund, you would have $214". - Bob Battle, quoted in the Washington Times.

Drink anybody?

Economics and Cows...

2008-10-16T12:36:00.000-07:00

I just got this from my Mother-In-Law (bizarrely enough), and thought it could inject a little humour into the otherwise dire economic news...

> > SOCIALISM
> > You have 2 cows.
> > You give one to your neighbour.
> >
> > COMMUNISM
> > You have 2 cows.
> > The State takes both and gives you some milk.
> >
> > FASCISM
> > You have 2 cows.
> > The State takes both and sells you some milk.
> >
> > NAZISM
> > You have 2 cows.
> > The State takes both and shoots you.
> >
> > BUREAUCRATISM
> > You have 2 cows.
> > The State takes both, shoots one, milks the other, and then throws the
> > milk away...
> >
> > TRADITIONAL CAPITALISM
> > You have two cows.
> > You sell one and buy a bull.
> > Your herd multiplies, and the economy grows.
> > You sell them and retire on the income.
> >
> > SURREALISM
> > You have two giraffes.
> > The government requires you to take harmonica lessons
> >
> > AN AMERICAN CORPORATION
> > You have two cows.
> > You sell one, and force the other to produce the milk of four cows.
> > Later, you hire a consultant to analyse why the cow has dropped dead.
> >
> > ENRON VENTURE CAPITALISM
> > You have two cows.
> > You sell three of them to your publicly listed company, using letters
> > of credit opened by your brother-in-law at the bank, then execute a
> > debt/equity swap with an associated general offer so that you get all
> > four cows back, with a tax exemption for five cows.
> > The milk rights of the six cows are transferred via an intermediary to
> > a Cayman Island Company secretly owned by the majority shareholder who
> > sells the rights to all seven cows back to your listed company.
> > The annual report says the company owns eight cows, with an option on
> one more.
> > You sell one cow to buy a new president of the United States, leaving
> > you with nine cows.
> > No balance sheet provided with the release.
> > The public then buys your bull.
> >
> > A FRENCH CORPORATION
> > You have two cows.
> > You go on strike, organise a riot, and block the roads, because you
> > want three cows.
> >
> > A JAPANESE CORPORATION
> > You have two cows.
> > You redesign them so they are one-tenth the size of an ordinary cow
> > and produce twenty times the milk.
> > You then create a clever cow cartoon image called 'Cowkimon' and
> > market it worldwide.
> >
> > A GERMAN CORPORATION
> > You have two cows.
> > You re-engineer them so they live for 100 years, eat once a month, and
> > milk themselves.
> >
> > AN ITALIAN CORPORATION
> > You have two cows, but you don't know where they are.
> > You decide to have lunch.
> >
> > A RUSSIAN CORPORATION
> > You have two cows.
> > You count them and learn you have five cows.
> > You count them again and learn you have 42 cows.
> > You count them again and learn you have 2 cows.
> > You stop counting cows and open another bottle of vodka.
> >
> > A SWISS CORPORATION
> > You have 5000 cows. None of them belong to you.
> > You charge the owners for storing them.
> >
> > A CHINESE CORPORATION
> > You have two cows.
> > You have 300 people milking them.
> > You claim that you have full employment, and high bovine productivity.
> > You arrest the newsman who reported the real situation.

> > AN INDIAN CORPORATION
> > You have two cows.
> > You worship them.

> > A BRITISH CORPORATION
> > You have two cows.
> > Both are mad.

> > AN IRAQI CORPORATION
> > Everyone thinks you have lots of cows.
> > You tell them that you have none.
> > No-one believes you, so they bomb the **** out of you and invade your
> country.
> > You still have no cows, but at least now you are part of a
> Democracy....

> > AN AUSTRALIAN CORPORATION
> > You have two cows.
> > Business seems pretty good.
> > You close the office and go for a few beers to celebrate.

> > A NEW ZEALAND CORPORATION
> > You have two cows.
> > The one on the left looks very attractive

Don't Panic

2008-10-13T17:15:00.000-07:00

Great article from The Motley Fool called The Number 1 Rule.

The long and short of it: the chaos isn't over, and today's upswing is probably just a blip... it will be right back down again before too long.

Having said that, that means lots of opportunity now for people who have some money to invest... provided they formulate a plan and stick to it.

To Your Prosperity!

Massive Phishing Increase

2008-10-11T11:26:00.001-07:00

Just a quick article I wanted to pass along to you all that I came across on the BBC website:

Phishing Article

To sum it up, there has been a 180% increase in phishing (people trying to get your personal details for credit card fraud etc) over the last year due to the financial turmoil that is engulfing the world. We went through the identity theft annoyance twice earlier this year (someone was booking Air India flights with one card, and charging a bunch of stuff to a Valencia WalMart with another), but we are still unsure how the people got our information.

Three thoughts:

1 - Keep good records! Banks are much more likely to believe you about what money was spent where if you can show them accurately your spending patterns etc. It gets much harder to prove if you don't have your account up on Quicken, Money etc.

2 - Never follow a link in an email that asks for your personal information! That includes not signing into facebook, or myspace, because many people use the same password across multiple sites, which leads onto:

3 - Use different passwords depending on the sensitivity of the site! Social networking sites can be short and sweet, but really get creative with online banking and similar things.

That's it. Nothing too much. So, even in these difficult financial times

To Your Prosperity

Learn About Money When...?

2008-09-30T10:49:00.000-07:00

Panic! Run for your lives! The world is collapsing! In the last year, the housing market has collapsed, taking with it the stock market. Oil prices have exploded, banks are showing record losses (how about $10 Billion for a quarter anyone?), and going out of business left, right and center, and, basically, lots of people’s money is going down the toilet. So now is not exactly the best time to be learning about one’s finances, right.

WRONG!! There is a great quote by Warren Buffet (Multi-Billionaire, Philanthropist and strong candidate for greatest investor ever) that says:

“Be fearful when others are greedy, and only be greedy when others are fearful”.

What happens when there is a big economic slump is that people panic. Sometimes this is with good reason: when it is easy to borrow, people tend to get in over their heads with debt. Combine that with a housing market bubble, and suddenly that house you’re making payments on is worth 25%less than you paid for it. Ouch. Or those banking stocks that were being pumped by brokers collapsed under the weight of bad loans. Ouch again. Or... but you get the picture. The trick to riding this all out, however, is to keep ones head, and not follow the herd.

Take stocks as an example. Let’s say you bought a solid company when it was at $25. Things happen, we hit an economic downturn, and suddenly that same stock is worth $15. Oh no. We’ve lost almost half our money. Quick, sell before we lose any more...

...Or not. If the company is strong, then it might not be its specific results that have caused its down turn, but a more general tide of poor performance across the country. If this is the case, then all selling does is make real the money you have so far only lost on paper. Combine this with the fact that you should be looking at holding stocks for at least the 3-5 year range, and with luck you won’t make any quick decisions that will loose you money. Everything goes in cycles, so instead of loosing ones head (and money at the same time), remember the old maxim:

“This too shall pass”

And keep on keeping on. The other thing, of course, is that when everything is down is actually a perfect time to be looking at putting money into the market, a house, or other currently depressed investment vehicle. I remember during the last economic downturn, in early 2002, I had just put my first real money into the stock market. A friend said to me “Why on earth would you be buying now? Everything is down?” I looked at him and said “Exactly”. We made over 50% return on that money in 2 years.

Not that we should be running out there and jumping into things willy-nilly. Random buying will make you just as broke as panic selling. But now is the time to seriously look at your financial situation. As opposed to fleeing all things financial in the coming months with the rest of the herd, swim up stream a little. Learn how to handle your debt properly, so that it isn’t hanging over you any more. Start a high interest wealth account so that you can have some money to start investing with in the next year. Set up your finances so that you are maximizing your tax deductions. Learn about how to handle money now, so that when things turn around (which they will) you are way ahead of the curve, instead of behind it.

Money Money Money (not always funny...

2008-09-26T11:48:00.000-07:00

... even in a rich man's world)

Given what is going on in the financial world, it would seem inappropriate not to comment on it, as there can be no doubt that we will all be effected what ever the outcome of all these debates and discussions will be. So, for what it is worth, here are my thoughts on the bailout, which I believe is necessary, but should only be passed with certain conditions attached. These are below:

1 - Tax payer equity ownership in the companies bailed out. Ie, we all become stock owners in the companies that are rescued under the plan. This to me is basic free market common sense investing, as it means that we will all benefit over the coming 5 - 15 years as these companies recover and prosper.

2 - Independent regulation and oversight. As has been seen time and again, the idea of any industry "self regulating" is ludicrous, because they simply don't do it. So, independent, bi-partisan regulation group, here we come.

3 - Golden parachute / income caps. Obviously those senior execs departing the company should not be allowed to walk away with million dollar severance packages. However, we do need to reward the incoming execs in such a way as to make them work as hard as possible to make our new companies (provided #1 has occurred) profitable. To me this looks like reasonable salaries plus highly lucrative deferred stock options - the kind they can't exercise for 5 plus years (I have no problem with someone earning $20 million if they have turned a bankrupt company into one generate billions a year... I just have a problem with the ones who bankrupted it earning that).

4 - Mortgage relief for homeowners. Some kind of system needs to be put in place to help people stay in their homes (such as lowering monthly payments, but extending the length of mortgages in default), as the trickle down effect of mass evictions / re-possessions cannot be calculated (plus, from the banks perspective, better to have some money coming in than a house sitting empty and unsold over the long term). However, I do not agree with extending this philosophy to regular consumer debt (cars, credit cards etc) - that's what debt plans are for.

So, like I say, my opinions for what they are worth. I would really welcome any comments / thoughts on this, as it is a topic that we will all be dealing with for a long time to come.

In the meantime, to your prosperity (sooner than later!)

