×

VOTI - voices of the industry

Financial Management

Navigating those things many of us may not be keen on getting around to…

 

Let’s face it as music creators and artists, taxes, deductions, and other earnings aren’t the most thrilling topics to us, but they’re essential to understand, so we can be fully prepared as we develop our work in the music industry.

 

A ‘Portfolio career’ is a term often used for us music creators and others working in the music industry, as we often have many ‘strings to our bow’.. meaning more than one skill or resource within our professional music work.

 

From performing, to teaching, composing to arranging and musical directing, some people focus on one, and many can even focus on them all. Free-lance / self-employed work underpins the majority of artists and music creators incomes.

 

According to the MU, ‘Only 10% of musicians are full-time salaried employees. Half of musicians have no regular employment whatsoever. The vast majority of musicians (94%) work freelance for all or part of their income’.

 

For those of us focusing on creative output and fundamentally getting work, from sometimes many disparate areas – taxes and self-employment can bring a lot of confusion in our daily lives.

 

We are here to help you; we came up with this short list of websites that have information on how to start:

 

 

Whether you’re just starting in music, or it is your main income, you must pay taxes to HMRC on anything you earn from it. If you’re doing it yourself, it’s good to stay on top of that and do your calculations weekly/monthly to prevent you from spending a week before the tax deadline figuring it all out. 

 

In the UK, earnings below £12,570 are tax-free. If you earn more, we recommend putting on the side 20% of everything you earn to not end up spending it all and then worrying you’re not able to pay your taxes. If you earn more than £50,270 (per year), your tax will go up to 40%.

 

HMRC will calculate how much Income Tax you need to pay based on the following:

  • Any earnings from gigs or concerts
  • Tips or bonuses paid to you by a venue
  • CD, vinyl or online stream sales
  • Merchandise
  • Money earned from busking

 

Make sure you keep all your receipts and invoices in case HMRC ask for it.

 

Here are some quick finance tips from Musicians Union:

 

https://musiciansunion.org.uk/career-development/quick-tips-for-musicians/how-to-get-financed/tips-on-taking-care-of-tax

 

As a self-employed musician you’ll be solely responsible for keeping a record of your earnings. You must also ensure that you pay the correct tax to HMRC based on your income. 

 

There are many useful tools that can help organising your finance. One of them is widely recommended QuickBooks. QuickBooks is a small business accounting software with free award-winning phone support. All you need to do is connect it to your internet banking and you’d be able to access all your transactions in one place. Then you need to choose which ones are your business earnings/expenditure, and QuickBooks will do the calculations for you. You can also upload your receipts and invoices straight to your account and never worry again about losing it!

 

https://quickbooks.intuit.com/uk/

 

WATCH AND LISTEN new music features

ELISA CARTHY & THE RESTITUTION

 
Nov 30, 2022
 

JOYCE SIMS

 
Aug 29, 2022
  The Jazz Cafe

ALEXIS FFRENCH

 
Oct 6, 2022
  Barbican

MULATU ASTATKE

 
Aug 25, 2022
  KOKO

Karl Jenkins – The Armed Man & Shruti Rajasekar – Sarojini (World Premiere)

 
Oct 22, 2022
  St Albans Cathedral and Abbey Church

ELIZA CARTHY & THE RESTITUTION

 
Nov 28, 2022
  The Glee Club Birmingham

BRONWEN LEWIS

 
Apr 9, 2023
  The Glee Club Cardiff

EFTERKLANG

 
Aug 23, 2022
  The Glee Club Birmingham

CHLOE MORIONDO

 
Sep 1, 2022
  The Wardrobe

NEARLY DAN: THE SPIRIT & SOUND OF STEELY DAN

 
Nov 20, 2022
  The Glee Club Nottingham

CHIEF XIAN aTUNDE ADJUAH

 
Sep 13, 2022
  KOKO

SAM BAKER

 
Oct 9, 2022
  The Glee Club Glasgow

CAT BURNS

 
Oct 4, 2022
  KOKO

WILLY MASON

 
Sep 6, 2022
  The Glee Club Birmingham

DAVID LEWIS GEDGE

 
Nov 13, 2022
  The Glee Club Glasgow

MEGAN LINNELL + CASKIE TRIO

 
Aug 18, 2022
  Pizza Express Soho

THE HANDSOME FAMILY

 
Sep 8, 2022
  The Wardrobe

MOONCHILD

 
Oct 1, 2022
  The Wardrobe

EFTERKLANG

 
Aug 23, 2022
  The Glee Club Birmingham

CARWYN ELLIS & RIO 18

 
Sep 4, 2022
  The Jazz Cafe

MC HAMMERSMITH: 1 MAN 8 MILE

 
Sep 25, 2022
  The Glee Club Birmingham

KODALINE

 
Sep 21, 2022
  The Wardrobe

BAD GIRLS GROOVE

 
Aug 19, 2022
  Pizza Express Holborn

DANIEL ALLAIN ‘SAMBA EM 4’

 
Aug 11, 2022
  Pizza Express

HEMPRESS SATIVA

 
Aug 14, 2022
  The Jazz Cafe

ARA MALIKIAN

 
Sep 19, 2022
  Barbican

ISATA-KANNEH MASON

 
Oct 10, 2022
  Barbican

MICA MILLAR

 
Sep 17, 2022
  The Jazz Cafe

JUNGLE BROTHERS

 
Aug 25, 2022
  The Jazz Cafe

ELVANA UNPLUGGED

 
Sep 13, 2022
  The Glee Club Birmingham

JESCA HOOP

 
Dec 6, 2022
  The Glee Club Birmingham

TANK & THE BANGAS

 
Aug 30, 2022
  KOKO

NERINA PALLOT

 
Oct 16, 2022
  The Glee Club Birmingham
Artists Connects Pages
artists
venue
media
What's On
live and streamed
Industry Nuggets
Top Tips
Info you need to know
VOTI
features
Interviews with Heavy Hitters
Watch & Listen
Features
selected music and videos
by creators for creators and their audience - music community at its core