Forward/Return ratios, expenses, etc.

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Paulie
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Re: Forward/Return ratios, expenses, etc.

Post by Paulie » Wed Sep 16, 2015 11:48 pm

Hmm... the numbers game. :)

Last week was my six month anniversary here. But, I started basically from scratch.
  • Taxi Membership: $300
  • Dispatch added a month or so later: $133
  • 136 Submittals: $665 (about 23 per month)
  • 28 forwards (25% average, but last one was July 24)
  • 82 returns (on a bad streak right now, 23 in a row)
  • 26 pending (fingers crossed)
  • Logic Pro X: $200
  • Kontakt Ultimate: $500 plus $249 upgrade from Complete to Ultimate
  • high speed 1TB hard drive $200
  • Zoom Tac-2R interface (used) $250
  • Thunderboldt interface: $225
  • Various sounds/effects for Kontakt: $300
  • Rally Hotel Room Wed-Mon: $710
  • Rally Airfare: $0 (hope to have enough points for a free flight)
  • Rally bar tab: no comment
So that puts me at $2,797, not counting the Macbook Air upgrade that I justified for music use, but still count as personal. :)

Minus the hardware and just looking at Taxi-related expenses, I'm at $1,298. The Rally adds almost a grand after hotel and expenses for the weekend. So let's call it $2,200. Over six months that's $366/month. I could lower my costs if I stopped submitting so often, but this is a game of volume and quality and every submittal is a learning opportunity to improve my quality. It's like the Lotto: You can't win if you don't play. :)

I expect my output to slow down in the next few months due to a new job starting next week. But the raise will help ease my financial burden here, and I recognize that I'm blessed to have a great day job that can enable me to pursue my passion. I hope to have some great numbers in a year or two, I'm targeting financial break-even after 24 months. Not sure if that realistic or not, but it's a goal. And, any revenue I pick up outside of Taxi will be partially due to Taxi because of how Taxi motivates me, and how my new friends here in the forum have taught me so much and enabled me to branch out into other networks and connections locally.

For many of us, music is a passion, a dream, a way of life. I've got friends that dump thousands into their car, or their guitar collection, or their fish tank, or their tools, gardens, gun collection, or their sports tickets and paraphernalia. It's all about doing what you love, and I love making music. So, whatever the cost, it keeps me out of trouble (for the most part) and nourishes my soul. And I'm constantly learning. That's one of the benefits of being a musician: you never finish learning.

Time for bed now. :)
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Re: Forward/Return ratios, expenses, etc.

Post by joyfrost » Thu Sep 17, 2015 1:41 am

Paulie wrote:For many of us, music is a passion, a dream, a way of life. I've got friends that dump thousands into their car, or their guitar collection, or their fish tank, or their tools, gardens, gun collection, or their sports tickets and paraphernalia. It's all about doing what you love, and I love making music. So, whatever the cost, it keeps me out of trouble (for the most part) and nourishes my soul. And I'm constantly learning. That's one of the benefits of being a musician: you never finish learning.
Aww beautiful truth! :lol: I'm still at 0 deals, 0 placements and 0 dollars too but everything i've learned in the last 2.5 years at TAXI has improved my songwriting and producing so much already! I have no doubt that if I continue trying and always stay willing to learn that I'll find success eventually :) It's like Dr Seuss and JK Rowling! They were turned down by publishers over and over but they didn't give up and eventually became some of the most successful writers of all time :) Don't ever lose faith in yourself or your dream!

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Re: Forward/Return ratios, expenses, etc.

Post by mojobone » Thu Sep 17, 2015 3:05 am

How many of you are set up as a business so you can write off your cable bill? The money saved right there could be enough to send you to the Rally, which can also be written off. I wouldn't recommend doing this unless you're close to breaking even, but it can be done. I'm not watching Here Comes Honey Boo-Boo cuz I'm such a huge fan; i'm listening for clues about cues. OK, I've never actually watched Honey Boo-Boo, but I did force myself to watch Toddlers & Tiaras and more than a couple of Dance Moms.
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Re: Forward/Return ratios, expenses, etc.

Post by songmaster » Thu Sep 17, 2015 3:46 am

I hear that drug addicts spend a couple of hundred dollars a day on their habit and except for a short term high, they get nothing out of it. At least our drug is healthy, although just as addictive :)

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Re: Forward/Return ratios, expenses, etc.