Balancing Budget and Social Life

2008-09-17T12:54:00.000-07:00

Everyone’s going out for drinks after class. There’s a bar down the street that has great appetizers, and the cocktails aren’t too expensive, and it will be really good to connect with other people in the class, so never mind the fact that, with a couple of $7 drinks and an $8 plate of food and a 20% tip, that social hour ends up costing you $25. And you have class a couple of times per week, so that adds up to an extra $200 per month that you could really do with avoiding, but everyone else is doing it, and you don’t want to be the one to admit that finances are tight, and be a downer on the evening, so you go along and have a good time, but all the while feeling just slightly anxious because you know that most of this is going to end up on a credit card at the end of the month, and those bills are getting high enough as it is...

Does any of this sound familiar? I know this used to a regular occurrence when I first moved to Los Angeles to pursue my acting career. I would go out with friends after class, or rehearsal, and have a great time, but there would always be that nagging voice at the back of my head telling me that I couldn’t afford this. So the question is: how does one balance the need for a social life with the realities of a tight budget? We have three different suggestions here.

1. Don’t try to keep up with the Joneses. We are in some ways lucky, as artists, that we don’t have the pressure of some of our corporate counterparts in this area. For us, this area is more about dress and eating out than driving the newest Mercedes or living in the right part of town. But it is still a factor. The need to “look good” is almost beaten into us from an early age, so avoiding falling into this trap can be hard. Try shopping at a discount store instead of going to name-brand shops, or having coffee with friends instead of drinks (a $1.50 coffee is much easier on the wallet than a $6 beer). You will often find, especially when it comes to socializing, that people are really glad not to be spending money, as they are all engaged in keeping up with you as well, even if they cannot necessarily afford it either...

2. Forecast your fun. Forecasting is the process of projecting what your spending will be in any area of your life. The way to determine this is to complete a Chart of Expenses (email us at info@abundancebound if you would like one), from which you will be able to see exactly what you are spending, on average, across the financial board. You can then determine exactly what areas you are overspending in, and where you can spend a bit more if necessary. The key to this process is not denial, however: not not remove categories as trivial without serious consideration, because there is nothing like “forbidden fruit” for enticing you back. So never go into a month saying “I am not going to go out at all” - you are simply setting yourself up for failure. Instead, allocate a certain amount for “Eating Out”, or “Drinks”, or whatever other category you want, and then, when the end of the month comes around and you are near the end of your allocated funds, suggest Denny’s instead of the local bar for those after class drinks.

3. Work together to save money. Given that most people are in the same boat as you when it comes to money, be the first one to broach the subject of saving money with your friends. There is such a taboo in this country about discussing one’s finances that most people go through life never saying more than the obligatory “I’m fine...” (usually a lie) or “I’m broke...” (but with no real attempt to solve the issues causing that situation). Break with tradition and work with others on ways to both save and make more money. You will be amazed at the ideas that come out of brainstorming these things with like minded individuals, so give it a go! At the very least, it will take the pressure off the next time you say “Make mine a water...”

So anyway, I hope these pointers give you some ideas about how to have fun but still make sound financial decisions at the same time. Again, it is never about saying “I won

‘t go out until I’ve made $X.” That may work for some people, but I have yet to meet them. Instead, map out your spending, and put your money towards things that you will enjoy. Instead of feeling guilty about buying a Ice blended latte every day, and then stressed about the $30 on drinks going out with friends, drink regular coffee instead. $1.50 a day instead of $3.50 is $14 per week you have saved, which is $28 every two weeks, which covers an evening out with friends every other week. Talk to people, and work out things together, and then stick to your plan. Your bank account and stress levels will thank you for it.

Tax Rebates & How To Spend Them

2008-09-08T10:16:00.000-07:00

“Economic Stimulus” is something at the forefront of everyone’s mind these days, especially in the entertainment industry. With the Dollar at an almost record low, gas prices soaring, the general economy spluttering, a costly WGA strike just behind us and a possible SAG strike looming, things are looking a little gloomy.

Luckily, a little relief is at hand. As of May, those that have filed their income tax returns will be starting to get bonus checks in the mail; $600 for an individual, $1,200 for a family (check www.irs.gov for details on eligibility and timing). So the question on everybody’s mind is: “What do I do with my new found money?”

If you ask the government, you spend it. All of it. After all, that is the point of an “economic stimulus” package: you give people money, which they go out and spend, which generates cashflow to numerous business that would otherwise go with out, which means more money they spend in turn on supplies, and staff, and taxes... you get the picture. However, unless you strongly feel it is your patriotic duty to blow through your upcoming $600 at Macy’s (or Target, depending on where you like to shop), we would encourage you to consider using this windfall as your very own, personal “economic stimulus” package...

So, if we accept that we are not going to do what GW and friends want us to do with our money (you rebel, you), what to do with it? We would suggest putting it into three distinct areas in your personal financial life.

Debt Relief - $200. If $600 is the amount you end up with, then $200 of it should go to the credit cards. This should be on top of whatever amount you are paying them anyway, as it means the additional money will go straight to the knocking down the principle. Not only will this reduce your interest payment next time, but will feel great as well - something that is all to rare when it comes to money, but is none-the-less crucial to work our way out of tight financial situations.

Wealth Account - $200. This is one of the cores of the Artists’ Prosperity System, and is essential to any wealth building process. All a “Wealth Account” is is a high interest savings account which you use to build up money in until you are ready to invest with it. We think highly of ING for this (www.ingdirect.com), and they always offer highly competitive rates, but there are certainly plenty of other institutions that are just as good - they can easily be researched online. What I want to stress with this account, before we move on, is that it needs to be liquid (ie you can get your money in and out of it easily), and that it is not a savings account, or an emergency account, or a travel account (all of which can be great, but are separate from your wealth account). You only take many out of your wealth account to buy assets, namely things that either generate money for your or increase in value. Nothing else. Ever. Period. Have I made my point?

Treat Yourself - $200. OK, so blow through some of the money, and feel great about doing it! When else have you been given money to go out and spend? And it is for the good of the country! A real win win! So get out there and buy a new shirt, or that pair of shoes you have been coveting, or a couple of games for the Wii, totally guilt free. Reward is an essential part of building wealth, because it makes the discipline required in other financial areas significantly easier to bear. So treat yourself. You have, after all, just paid an extra $200 towards your debt, and started a high interest account (into which you will be putting money regularly, right?), so now is the time to spoil yourself a little.

And that is it. Nice and simple. Three areas into which to put your “free money” - and any other money that comes your way if you choose to. Some of you may, of course, want to put more into debt and your new wealth account than into a splurge for yourself, and that is fine. Just don’t take it out all together. As I said earlier, one of the keys to growing money is feeling good about it, so you really do need to reward yourself for having taken action on improving your finances. There are a number of places to go next but, if you really allocate your money into the three areas listed above, you have laid a great foundation for yourself, and taken a strong step down the road of financial security and prosperity.

Alter your state

2008-09-05T11:52:00.001-07:00

I will be expanding this into a real article shortly, but something occurred to me last night as I was playing one of those dancing games on the Playstation.

It goes back to something I learnt at a Tony Robbins seminar last year, and he called it "Changing Your State". Essentially, the concept is that we can alter our mental state by changing our physical one. I was certainly skeptical at first, but having walked across a bed of hot coals (9 months pregnant, I might add), I began to give the idea some credence.

Since then, I have used it repeatedly, and wanted to comment on it quickly as a way of getting out of the funks that effect us all from time to time... you know, that state of depressed lethargy that kills any good intention to work, and makes you want to sit in front of the TV eating ice cream... sound familiar? I am sure it does, to some of you at least.

SO, next time that happens, and you feel yourself slipping into a hole, jump up, and workout quickly. That can literally involve doing press-ups until you can't do any more, followed by squats and situps. Or go for a run. Or bounce on a trampoline (if you happen to have one lying around). Or do 100 jumping jacks. Anything intensely physical will shake you out of your slump quickly (sum total exercise time 5 minutes) and allow you to get really stuck into whatever it was that you were procrastinating about...

Anyway, just my thoughts on the matter (having danced myself into work yesterday...)

As always, to your prosperity, and don't forget to check out The Artists' Prosperity Home Study System when you get a chance.

5 Simple Money Rules

2008-09-03T13:23:00.000-07:00

The idea of tackling their financial situation often intimidates people. They feel as if the situation is too large, too overwhelming, to be tackled, and so they adopt the Ostrich mentality (ie sticking their head in the ground) and say things like "I will sort out my finances when I get my "big break"... at least, I know I did!

But the reality is that there are several small, simple things that anyone can do to improve their financial situation right away, things that will lay great ground work to build on over the course of people's creative careers.

Pay Yourself First

This really is the corner stone of any long term financial stability, let alone wealth. What this actually means is simply that, every month, you are putting a set percentage of your income into a high interest savings account, and not touching it until you are ready to invest with that money. And that is the key. This is not the "rainy day" account that you dip into when things get hard, nor is this the "splurge" account to get something special for yourself as a celebration. Money is only withdrawn from this account to buy assets with - an asset being defined in this case as something that either makes you money, or appreciates (increases) in value (so a new car would not be an asset under this definition!). Do this consistently and, over time, you will build up a very nice amount of cash to be investing with.

Regular Money Days - records & Organization

A "Money Day" is simply a day that you set aside to work on your finances. Now, it does not have to be a whole day, of course - unless your situation merits it... usually because you haven't done one for a long time! Personally, I set aside a couple of hours every other week, and then a meeting with my accountant over the phone every couple of months. Doing this accomplishes two things: it keeps your accounts in impeccable order, and it allows you not to think about your finances between times, freeing you up to think about and do other things... like your art

Fore-cast your spending

Forecasting is the process of allocating where your money will be spent. You start by going through your Chart of Expenses (email us at info@abundancebound.com if you need one of these), and finding out where and how you currently spend your money. You then go through that list, and determine which categories cannot change (rent, for example) and which ones can (groceries, entertainment etc). Having got that list, you can then make strong, educated decisions about where you choose to spend your money... as opposed to just blindly trying to cut out Starbucks or eating out. And that is the big difference between this process and traditional budgeting. We never suggest eliminating a category, as we have all heard "absence makes the heart grow fonder". But as opposed to going to Starbucks every day, can you go every other day? Or order a Tall instead of a Venti? Doing this in several areas can make a huge difference to your overall spending.

