How do singers manage their finances?
Singers are among the highest earners. They go to shows, perform for a few hours and money get into their pockets. You can just imagine how much money the musicians have earned. As it is popularly said, they go smiling to their banks.
But that is one part of their happy life. There is an ugly side of musicians and their money. They can burn all their earnings and languish in poverty just like anyone else. This brings us to money management; which is a subject not only to musicians but all other performing artists.
So, how do singers manage their finances?
If you look around, there are musicians doing so well with their money. Unfortunately, there is always a bunch of them who seem to be on the down side of money despite receiving fat checks.
May be they never learned the good ways to spend and manage their money. For those who know how this is how singers manage their money.
Hiring financial managers
For someone who rises the music ranks and starts to earn millions of dollars, managing their money would become a problem. Many singers opt to find a financial manager to run their accounts and expenditures. These are qualified money experts and know what best way to invest and spend money.
Some opt for family or friends to take care of their bourse but it is important that whoever gets the role is someone trustworthy.
Investing in property
If there is something lucrative, then it is in real estate and this has got the attention of musicians. This is one way to keep their money safe. Such property appreciates with time and could be sold for more than it was bought. It could also be rented to tenants and bring monthly or yearly payments to the musicians.
Saving
This is one easy way musicians manage their money. Those who are serious about the future set aside a certain amount of what they earn for saving reasons. This could be used as a financial cushion when music is not paying at all. But this one is not one of the best ways to manage your money as a musician. Since it is very liquid, there are chances for misspending.
Bringing on board a financial planner
On top of having a financial manager, some musicians will involve a financial planner. This is someone who will take a look at the money coming in and going out and then establish a sustainable plan. Such a plan will ensure that the spending rate is lower than the money coming in. This will create room for saving and investments. Through such planners, some musicians and their families will never have to worry about money for their entire life
As a musician, you should know that money will never keep coming. Your career will reach a plateau, and you will no longer be getting the six figure-fees for your shows. It is important that you take charge of your money. Find a way to invest for the future. If you cannot manage your money, which is the case with many singers, you should find a manager to take the burden off your shoulders.