Post by Len911 » Thu Sep 17, 2015 7:26 am

Otoh, lol, there is said to be such a thing as "confirmation bias". That once someone invests so much of themselves or their money, they tend to make justification and fail to see the shortcomings of their investment. And if they fail, they say to themselves that they really didn't want that thing anyway.

I suppose my stand is that if you justify something as a learning experience, there are certainly less painful and cheaper ways to learn,lol! I've pretty much concluded that you should do things that are stimulating, thrilling, and give you a zest for life. When something doesn't, quit that and find something that does, or find a way to make it joyous.

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Re: Forward/Return ratios, expenses, etc.

Post by mobster85 » Thu Sep 17, 2015 9:41 am

Peter,
First off I think your Music is awesome. I run everything i do music and entertainment wise as a business under the company name of New Image Productions. This covers a sports show my son and i do,live performances,production work, vocal work and of course music licensing. This allows me to use all of these expenses as legitimate business deductions. Also my Studio space in my home is referred to as my Office and it is also deducted. I started doing this a couple of years ago and it has made a difference on my taxes. It also has helped with my attitude as far as being more positive. I would like to know what a cable Bill expense is Written off under mojo.

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Re: Forward/Return ratios, expenses, etc.

Post by Russell Landwehr » Thu Sep 17, 2015 9:58 am

I hope people bookmark this thread for future reference. Our peers are presenting some awesome PERSPECTIVE here.
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Re: Forward/Return ratios, expenses, etc.

Post by funsongs » Thu Sep 17, 2015 10:01 am

mobster85 wrote: I would like to know what a cable Bill expense is Written off under mojo.
lol... if I may butt-in...
how about as "continuing education"?!

After all, all the folks writing for film & TV are encouraged to listen & watch all the hit stuff out there, in order to be informed about what is selling and getting placements.

Re-runs of Seinfeld may be a little tough to justify... but hey.... :P
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Re: Forward/Return ratios, expenses, etc.

Post by PeterD » Thu Sep 17, 2015 2:25 pm

Thanks Owen. It’s a constant emotional tug-of-war, which I know you understand … ;)

Kolstad/Mojobone/Len:
I understand that there’s an amount of luck involved in this biz. That’s what I meant by the lottery reference. I also understand one has to keep chipping away and not get discouraged. I’ve done quite a bit of chipping and only when I’m feeling bad about it will I bitch. Obviously if there was even a tiny amount of Taxi-related income, much of this vent wouldn’t even be mentioned. Even at a casino, people win an occasional hand. I’m yet to win that hand … :? :)

Thanks Gavin. Now I need some income to use those expenses on … :)

Jonnybutter: I’m definitely grateful for the learning experience. :)

Paulie: This is only Taxi. I haven’t included any of the other pay-to-submit sites, gear upgrades, personal promotion, digital distribution expenses, and countless hours dedicated to earning something. That said, maybe multiply my investment by 2 or so. :lol: As with you, I’m no one without creativity in my life …

Joyfrost/Songmaster: I do agree!! :)

Bob: Thanks, SO MUCH!! :) I really need to start organizing these expenses and using them – even if there’s a loss.

Russ: I was torn about even posting this, but “the wrong question is the one that’s not asked”, right? ;) I’m happy so many have contributed.

Maybe these past 6+ years only represent 2 of my 5-year plan? That said, it's really a 20 year plan ... :?
Last edited by PeterD on Thu Sep 17, 2015 10:28 pm, edited 1 time in total.
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Re: Forward/Return ratios, expenses, etc.

Post by BenChurch » Thu Sep 17, 2015 2:56 pm

This is fascinating to read. It does rather mirror my own fears for the future so it's interesting to read everyone's perspective on it. I feel I can't really comment as by comparison I've hardly participated in the full Taxi experience yet since I've joined through being away a LOT. That said, I'm trying to approach music as businesslike as I can without compromising creativity. As you say you've got a 20 year plan that's inevitably just a small part of the investment you're going to make. There's nothing I can really add other than what's already been said - focus on what's already worked, research what hasn't to find out why and don't give up. I've been reading round and meeting a lot of new people recently and many if not all of the most successful songwriters seem to have stories of being on the verge of packing it in and being glad they didn't. It does make you wonder, though - how many actually do pack it in? I suspect a lot. Surely this simply can't be self-sustaining for everyone that wants to do it?

Thank you for an interesting post that plays so close to my heart!
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