Keep business separate from personal

Many of us do something called "co-mingling": we operate our entire lives out of a personal checking account. The problem with this is that no "real" business does this - you would never see the CEO of Kinkos write a check for the company out of his personal account. What we need to do, at the very least, is set up a DBA (Doing Business As) account (www.legalzoom.com can help with this) for our artistic career, and get a business bank account associated with that DBA. Not only does this then allow us to clearly see what we are spending and earning through our acting career or art sales, but it also legitimizes the tax deductions we take due to our art - the IRS can clearly see that we are running our career as a business, not as a hobby. The reason this is important? Business expenses are deductible, hobby expenses are not (this distinction can hurt, to the tune of thousands of dollars of back taxes: one of our students got nailed this way)

Regular financial learning

Keep doing what you are doing right now! We take time to go to art school, acting classes, workshops... but we expect our finances - something most of us have never worked on (a fundamental problem with our education system, and something we will address in a separate article) - to somehow take care of themselves. Not only is this not realistic, it is dangerous, as we can make numerous serious mistakes blundering around while we try and find our financial way. The biggest reason people stop pursuing their artistic careers is lack of money. Knowing this, doesn't it make sense to put some time into financial education now, so that you are around for the long term? We read all the time about people only breaking out in their forties: wouldn't it have been sad if they had had to leave the arts before then because they had to make money? And wouldn't it be sad if that was going to happen to you... and you had to quit for the same reason? So carve out some time now to learn about money - it will be well worth it in the long run.

So there you have it - five simple things you can implement right now that will significantly improve your financial picture over the coming months and years. Incorporating all of these things into you daily and weekly lives is only a tiny time commitment of time, but the dividends from doing so can last a lifetime.

I would welcome any comments or thoughts. Also, don't forget to check out our Artists' Prosperity System

for details on how to get $300 worth of FREE GIFTS!

To your prosperity!

Ignorance Costs

2008-08-27T06:32:00.000-07:00

We’re all familiar with the phrase “What you don’t know can’t hurt you.” Unfortunately, especially when it comes to money, it’s completely wrong. What we don’t know about money can lead to extremely painful and expensive mistakes.

What we want to achieve with this article is nothing grand. No big concepts or sweeping statements. Our goal is to provide just a few simple, practical things you can implement right away that can save anywhere from a few, to a few hundred, dollars a month.

The first step to getting a handle on your finances is completing a Chart of Expenses. (Email us at info@abundancebound.com with “Chart Of Expenses” in the subject line and we will send you this Excel spreadsheet). This document will guide you in determining (in extreme detail) exactly how you are spending your money on a monthly basis. It also allows you to determine your average monthly earnings. Completing this chart can be a tedious process, but is a crucial part of really understanding your financial situation.

Something fascinating happens when you start to really look at your finances. All of these things on which you didn’t realize you were spending money, will suddenly surface. It is amazing (and frightening) to discover how much is disappearing through financial leaks we don’t even know are there.

Some examples:

Where do you bank? How much are you paying just to have your account? Are you charged extra if you actually go into the bank and make deposits or withdrawals with a teller? We had one student who had never realized she was spending $30 per month in “Bank Charges.” Explore what options exist for free checking, free savings etc: then shift away from whoever you are currently banking with that is over charging you for this stuff.

What credit card do you use? Another student had a “great deal” with American Express. They were getting all kinds of special stuff... and were paying around $350 per year for it. Once they looked into the services that were actually important to them, it turned out that there was a free option that provided everything they needed. They had been paying that extra money every year for nothing.

Do you carry credit card “insurance?” We have all been guilty of this one. You know, the tele-marketer who signs us up for a free 30-day trial of some service, offering a free credit report or something similar. All we have to do is call and cancel if we don’t want to continue... and it seems such an easy thing to do at the time... and yet somehow we never do! Then three years later we find out we have been spending $40 per month for something we never used or cared about... you get the picture.

The point is that, with just a little bit of effort, all of us can probably find an extra $25-$100 or even more – just by taking the time to really figure our where our money is going. This is money that can start going to paying down debt, building investment accounts and actually creating a prosperous future. This month, make a commitment to find and plug your money leaks.

Putting it off will just make it more expensive.

***

Take action about your finances! Visit The Artists' Prosperity System to check out our new home study course, and really start taking control of your financial situation.

Some basic casting advice

2008-07-15T21:08:00.000-07:00

A great post from our friend Erin Cronican's blog. Actors out there, take note!

"Bite-Size Business" with<br> The Actors' Enterprise: Some basic casting advice

Affiliates Wanted

2008-07-14T21:29:00.000-07:00

So, as we launch our new Artists Prosperity Home Study System, we need people to get the word out about it... and of course benefit from promoting it (we are a financial education company, after all: it would be remiss of us not to show our readers how to make money at least one way...).

So anyway, we are looking for active, dynamic people who have connections within the artistic community and are interested in making an additional few hundred (to potentially a few thousand) dollars a month for very little effort.

What people would be doing is signing up as affiliates for Abundance Bound, and then sending out an email or two (that we right for you and you simply "make your own") to your friends and contacts. That's it. Nothing stressful. No hard selling. Just a referral to people you know to take advantage of a product that is essential (and the only one of its kind) to anyone pursuing an acting or artistic career,

Anyway, anyone interested please let me know by commenting here, or by emailing me at miata@abundancebound.com. I look forward to talking to you all soon.

Miata

Artists' Prosperity Home Study System

2008-07-09T22:56:00.000-07:00

YAY!! IT'S HERE!!

After a long silence (mostly because Adam has been on a movie and I have been working on producing our new home study system), it has finally hit the shelves, so to speak.

The Artists' Prosperity Home Study System is now available, and I really think it is a great service. It is a 4 CD set and accompanying workbook, with step by step assignments designed to really get you into action around your finances, plus downloadable forms and worksheets, and FREE GIFTS worth around $300. Plus if people don't like it they can claim their money back ny time up to one year after their purchase.

So anyway, go to Artists' Prosperity System to find out more details about the prgram, your free gifts, and our 100% money back guarantee, and I look forward to hearing your comments about what we have to offer.

In the meantime

To your prosperity!

Acting Article on IMDB

2008-06-07T00:07:00.000-07:00

An interesting article posted by The Actors' Enterprise -

SAG granting waivers to independent filmmakers

Glad to see SAG are working with producers in the run-up a potential strike.

We are gearing up to launch a new CD set "The Artists' Prosperity System" shortly, so there will be more news about that soon. In the meanwhile, don't forget to visit Abundance Bound regularly to keep up on what is going on.

New Business Website

2008-06-02T18:34:00.000-07:00

Adam and Eben, his creative partner, have started a new website - an online cooking show!

It was actually originally conceived as a way to make the bulk of our groceries tax deductible, and if it generates income as well, so much the better!

One of the things I teach at Abundance Bound is building business based around your existing skills. I also know that having a home-based business of some kind opens up all sorts of tax deductions not available to those without one. Adam is a great cook (I hate to cook, so it is a good thing he does), so doing something around that seemed like a natural fit...

...anyway, I wanted to let you all know about it as an example of a business that could lead to some additional money, and eventually a decent side income to help support all your acting careers and artistic endeveours.

Also, here is the website:

M2 Cooks

Enjoy, and I would welcome your thoughts!

LA Times Acting Career Article

2008-05-31T15:23:00.000-07:00

Another interesting article in the LA times that I wanted to pass along...

LA Times Article

It has an interesting definition of the "middle class" member of SAG - those who earn enough to get their insurance, but less than $100,000. What is interesting is that this "middle class" accounts for only 5% of actors, the vast majority not even qualifying for insurance... what a career we have chosen!

What I do keep coming back to, however, which none of the recent articles I have read and passed along have mentioned, is that it comes down to longevity. The longer you are able to actively pursue an acting career (or any other artistic endeavour), the greater chances of eventual success you will have... the trick is not being stuck in depressing, dead end jobs until that happens, but creating something parallel to you artistic venture that supports you over what could be a long time...

...this is what I am all about, of course, with Abundance Bound, but I like finding articles like this because I feel they get necessary conversations going. That in mind, I would love and welcome any comments - please feel free to write!

have a great weekend

Miata

To Audition or Not - Acting Blog post

2008-05-26T17:17:00.000-07:00

Nice, quick, simple post from David August that I wanted to share.

To Audition or Not - Los Angeles Acting blog by David August

Los Angeles Times Acting Article

2008-05-26T16:41:00.000-07:00

I came across this article in the LA times, and thought it worth passing on.

The main thing that jumped out at me - and will do to you now as well - is the phrase "You can be recognised on the street and still live in a studio apartment", because it shows how precarious our income as actors can be. There are a few other things the article references which are interesting, so it is definitely worth a read, but I am also amused by the idea stated in there that working as a waiter can be good because it allows you to "network with customers" - that is certainly not something that I have ever heard of, let alone experienced, but maybe some of you have... I would love to hear about it if you have.

Anyway, here is the link LA Times Article.

As always, don't forget to check out the free stuff on our own website if you haven't already got it (click acting schools to go there), and I hope you find the article interesting.

To your prosperity.

SAG negotiations - alternate perspective

2008-05-15T09:22:00.000-07:00

Something Adam came across from Michael Bay - in typical bombastic mode - but who none-the-less makes some relevant points. Read on...

