Here’s a hot tip for new freelancers. Let’s say you make a bunch of money freelancing. Maybe enough to pay a few months rent over the course of a year. That isn’t a lot, but it is nothing to laugh at either at this stage in your life. Here’s what you do. When you get those check, put $755 of the first one plus 15% of that one and all future checks in an account and forget about it until tax time.

Something magic will happen.

That magic thing will be apparent the moment after you do your taxes and see how much you owe the government. You won’t have a total freakout like SOMEBODY did.

In a totally unrelated note, I had a bad night.

In case you actually are a new freelancer, my numbers up there are assuming you aren’t pulling in a lot of dough. Check your tax schedules if you think you’re pulling in some major change, and think about quarterly taxes. Personally I’d rather just bank what I owe and earn interest for the year I can hold the government’s money.

»