SAG wants more than Directors and Writers? That's a smart tactic I guess. When are people going to understand, most importantly actors - we are at war - we are facing a major recession - our country is in dire need of being fixed - our country also has no money because we have given trillions to the Iraq war and we have NOT even started to pay for it - it is just paid right now by printing more money on presses - China owns our ass in every way. Why not strike on a business in a down fall. Just like the writer's they made pennies on the four extra months striking - when you do the real math and they are paying the price for it still - so many writer's out of work still!!! I want this business to thrive - I know the studio heads and they will punish those that defy them. Okay, be an idealist - but you will never get a better deal then the writer's or directors - only the same - the studio's will never allow it, don't kid yourself. The working actors don't want a strike - they have said so. Too many non working actors have a say which is crazy - maybe there are just too many actors?? Gosh I'm even a member of SAG, but I don't feel I've earned the right to vote in this guild.

One hunch, the leaders of these guilds seem to like the limelight they get in the press, it becomes more about the ego in the room rather than something smart. Striking is not smart. Through the history in America, strikes in businesses have only gained the union worker 6% at the max - so take the emotion out of it and go for the 6%. A path to strike is not smart for the the hundreds of thousands of people in this business. Sanity needs to prevail here - talk real and talk the same talk as your union brothers - not more!

What I think he misses is that there are simply more actors than writers or directors - where you have one director, and two writers, you have fifty actors, so that having the same deal puts significantly less residuals into their pockets...

... not that actors should get 50 times what Director's do, but it seems to me that the deal should be somewhat sweeter than the other two unions.

I would welcome any thoughts on this!

For now

To your prosperity,

Actors Strike Re-Print

2008-05-13T12:04:00.000-07:00

Something I came across from the LA times, and wanted to pass along for the actors out there reading this.

I am not sure I agree with everything that is said here - there are strong arguments for limiting those in SAG who can actually vote on Union issues that I won't get in to here - but it certainly makes some interesting points.

HERE we go again. The entertainment industry quivers near the brink, threatened with another devastating strike even as people are still picking up the pieces from the last one. Can it be much longer before we start seeing A-list celebrities wielding picket signs again?

Last week's flameout of talks between the studios and the Screen Actors Guild means that TV and film performers could walk off the job as soon as June 30. If that happens, Hollywood would have enjoyed barely four months of labor harmony since the 14-week writers strike ended in February. Another TV season, much of which is set to be unveiled beginning today during the networks' annual "upfront" presentations to media buyers in New York City, would be imperiled.

It's not freak-out time -- yet. SAG and the studios are likely to resume talks at the end of this month, which would still give them plenty of time to hammer out a deal over payment for shows that run on new media, product-placement fees and other issues. And while much attention has been paid to tensions between SAG and its sister guild, AFTRA -- which represents many broadcast performers and which last week started negotiating separately with the studios -- the sideline blowhards aren't blowing as Santa Ana-hot as they did during the run-up to the Writers Guild of America strike.

Neither are most of the major players. Asked about the prospect of another walkout, Doug Allen, SAG's chief negotiator, told me last week: "That's not our objective. We've made more progress than management admits or has been reported." Studio sources who declined to speak for attribution also downplayed the likelihood of a work stoppage.

Still, mere talk of another strike is enough to jolt Hollywood, where ordinary workers who took massive hits to their pocketbooks during the writers strike are still scrambling for scarce TV and film jobs, as my colleague Richard Verrier recently reported in this newspaper.

But let's face it -- Hollywood doesn't have a technology problem. It has an income-disparity problem. Everyone knows it, and yet no one talks about it.

Learned explanations abound of how the industry finds itself in this sorry mess, centering on emerging technologies -- often meaning the Internet -- and how new formats are changing the way consumers view and pay for movies and TV shows. Those theories are all true, as far as they go; no one disputes that viewers are migrating to the Web, and it's understandable that Hollywood guilds want to help protect their members' economic interests as part of the transition. That's what they're supposed to do.

Yet In Hollywood, where enormous wealth is celebrated as the ultimate marker of talent, it's considered bad form to state the obvious. Income disparity? What are you, some sort of Marxism-spouting grad student?

Yet grotesque levels of income inequality are at the root of the industry's current labor troubles. And that's what everyone should remember the next time one of those A-listers makes an arty "Speechless" video in support of striking writers, marches a picket line alongside middle-class Hollywood workers, or, for that matter, publicizes any other call-to-arms for social justice.

Starting in the 1980s, the studios started making sweeping, multimillion-dollar deals with talent -- A-list actors, mainly, but also some name-brand writers and directors. The types of riches thrown about might have embarrassed imprisoned former Tyco chief L. Dennis Kozlowski, famed for his opulent party where an ice sculpture urinated premium vodka.

Stars with precious few hits to their credit and their agents began sniffing that a $20-million fee for a motion picture wasn't meeting their "ask." In the final seasons of NBC's "Friends," each of the six principal cast members collected $1 million per episode (and they were by no means alone -- such stars as Kelsey Grammer and Ray Romano got packages that were even richer). Huge advances and "first-dollar gross" deals -- in which talent collected money directly off the top of the box-office revenue, crimping studio profit margins -- became commonplace.

Studio chiefs naturally started complaining about the soaring costs of movies and TV shows. The sensible thing to do, of course, would have been to start saying "no" to the stars and their handlers. But for the most part, that's not what they did (well, Viacom boss Sumner Redstone eventually said "no" to Tom Cruise, but only after the star had made himself damaged goods). Refusing the stars might have risked the studio's competitive position, they reasoned.

Instead, the bosses started trying to make up for their spendthrift ways by economizing elsewhere -- that is, taking money out of the hides of ordinary workers. Or, as Hollywood prefers to call them, people "below the line." Indeed.

So studios have been trying to save nickels and dimes by using cheaper labor to make TV shows and films overseas or by snagging tax incentives and other goodies to produce entertainment in states other than California.

This is why the producers of ABC's "Ugly Betty" announced last week that they're decamping the Los Angeles area for New York, so the show can take advantage of recently passed tax credits in the Empire State. Meanwhile, two-thirds of 150 production workers in Southern California are expected to be laid off. What timing! Can you say "collateral damage"?

The studios, for their part, are still reeling from their largely self-inflicted wounds, which may explain why guild officials have found the bosses so difficult to deal with in recent negotiations.

Back in the '70s and '80s, studios routinely recorded profit margins as high as 20%, according to financial analyst Tom Adams of Adams Media Research. Today, most are lucky to squeak by with single-digit margins, Adams said, adding that rich talent deals are a major reason for the shift. (Remember, though, that studios are now relatively small parts of sprawling, diversified corporations whose overall balance sheets generally look much better.)

When I asked if there was any sign that studios are making progress rolling back these types of frothy talent deals, Adams replied simply, "No."

Figures bear that out: The average movie in 2007 cost $70.8 million to make, or 48% more than in 2001, according to the trade group Motion Picture Assn. of America. That's more than double the overall rate of inflation.

Last month, a group of actors -- including household names such as Ben Affleck and Kevin Bacon -- were pushing a proposal to limit SAG voting to performers who work at least one day a year. The idea was to not have the union's future decided by, say, a waiter whose greatest triumph was a bit part 30 years ago on "Quincy." (Those nutty stars -- first they take your money, then they tell you to shut up.)

But the SAG board rejected that bid in favor of an approach designed to help middle-class members. "We don't want this to be a profession practiced only by actors who make millions," SAG's Allen told me.

He added that the union can only negotiate the minimum rates on the pay scale, not what the studios pay the mega-stars. "Management has to be willing to take responsibility for what they're willing to pay at the top," Allen said.

Until that day comes, though, the industry's ordinary workers can do little other than pray that unions deliver some incremental gains for them.

Oh, and maybe find some creative places to stick a picket sign toted by a multimillionaire mega-star.

So there it is. As a little plug for myself, given what appears to be happening in the industry again, check out Monthly Money Management as a way to bridge the gap between acting schools and art programs and an actual career as an artist...

Have a great rest of week.

Acting, Careers & Money

2008-05-11T12:44:00.000-07:00

Today I want to finish up the article from Bob Fraser regarding acting careers, and the responsibility that go along with it. If you missed the earlier installment, please see below, but enjoy...

The main reason I am passing along this letter and my answer is because I get a lot of mail with this sort of request for 'help.'

"Can you look at my headshots and pick out the best one?"

"Can you send me the names of some agents who will help me start my acting career?"

"Will you read my screenplay idea and give me your thoughts on how I can sell it to Warner Brothers?"

"Can you get my pictures to J. Lo? I want to work with her."

"Should I move to New York or Hollywood?"

"I have an idea for a show I can star in. If you can get it to the right people, we can split the profits."

"Do I need a manager? If so, could you tell me who the good ones are? I don't want to get cheated."

... and so on. Okay ...

One of the first (most important) things I talk about in my courses, my articles, my columns and my blogs is the absolute necessity of doing the legwork and homework yourself.

As long as you live in a world where someone else is going to do the work it takes to get you into the acting business - well, you are not going to move forward - and you will probably get hurt ... financially or otherwise.

In fact, it is precisely this mindset that scammers are looking for. When a scammer meets an actor who believes it is possible for someone else to make it happen FOR them - he knows he's landed a sucker.

This belief in a one-step process (or a short-cut, or a secret doorway, or an easy way 'in') is what gets most actors in trouble.

When you think all you have to do is 'convince' an agent to represent you and you'll be on your way - you're just asking for trouble. The kind of agent that can be 'convinced' is generally a scam artist.

Real agents make their own decisions based on their assessment of how much money you'll make as an actor. If you aren't making any money now, don't expect a legitimate agent to be very interested in you.

When you focus all your energy on getting into the union - you are going to be unpleasantly surprised at the result. 93.6% of members of the acting unions earn less than 243 dollars a year. (This is one of my fake statistics - but I'll bet it's close.) Can you live on $243 a year? NO. That will barely cover your dues.

Will it be different for you when you get into the union? Not if you think getting into the union is a step you must take to be successful.

It isn't.

If you concentrate on making money as an actor, you will get into the unions and land an agent ... as a matter of course.

If you up and move to Hollywood or New York (London, Mumbai, Sydney, Vancouver, etc.) without a solid plan of action - in the hopes that you will meet someone who will help you achieve your dream ... you ARE going to end up an unhappy camper.

Again, scammers are looking for uninformed pigeons all the time. They will spot you, trap you and take your money. They're good at it. They've been doing it for years.

The absolute truth is that there are MANY steps (and a lot of them are difficult) that you MUST TAKE ON YOUR OWN - if you ever expect to make your goal of becoming a professional actor a reality.

Here are just a few:

You must learn how to get a good picture. This is not a matter of finding a good photographer - it's a matter of learning what you must do to make a great picture happen ... no matter who takes the pictures.

You must learn the 'culture' of show business and work within that reality. Most actors think this will "just come naturally" and find themselves, five years later, still working at a crummy job and trying to 'make it' in their spare time.

You must take care of yourself - yourself. 90% of actors don't have a sugar daddy or a family who will take care of them as they pursue their dreams. Somehow, successful actors make it a point to 'take care of business' by themselves. If you

need a 'keeper' to get the basics taken care of ... then your prospects are dim.

You must make a lot of decisions.

You will have to decide on a budget for your acting business.

You will have to decide whether your new 'friends' are for real or out for your money.

You will have to learn the 'map of the territory.'

You must decide what niche will work best for you.... and I'm just skimming the surface.

This idea, that you have to find other people to help you, is a major mistake. MAJOR MISTAKE.

This mindset is the reason I put together my four acting career courses, You Must Act!, Nail It! Headshot Secrets Revealed, and Action!

Not to plug the courses too outrageously, but if you want to know what ALL THE REAL STEPS you must take to have a professional acting career, get my courses.

(The nice thing about my stuff is that if they don't work for you, you can get your money back - be sure to read my One Year Guarantee for details.)

Also, read the biographies of successful actors.

Almost every biography has the elements (steps) that lead to a career in the business.

And you should read David Mamet's books - and K.Callen's books -- and Stanislavski - and Michael Shurtleff, Allan Miller, Lee Strasberg - well, it's a very long reading list. (Not to mention Michael Caine's video acting classes.)

In other words, there is lot of homework for you to do.

A dream without work to make it happen, remains a dream. You can't spend a dime of the money you make in dreams.

Is it easy to do it all this work on your own?

NO.

Is there a shortcut?

NO.

Is there another way?

NO.

You have to do it. Agents, managers, connections, etc - are people who come along AFTER you have started to succeed ... on your own.

There are three elements you must have in order to be successful on your own:

You must be willing to learn ... INFORMATION

You must do what it takes ... HARD WORK

You must not give up ... TENACITY

You don't need an agent, a manager, a teacher, a photographer, a friend, a lover, a consultant, a coach, or sugar daddy to take the steps necessary to get you to your destination.

In fact, if you wait for somebody else to do things for you, you will be waiting a long time ...

... like forever.

If you want to be a professional actor, you must get the information, do the hard work and be willing to keep at it for a while.

In other words... YOU must act.

Great article, so I really appreciate Bob letting us re-post it from his newsletter. And I feel that, although it is obviously directed at actors, the message is applicable across the artistic spectrum.

I would welcome any comments on this, so please leave them here, and I promise I will respond.

Also, if you are interested in courses to take you from your acting schools or art programs to a career in acting or the arts, don't forget to check out our monthly audio program "Monthly Money Management".

Until next time, to your prosperity!

Michigan Film Tax Rebate

2008-05-07T14:11:00.001-07:00

Michigan just announced that it is launching a 40% tax credit to films being made in the state. Not sure of the details yet, but it is the latest in a series of states (NY, New Mexico, etc) aggressively going after film production...

...and yet California has none, despite having Arnie as Governor. Annoying.

I also just heard that "Ugly Betty" is shifting to NY to take advantage of their recently announced tax credit. NY, I am happy for you (I love that show), but I am concerned to see work leaving LA.

There was also an item on the news today saying the the Producers have called off talks with SAG... I really hope we don't have a repeat of the WGA situation!

Fingers crossed...

Miata

You Must Act - Article

2008-05-07T12:53:00.000-07:00

I have re-printed this article from our friend Bob Fraser of You Must Act fame (an excellent resource for actors - highly recommended), as it addresses a number of issues that people bring up to us all the time.

Bob's work can seem confrontational, but with 50 odd years of experience as actor, writer, producer and director in this business, few teachers out there offer such a wealth of knowledge and experience.

Anyway, here is the first half, courtesy of Bob Fraser:

All right. I'm going to get in the pulpit this time and 'preach.'

For longtime readers there will be some old themes in this diatribe - so bear with me. For those of you who are newer subscribers - please pay close attention...

I get hundreds of letters a week and most of them are lovely. Many people write to say thanks and those letters are great to get.

However, I also get letters from actors who think that I'm the answer to their problems. They know I can help them. If only I would.

Here's a typical letter:

(I've changed the name and obscured the location.)

"Dear Bob,

"Unfortunately, I cannot buy your courses right now. Maybe later. I have lots of expenses. Can you tell me what I need to do to become an actor. Do I need to go to acting school? And if I do, where are the good ones? How much do they cost, etc?

"I live in 'xxxxx' and I don't think there are any good acting schools, or even any, in 'xxxxx.' If

you could just tell me how to become an actor and help me find a good school to learn acting - when I win the Oscar I'll be sure to thank you, ha ha."

"Signed, Jill"

Two interesting things about this letter. First, although she can't buy my courses which contain

the information she is seeking - she expects me to take time out of my schedule to do her "legwork" for her. Secondly, she thinks this request will result in her winning an Oscar - somehow.)

Here's my answer:

Dear Jill,

There are many fine acting schools in 'xxxxx.'

Since you are sending me an email, I assume you have a working knowledge of the internet. A quick trip to Google and a search for theatre training, acting training, acting school, plus 'xxxxx' will get you a lot of results.

You have brought up two important things in your letter that I feel I must address. First that

later is an actual time - a real place. Second that I can help you to achieve your dream by

doing your homework for you.

Jill, it has been my observation (over a 50 year career) that 'later' rarely happens when it comes to our dreams.

Dreams come true, goals are accomplished, careers are built - by taking action now.

That's WHY the title of my first course is ...

You Must Act!

If I added a word to the title, it would be ... 'NOW.'

Getting right to the crux of your "help" idea:

No one else is going to make your dream a reality FOR you.

No one else is truly going to help you accomplish YOUR goals.

No other person on this earth can DO this for you.

The bottom line is (and always will be) this: Jill, if you don't do it - it won't get done.

So, no, I won't look up acting schools for you ... you do it.

If you sincerely want to know what it actually takes to accomplish your dream of acting professionally ... do what it takes to find out.

If you continue to believe that someone else is going to come along and take the steps needed to get you to the top - well, that used to be an E-ticket ride in Fantasyland.

I know how hard it is to raise kids - my wife and I raised three. But if you believe you can't be a great mom AND an actor -- you've put aside the best tool you have (your brain), because you aren't THINKING it through.

The reason I tell people to THINK things through is because of this truth: There is always a way.

You know that's the truth.

Since the beginning of human history the one thing we have always known is; there is always a way.

It's up to you to figure out what that 'way' is.

Whatever you do, don't wait for someone else to take the steps ... or 'later.'

Much Success

Bob Fraser

More to follow

Money / Debt Management Seminar

2008-05-06T20:45:00.000-07:00

This link was posted on our graduate chat group yesterday, and I wanted to share it in case anyone is in LA and interested in finding out more about our rights when it comes to creditors, debt management etc.

It is at the SAG Foundation, and click here to go to the page.

If anyone can get there, please let us know what you think, and relay any useful information.

We also cover debt management strategies in both out Monthly Money Management audio series, and free tele-seminar "The Power of Prosperity" - please check them out if that is of interest to you.

Until next time.

To Your Prosperity!

Celebrity's Money & Salaries

2008-05-02T16:35:00.000-07:00

Just a quick something I saw. It really is fascinating how star's salaries have changed over the years, and how Hollywood's spending decisions are effecting them. In my opinion, this is all the more reason to learn about money now, so that we are all ready for the industry as it changes...

Here is the link to the article.

Star Salaries

Enjoy.

Abundance Bound in Backstage West

2008-05-02T12:26:00.000-07:00

I will get a link up as soon as it is online, but our article regarding actor's financial paradigms went out yesterday in Backstage West.

It is very cool seeing one's name in print - I think I am going to enjoy writing for Backstage over the next few months...

Have a great weekend.

Miata

Artists' Prosperity Bootcamp

2008-04-29T22:49:00.000-07:00

Just a quick note to say that we are coming down the wire if you are interested in registering for the next round of our Artists' Prosperity Bootcamp.

This is a 10 week teleseminar series, where each week your coach goes into detail on one part of the Artists' Prosperity System. The great thing about this is that it really gets you into action around your finances in a way that a one day event can never achieve.

If you are interested in finding out more, please visit us at Artists' Prosperity Bootcamp, where you can see all the details of the program and more.

I am also excited to announce that, for the Monday night class, we have a student from South Africa enrolled! That makes four continents that we have students from - world domination next!

Have a great week.

2008-04-28T12:46:00.000-07:00

Some great news!

Our first article appeared in Backstage East last Thursday! It is very exciting, as Backstage has such credibility and presence in the acting community. Amusingly, we should have been included in both backstage East & West... but were somehow left out of the West part (although that article should run this week) - I will include the link once it is up online.

The exposure from the Backstage articles is great, and we are looking forward to doing steadily more press-related material because of it. We have already had a couple of offers for radio shows, and will let you know as other stuff materializes...

On the acting front, interesting news from my agents regarding commercials. We recently got an email from them letting us know that LA was very slow at the moment. This certainly seems to fit, as Adam (my husband and an Assistant Director, mostly in commercials) has been very slow as well for the past couple of weeks, but it is always concerning to have it straight from one’s agent. I remember during the last recession commercials were hit hard as well, as it is the advertising budgets that gets cut first in times of economic difficulty, so here’s hoping it is a short lived downturn.

The flip side of this is, of course, that now is the perfect time for people to learn about money and investing - look a little further down the page for a full article on that - and also to make a little (or a lot) extra money - please check out our affiliate page on how to do that with us at Abundance Bound!

Happy Monday!

Backstage Article

2008-04-20T21:07:00.000-07:00

Backstage runs our article next Thursday - wish us luck! We have had a feature in the SAG magazine before, which goes out to about 120,000 members, but Backstage goes to 300,000, so I am very excited about the exposure we will be getting.

I will be posting a copy of the article here, but I want anyone reading this to call Backstage and RAVE about what we wrote, demand more along the same lines, and generally make a big deal about the info we provide...

The other exciting thing is that our affiliates will be able to piggy back on the exposure to get people to our site. We also have something specifically for actors - a special report titled

"5 Things Every Actor Must Do" - If you haven't already, grab it, because we partnered with 4 other actor support companies to provide something really useful... definitely worth checking out.

Tax Credit for NY

2008-04-18T23:00:00.000-07:00

Just came across this, and wanted to share it. 30% of below the line is significant, needless to say...

... although Puerto Rico's 40% still beats it, and I think I would rather go there to shoot a movie for a few months!

Thanks for highlighting this, Erin.

The Actors' Enterprise: Blog and News<br>: Tax Credit tripled for NYC filmmakers

Make Money With Abundance Bound!

2008-04-17T23:44:00.000-07:00

Finally the affiliate page is up and running! This means that anyone, anywhere in the world, can promote Abundance Bound services, classes and products, provide something of immense value to their creative friends and associates, and make money at the same time!

OK, I am overusing the exclamation marks, but I am excited. We are also gearing up to roll out another program within the next couple of months...

...but you will have to wait and see what that is.

We have also re-vamped the look of the website, which I am very happy with. So visit us at Abundance Bound, then come back here and let me know what you think! Also, if you have not already done so, sign up for our free stuff by clicking GIVE ME MY FREE STUFF - nice and easy to remember - and again, please post your comments here - I really do want to hear what you think.

Have a great Friday.

Miata

The Business of Acting

2008-04-16T14:51:00.000-07:00

I just came across this article from Bob Fraser, someone who's views on acting as a business I have always appreciated and learnt from.

He makes the comment that most business' go out of business because "their advertising stinks" - and that actors, who are running their acting business', go out of business for the same reason.

Anyway, I don't want to paraphrase too much, so here is the link to the article itself:

Bob Fraser Article

Also, our website is in the process of being revamped, so check out our new look Abundance Bound Homepage in a couple of days - I will let you know when. We will also be launching our affiliate program by the end of the week. Again, I will be posting as soon as that happens.

THanks

Free Financial Teleseminar

2008-04-15T09:43:00.000-07:00

Just a quick post to let everyone know that I will be doing a free intro teleseminar "The Power of Prosperity" on Thursday, April 17, from 4 - 5:15pm Pacific. You can register by clicking:

The Power of Prosperity

It is an excellent intro to the work we do at Abundance Bound, and gives some great financial tips and tricks that actors and artists can put to work right away. We also record the call, and distribute it to the participants via email, so even if you cannot make it live, you can still benefit from it at your convenience!

I would encourage any and everyone to register, as it is a terrific first step in taking control of you finances, and therefore your artistic and acting careers.

See (hear) you then.

Investing for Actors and Artists

2008-04-14T14:21:00.000-07:00

Adam (my husband & Abundance Bound partner) was doing a a teleclass on investing this weekend for our Bootcamp students, and he made a couple of points that I think are particularly relevant in the current climate.

We are entering / in a recession (or "slight economic downturn". depending on who is speaking...) and, despite what most people will say, now is EXACTLY the right time to be learning about money. Learn how to handle it when you don't have much, and you won't be used as a cautionary tale 10 years from now when you've had it, blown it, and are now back to square one.
Be looking for foreclosures / re-possessions that you could take advantage of with 2 or 3 other people. If you are OK with having room-mates for a couple of years, are there people you trust you could split down payment and mortgage with, so that you could get in to a place in the next year or so, live there while the property appreciates, then sell in 3 - 5 years time at a nice profit? (We have had students do this successfully - it is very doable with a little focus).
Learn to invest! Warren Buffet had a rule - "Be scared when others are greedy, and greedy when others are scared". Everyone's is scared right now, so we should all be looking for opportunities.

Just a couple of thoughts on a Monday afternoon.

Have a great week!

Making Tomorrow A Better Today pt 2

2008-04-11T08:23:00.000-07:00

Carrying on from where we left of in yesterday's post, and continuing the idea that John Maxwell had when he said:

"The secret of your success is found in your daily routine"

That is a powerful statement, and has a huge application in both business and personal lives - not to mention our artistic careers and financial prospects...

The same is true in your finances. If I am struggling with debt, what can I do to get out from under it? Can I call the credit card companies and beg for a break? Can I tear up my bills, move, and hope they won’t find me? You certainly could, but it wouldn’t be recommended. Instead, wouldn’t it be better to make more money, shave some money off your expenses, pay a little less in taxes, put a solid debt plan in place, and move forward freely than constantly worrying about how you were going to handle those student loans? Again, what expenses can I track today that can be used as tax deductions? How can a work a bit more today to make that bit of extra money I need to cover those expenses? How can I alter my spending habits today so that I have to worry less tomorrow? (For assistance with this, please email us at info@abundancebound.com with the title “Chart of Expenses”, and we will send you a very detailed excel file to help break down your income and expenses, and identify where you could trim, what you need to improve etc).

By now you get the picture. Oscar Wylde said “every action of the common day makes or unmakes character”, and, beyond that, everything you do today effects where you will be tomorrow.

There are two kinds of pain in this arena: the pain of discipline, and the pain of regret. Now, especially when it comes to our finances, we can play now and pay later, or we can pay now and play later. The problem is, payment compounds, and increases with time and missed opportunities. So if you suffer the pain of paying now – of discipline, of doing the things you need to do long after the mood in which you said them in has gone, of paying attention to your actions today – you will get to play a lot longer in the end.

All of this is a process. No-one expects people to flick a switch and suddenly have amazing organizational skills, perfect credit and financial savvy. Just like getting fit takes time, so does this. The important thing is that, as you take your financial journey, you are not alone. Abundance Bound is there to help you any way we can, and we very much look forward to the opportunity of doing so.

Power Packed Pancakes...

2008-04-10T14:57:00.000-07:00

On a totally side note, my husband has started a blog in preparation for writing a short book called "Power Packed Pancakes For Kids"... about the rise and fall of the British Empire.

OK, not really, but he is the cook of the house, and invents dishes all the time. The Power Packed Pancake was something he came up with for our daughter.

Check it out when you have a second by clicking below Power Packed Pancakes.

Thanks

Making Tomorrow A Better Today

2008-04-10T09:37:00.000-07:00

How do we define success? And, more importantly, what does it take to achieve it? For actors, those answers might be “Being a series regular on a night-time drama” and “Consistently honing my craft and auditioning regularly”. For a photographer, they might be “Shooting a cover for National Geographic” (or Cosmopolitan, depending on preference), and “Constantly shooting in different conditions to increase my skill”. It will differ from person to person, and from art form to art form, but I want to give you one key to what it takes that applies across the board, be it art, business, finance or sport:

“The secret to you success is determined by your daily agenda… by the daily decisions I make, and the daily disciplines I practice” – Dr John C. Maxwell

I heard that statement in a lesson a few years ago, and it is something that has always stuck with me, because I fundamentally believe that it is true. Another way of saying it is that, if what and where I am today is a direct result of my previous actions, what I am tomorrow depends on what I do today. The problem is, most people underestimate what they can do today, and over estimate what they can do tomorrow.

Now, if you think about this for a minute, you will see how true it is. You constantly hear “I’ll do it tomorrow”. I know I say that, and then, when it doesn’t happen tomorrow, it becomes “the next day”… then the next… then the next, until either we hit a crisis and do it at the expense of something else, or we just never quite get around to it.

Taking acting as an example: how can you book any jobs if you don’t audition? And how can you audition if casting directors aren’t seeing your headshot? And how are they seeing your headshot unless it is being put in front of them? So how many submissions are you or your agent making today? How many workshops are you attending today? What networking are you doing today? What are you doing today to hone your skill so that, when the opportunity arises, you perform to the best of your abilities? But maybe making that phone call to an agent is uncomfortable, so you put it of to tomorrow, and traffic is really bad tonight, so that networking event can wait… you get the picture.

To be continued...

Tax Tips for Actors & Artists

2008-04-09T08:40:00.000-07:00

One thing with all this talk of taxes. One small, crucial thing.

Please remember, what everyone is interested in is tax avoidance, not tax evasion.

Claiming aggressively, using all the deductions you can etc is great - go for it (preferably under the guidance of a tax professional). This is tax avoidance, and is the game every good accountant is playing for you. If the IRS audits you, and has a different opinion as to what you should have deducted, then you have to pay some back taxes, some interest, and you are sent on your way with a slap on the wrist. Annoying? Absolutely. Criminal? No.

HOWEVER, not reporting income, hiding money etc falls in the tax evasion category... and even minor infractions here can get you in serious trouble (fines, criminal charges and so on). So please, avoidance not evasion should be the mantra when going through the tax process.

A great book on the subject is by Sandy Botkin, and is called How To Lower Your Taxes Big Time. Hardly a light and fluffy read, but a really good one for those interested in lowering their tax burden.

Postage Hike - Acting Submissions

2008-04-08T11:17:00.000-07:00

Something for all actors to be aware of - you don't want your submissions to not reach their destination because of this!

Postage Hike May 12, 2008 - Los Angeles Acting blog by David August

Actor's Tax Season - more!

2008-04-08T11:00:00.000-07:00

The second part of the piece Tax Season Starts When?. Also a link to TAE with a great article from the Actors Tax Prep guys. It sends up all sorts of red flags when actors et al deduct clothing, movie tickets, manicures etc, because, with certain exceptions, we are not allowed to do it!

Anyway, soon taxes will be a thing of the past for a while, but I really want to emphasize the need for everyone to be working all year to keep things in order. That way you get to keep more money,and avoid the headaches of audits and so on.

Tax Season Starts When? (part 2)

Become familiar with the tax system and how you can maximize your return. One way is by starting a home-based business. You can earn money and with the deductions you will have, such as a portion of your rent/mortgage and your utilities, you will be able to keep more of that money in your pocket. You can even write off your losses against other sources of income. The best thing to do is hire a tax professional to handle your taxes, someone who will be able to maximize the amount of money you can save. Remember, you have to spend money to make money. There are, for example, accountants that focus on preparing tax returns for actors and/or other entertainment industry professionals. An accountant that specializes in filing returns in your area of expertise may be your best choice.

Finally, there is an avenue that is available to explore, yet is something you may not be aware of, may not have considered, or simply may not believe is even possible. This are tax advantage investments, such as retirement plans, self-directed IRAs, and real estate. I know you may be thinking this is crazy, you hardly make enough money or you don’t know anything about investing, but if you take it one step at a time and do your homework, there are ways that you can actually have your money start working for you.

The key is to know your options, be organized, and conduct yourself in a professional manner. A very helpful resource to understand taxes better is the book Lower Your Taxes – Big Time! Wealth-Building, Tax Reduction Secrets from an IRS Insider by Sandy Botkin, CPA, Esq. You will find valuable tips and rules explained in a way that completely non technical people can understand. The chapter entitled “How to Shield Yourself from the IRS Weapon of Classifying a Business as a Hobby” is absolutely critical and will pay you back for the cost of the book many times over.

Whatever you do, do not leave your tax preparation until mere weeks before your return is due to be filed. This will cause you an un-necessary amount of stress and may cause trouble for you with the IRS if you do not have your documents in order. It may also cost you money you can’t afford to pay.

The Actors' Enterprise: Blog and News<br>: Actor Tax Myths

Tax Season Starts When?

2008-04-07T08:55:00.000-07:00

You have just filed your taxes and you breathe that sigh of relief. It’s over for another year. Or is it? The answer is NO, or at least it should be, because tax season is just about to begin. That’s right. The organization it takes to make the most of your taxes begins now.

As artists it is essential to understand that regardless of your current income, if you actually intend to make money from your craft, there are ways in which you must treat it like a business. There are two critical concepts you must become familiar with to be fully prepared to do your tax return. Without them, you are not running a business – you are engaged in a hobby – and should never expect that hobby to be financially profitable. The first is you MUST be organized. Organization means being sure you have all the documentation you need and that you have a place for everything and have everything in its place. You might find that a computer-based program, such as Quicken or Quickbooks, is the answer to keeping all your records in order. If you are more comfortable with paper then be sure to get a paper organizer that is efficient and easy to use. Actors have an enormous resource in a company called Holdon Log. They provide both computer programs and carefully designed log books that allow actors to record everything from auditions and callbacks to expenses related to creating and maintaining your professional image. Find tools that work for you and USE THEM throughout the year to keep the records you need to efficiently and effectively file your taxes.

The second important concept is to keep your business finances separate from your personal finances. Have one bank account for each business you have and use this account to pay all your business expenses. This is a professional way to conduct your business affairs and it is a good way to keep your records in order. Again, remember that your acting, photography, writing, or any other creative career is a business and should be run out of a separate bank account. If you do not have funds in your business account then loan your business some money and keep careful track. The business can pay you back when times are better and in the end you will know that your business paid its own way.

Why Financial Education Should Matter To Everyone

2008-04-04T10:50:00.000-07:00

I was reminded of the phrase "broke at a higher level" last night talking to a writer friend of mine who has been hit hard by the writer's strike and its aftermath.

What it simply means is that just because someone is making lot of money does not necessarily mean they are in a stable financial position. They might have a bigger house, a nicer car, travel more - lots of things that we may want - but they are still in the position of having to work day in and day out for it all. If work suddenly dries up for them - as it can in any profession - they are stuck, because they need to make their forty thousand a month just as certainly as we need to make our four thousand to survive.

We see this constantly in the film industry. Actors will have one successful show, but then may not work again for a long time, or only pick up bits and pieces of work here and there. If their lifestyles have been built on spending all of the money they earned while the show was running, they are stuck. The same happens with writers, directors, producers... all it takes for most people to become financially unglued is a month or two out of work, wether you earn thousands or tens of thousands.

How different could it have been if they had really learnt about money before they had a lot? If they kept their lifestyles the same for a couple of years, and socked away enough money to live on for the rest of their lives? If they knew how to control spending, invest, structure themselves properly... In the same way that 80% of lottery winners are bankrupt within three years because they never learnt how to handle money, so actors, artists, writers etc who suddenly start making a killing hit the same problem.

That is why learning about money is so important. How to handle it, how to make it grow, what to do with it so we can live on it forever... these are things everyone needs to know, but we as artists, with our fluctuating income, need it more than most.

What Financial Freedom Really Means (2)

2008-04-01T22:51:00.000-07:00

I want to carry on where our previous article on Financial Freedom left off. For those new to the topic, please see our entry below, but the fundamental concept of financial freedom is:

Having a passive income greater than your living expenses.

The question, of course, then becomes "so how does one achieve this?"

First, for clarification, we need to review passive income briefly. Passive income is money that comes to us whether we work or not. It can (and should) come from a number of sources, but some of the most common ways of earning it are: rental income from real estate you own, dividends from stocks, insurance, network marketing, and interest on loans you make (there are many other ways, of course, but that covers what most people can go out and actually do). The opposite of passive income is active income, and is where you get paid for the work you do, either as an hourly wage or a salary. The problem is, and this applies whether you are making minimum wage or $500 per hour, if you have to work for all your money, then the moment you stop working, you stop getting paid. You want to take a month off? Your yearly income just dropped by 1/12. Three months off? It just dropped by ¼. Not pretty.

Passive income, however, keeps coming in whether you are punching a clock or on a beach in Belize. For those of you who currently rent, do you know where your landlord is every month? Probably not. But you still pay your rent by the 5^th of each month, right? It doesn’t matter if he is sweeping the corridors or sipping a cocktail, that money is coming into his bank account every single month. And not just from you, but from the tenants in all the other properties he owns as well.

SO, how do we make this work for you? First, you need to email us at mailto:info@abundancebound.com, with “Chart of Accounts” in the tag line, so that we can send you an excel spreadsheet that will help you work out where your money is going each month, and how much you need to cover your bills. This will give you a current “snapshot” of your financial situation, and will include rent/mortgage, groceries, utilities, artistic expenses etc.

From this you will have a number, let us say $4,000 per month, that you need to earn to keep your head above water. This amount would become your first passive income goal, because the second that you are earning $4,001 per month, you are able to live, indefinitely, at that standard of living, for the rest of your life.

The question then becomes how to reach that goal, and develop that level of passive income. That is where financial education comes in, and to answer that, let us look at the list we started earlier. The first item was rental real estate, and let’s say that this was what you decided to focus on. If you do your research around different rental markets in the country, it becomes entirely possible to find properties for sale at a reasonable price that will generate $200 per month in positive cash-flow (money left after all taxes, mortgage etc has been paid). So you purchase one of these (with money from your wealth account), and now add $200 per month to the acceleration of your “wealth cycle”. Four more properties like this, and you are ¼ of the way there. Then you start to look at dividend paying stocks, and some Oil & Gas, and maybe a business or two…

Does it start to make sense? I hope so, because I remember my own sense of shock and excitement when I realized that the goal of all my financial dreaming was something tangible and obtainable: I just hadn’t realized what it was. Because this really is the financial goal of life: get your passive income above your expenses. Some people wait to do it until they are retired, and pensions and things of that sort kick in. Most never achieve it, and either work some kind of job or rely on somebody’s charity, until they die. But with some education, some planning, and a little courage, we can all have it three to five years from now. Five years time is coming, whether you get into action on any of this or not. The question is, will you still be in the same place, doing the same thing? Or will you greet five years from now on the beach, drinking champagne, knowing that everything is paid for whether you go home next week or next month. And, more importantly, free to pursue your acting career as and how you choose?

The choice is yours. What I hope we made clear in this article is what that choice is.

Financial Consistency - Pay Yourself First

2008-03-31T18:44:00.001-07:00

Paying yourself first is a concept that many have heard about, but few know what it actually means, let alone apply it in their lives. What it comes down to is this:

Every month, put aside a set percentage of your income into a high yield savings account - your "wealth account".

And do this before you do / pay for anything else. If you make it automatic, then you will not even miss the money. But what it does is build up a head of cash that will allow you to start investing. And that is what you do with the money that builds up in your wealth account - you use it to buy assets, namely things that either bring in money, are appreciate in value. It is not there as a rainy day account, or a buy something fun as a reward account, or anything else. You use it to fund your investments, and you use the time it takes to build up to learn about what to invest in (we will cover this in another post, or check out the investment portion of Monthly Money Management For Actors).

So there you have it. Paying yourself first is the fundamental building block of every financially successful person - something without which no - and I mean no one - can build wealth, let alone the stability that we all need as actors and artists.

Do you already do this? If you do, what lead you to it? If not, what are your thoughts on the concept? Please comment here, and I will do my best to answer your questions promptly.

Have a fabulous week.

Financial Pipeline Or Hauling Buckets?

2008-03-27T12:42:00.000-07:00

There is a great story in Robert Kiyosaki’s “Cashflow Quadrant” (a must read book) that goes like this:

A village in Africa needed water, so they gave 2 people, Bill and Ed, the contract to supply it, reasoning that the competition would keep prices reasonable and the service good. Bill immediately ran out, bought to buckets, and started making the trek to and from the lake, which was a mile away. He started making money immediately, which was great, especially as Ed disappeared from the village. The downside was that he had to get up before everybody else to make sure that the village had the water, and his work was very tiring, as he spent his whole day carrying buckets of water.

Several months later, Ed returned with a construction crew, and built a stainless steel pipe from the lake to the village. Once it was ready, he announced that he would charge 75% less for his water than Bill, that his water would be cleaner than Bill’s, because it would be covered the whole way, and that it would run 24/7, unlike Bill’s, because Bill didn’t work on weekends.

When Bill saw everybody run to the new faucet at the end of Ed’s pipeline, he dropped his prices by 75%, bought covers for his buckets, and employed his sons to work night and weekend shifts. Once his sons had left for college (and inexplicably never returned), he had to hire more workers to cover their costs, and spent his days dealing with accounting and labor issues.

Ed saw the success of his pipeline in this village, and went on to build them in several other villages as well, earning only pennies on every bucket delivered, but delivering millions of buckets a day. He oversees his business from a beach in Hawaii, as the water flows whether he is working or not. The End.

The moral of the story is obvious: don’t spend your days working for money when you could be designing systems to have money flowing to, and working for, you.

The problem, of course, is that we all need money now. We need to pay the rent, put food on the table, and gas in the car. It takes time to develop financial plans, find investors, and put a deal together. So what are we supposed to do if we don’t have the capital to live off while we create and build this business, whatever it may be?

The answer is that we have to be building the pipeline while hauling buckets, as hard as that may be. What that translates to is building some kind of business (outside of our artistic career) that will eventually support us in our artistic endevours, while working the jobs that many of us pursue to survive. Yes, this means that you will be working a little bit harder now, but one of the secrets of wealthy people is that they do work now that will pay them next month and next year, as opposed to only next week.

So what to do? The place to start is financial education. Learn about businesses, about investing, about tax structure and so on. Take the time to plan your financial progress, instead of being driven by it. Dedicate a few hours a week to this process, and then, once you have made a decision as to what you are going to pursue, focus that same time on that. By doing this you will ensure that you will have, in the longer run, the time and energy to truly pursue the things that matter most. If you choose not to do it, chances are that, in fifteen, twenty, twenty-five years, you will still be hauling the same buckets you are today.

What ideas do you have about other business? What things could you be building in your spare time that could bring in steady - and even job replacing - income down the road. Please leave your ideas here, as I would love the chance to brainstorm with you.

Persistence - Chicago Acting blog by David Lawrence

2008-03-25T21:40:00.000-07:00

I came across this, and rather liked it. Persistence is so important in this game, I feel we should be reminded of it every now and then.

Another way it has been said is:

"Persistence is the dynamic aspect of commitment" - George Zalucki

If we are truly committed to our careers as actors, we will persist until we succeed.

Persistence - Chicago Acting blog by David Lawrence

The Actors' Enterprise: Blog and News: Taxes/Deductions for Actors

2008-03-24T10:39:00.000-07:00

Great article on taxes. I know we are all thinking about them, probably with a distinct unease, so apply some o this stuff over the coming year, and be in a different place in 2009!

The Actors' Enterprise: Blog and News<br>: Taxes/Deductions for Actors

Tax Tip For Actors & Artists

2008-03-24T10:16:00.000-07:00

Set up your accounts properly! Most people are co-mingled financially, meaning that they run their entire lives out of a personal checking account. That is fine, except that many actors and artists are taking tax deductions on what they legitimately spend to pursue their craft - they are taking "business" deductions. Again, great... except that their acting career looks nothing like a business to the IRS!

Think about it. Real business' have separate bank accounts, paperwork, income statements... the list goes on. Whereas, having everything piled into one account makes your acting career look more like a hobby... and hobby expenses are not tax deductible!

So the IRS looks at your accounts, determine that what you are spending on your art is not tax deductible, and presents you with a bill. Then, for good measure, they go back and look at the SEVEN PREVIOUS YEARS as well... and, oh look, you've taken the same deductions... that are now re-classified as hobby deductions... so now you owe back taxes and interest.

Ouch.

To avoid this, set up a business checking account by forming a DBA (Doing Business As) for your acting or artistic career. LegalZoom makes this very easy, and quite cheap. Then you pay all your acting bills out of your business account, any money you earn as an artist goes into that account, and you top it up from your other earnings, if you need to, by loaning your DBA money.

Yes, it is an extra step, but do you really want to risk paying seven years of back taxes for an extra few minutes a week? We actually had this happen to a student (before we started working with him), and he ended up owing several thousand dollars... not a happy day!

So get it done, and take the time to do it properly. If you have any questions, comments or concerns, please post here - I will be happy to address them. We also have a bunch of other resources, including free CD downloads etc, on our website www.abundancebound.com.

Tax Deduction Tip For Actors & Artists

2008-03-23T11:07:00.000-07:00

Assign a specific credit card to your artistic career - even if it is a personal one - and NEVER use it for personal stuff. Interest on business loans is tax deductible, interest on personal loans is not. Having even one personal expense on there blows this loophole, so be careful. Over the year you should be keeping all your credit card statement. Then, at tax time, go back through them, add up all the interest you have paid, drop it into the right place on your tax forms... and viola, an extra few hundred (or maybe more) back to you.

This obviously applies equally to any expenses any actor, artist, musician incurs in the course of pursuing their art, from photo paper, to sketch books, to instruments, to acting classes... you get the idea.

There are also some nice tax tips specifically for actors that can be seen by clicking here.

Was this useful? Had you heard this somewhere else before? Please leave any comments or thoughts you have!

Happy Easter!

What Financial Freedom Really Means (1)

2008-03-21T12:51:00.000-07:00

The concept of "Financial Freedom" is, understandably, a popular one. But what does it actually mean? The answer is simple, but truly understanding it will change your financial focus.

Everyone dreams of financial freedom. It doesn’t matter if you are waiting tables at Chillis’, the CEO of a large company, or a stay-at-home Mum, the illusive concept of financial freedom calls to us. We want more time and more money, so that we can spend some of that doing things we want to do as opposed to what we have to do.

But, generally speaking, that is where we stop. At the “Wouldn’t it be nice if…” stage. We never really bother to think about how we could achieve freedom in our life. What this would look like. How things would be different. Let alone the fact that, due to a crumbling social security system, financial freedom is something we need to achieve. Not want. Not dream of. Need to.

But that still doesn’t answer the question of what do people actually mean when they refer to “Financial Freedom”. People have this vague concept of it being about “money in the bank” (as I did), or earning much more than they are spending. In truth, it has nothing to do with either of these things (although the first answer at least moves you in the correct direction). No, the real definition of financial freedom is this:

Having enough passive income to cover all your living expenses indefinitely.

That’s it. Nice and short. That is (or should be) the is the purpose of all financial strategies. Every time you make a financial decision, in the background should be a little voice whispering “Does this increase my passive income?” Now sometimes that answer may be no, and for good reason, but the question needs to be asked none-the-less. Otherwise, just like any other goal, it will be nearly impossible to hit.

Investing for Actors and Artists

2008-03-19T09:25:00.000-07:00

I am currently reading a book called "Rule Number 1", by Phil Town. It maps out a very simple, specific way for people to start investing with anything from a few hundred to several thousand dollars.

My husband has always dealt with the stock market, as I found it all rather intimidating, so I wanted to find a book that I could recommend to our community, and actually work through it together. I am about 3/4 of the way through, and I think I may have found it!

I will not give details on analysis etc yet, until I have finished the whole thing, but I have always felt that learning about and starting to invest was crucial for everyone, but especially actors and artists. The problem has been the intimidation factor, as I mention above, so I am excited to have found something accessible and understandable to all.

In vesting is something we always cover with regards to peoples acting career, and we dealwith it specifically in one section of our Artists' Prosperity Bootcamp.

As I learn, I will pass it along.

To your prosperity.

Miata

Monthly Money Management For Actors!

2008-03-17T11:59:00.000-07:00

I am very excited to announce the launch of a brand new Abundance Bound program MONTHLY MONEY MANAGEMENT FOR ACTORS. In this special, ongoing program, we will be sending out two CD downloads a month dealing with particular topics of personal finance as it relates to a career in the arts, along with worksheets detailing specific action items, and the ability to ask questions (these will be answered in one of the sessions.)

Our drive is to bridge the gap between what people learn in acting schools vs what they need to establish a successful and long term acting career.

So check out Monthly Money Management For Actors, and take a strong step down the road to financial independence!

Acting Schools to Acting Career - 4 Simple Tips

2008-03-09T18:38:00.000-07:00

Acting Is A Business, Not A Hobby

Being a SAG member for over ten years, I know the stress of starting a New Year unsure of where my acting career will take me. Here are four ideas not taught in acting schools to help you move forward into 2008 better financially organized.

1. Set up a business account for your acting career and separate out your acting expenses from your personal ones. This protects them from being categorized as “hobby” expenses by the IRS, which are not deductible. (http://www.legalzoom.com can help with a DBA – Doing Business As).

2. Assign a credit card exclusively to your acting career. Business interest is tax deductible, personal interest is not.

3. Start paying into a high interest “wealth account”, even if it is only $25-$50 per month. http://www.ingdirect.com has some of the best rates.

4. Develop a step-by-step plan to improve your financial education & situation, giving you more energy to focus on your acting career. Visit http://www.abundancebound.com for free tips and resources.