Yes to speaking candidly about money with fellow artists!! Thanks for this info and that encouragement 💕
Technical question: Have you been listing your pre-commission earnings as income? I wonder whether a lot of authors are just listing the post-commission amount as income, since that’s what comes in from the agency (and what feels like a “paycheck”)? That could start a whole other tirade about self-employment mindset — but tl;dr listing the post-commission amount would have the same effect on taxes as deducting commissions. (Also NOT an accountant; just a curious money nerd :)
Hi! Sorry to be randomly popping in here after two+ years but I found this when thinking about this exact q. So when we're talking about book income and literary agency fees, you're listing post-commission $ as your income (subtracting the commission from the 1099 that comes from the agency) AND deducting the commission? Or just the former? Thanks!
If only my agent had actually sold my book... 🤦♀️ 😢 I’m pissed in general that the IRS says my writing is just a hobby because I don’t make enough money to declare it work... like how dare they belittle my efforts that way. Lol but not lol.
I am absolutely not a tax expert but I wonder if you enrolled in a year long course or something-- even something online-- wouldn't you be considered a student of literature and then the writing would be tax deductible? A question for an accountant for sure. Also, the IRS knows how little most writers are making!
Ive talked to my accountant a ton about this. In the student scenario, you would be able to deduct the course and the course’s textbooks, but no other related materials.
It’s probably financially smarter for most writers to give books away for free on Substack or Wattpad than to self publish on Amazon and incur the costs of physical book production and marketing, which you likely won’t make back. My friend says it’s like she’s paying 2k to every person who reads her book if she really does the math... but I like having physical books so I incur the “hobby” penalty costs.
What makes me mad is that I still have to pay taxes on my meager “hobby” earnings...
Hi, Courtney! After searching this site, I'm not sure where else to pose this question, so thanks for any grace of me doing so here. I attended your recent (wonderful!) query writing class with WLT, but had to do so via the recording. In it, you mention that attendees could post pitches and queries to your substack for possible review. Can you share more about how I might do that? Thank you so much!
Absolutely! Send your pitch and your query in the same email to thequerydoula (at) gmail (dot) com
If I decide to use it as an example in a future "Friday Office Hours," I will get in touch. I have a lot of other posts lined up so if you don't hear from me, that doesn't meant that it isn't good or anything, it's just that I have a lot of other material lined up. Thanks for being a subscriber and for being at WLT!
Yes to speaking candidly about money with fellow artists!! Thanks for this info and that encouragement 💕
Technical question: Have you been listing your pre-commission earnings as income? I wonder whether a lot of authors are just listing the post-commission amount as income, since that’s what comes in from the agency (and what feels like a “paycheck”)? That could start a whole other tirade about self-employment mindset — but tl;dr listing the post-commission amount would have the same effect on taxes as deducting commissions. (Also NOT an accountant; just a curious money nerd :)
I've been listing post commission!
Hi! Sorry to be randomly popping in here after two+ years but I found this when thinking about this exact q. So when we're talking about book income and literary agency fees, you're listing post-commission $ as your income (subtracting the commission from the 1099 that comes from the agency) AND deducting the commission? Or just the former? Thanks!
As I’m not an accountant, it’s better for you to be advised by someone who is!
Will absolutely ask mine but a little worried he won't know, so just curious after seeing your answer above!
If only my agent had actually sold my book... 🤦♀️ 😢 I’m pissed in general that the IRS says my writing is just a hobby because I don’t make enough money to declare it work... like how dare they belittle my efforts that way. Lol but not lol.
I am absolutely not a tax expert but I wonder if you enrolled in a year long course or something-- even something online-- wouldn't you be considered a student of literature and then the writing would be tax deductible? A question for an accountant for sure. Also, the IRS knows how little most writers are making!
Ive talked to my accountant a ton about this. In the student scenario, you would be able to deduct the course and the course’s textbooks, but no other related materials.
It’s probably financially smarter for most writers to give books away for free on Substack or Wattpad than to self publish on Amazon and incur the costs of physical book production and marketing, which you likely won’t make back. My friend says it’s like she’s paying 2k to every person who reads her book if she really does the math... but I like having physical books so I incur the “hobby” penalty costs.
What makes me mad is that I still have to pay taxes on my meager “hobby” earnings...
This is incredibly insightful!!
WHAT.
RIGHT?? Good. I'm not alone.
Hi, Courtney! After searching this site, I'm not sure where else to pose this question, so thanks for any grace of me doing so here. I attended your recent (wonderful!) query writing class with WLT, but had to do so via the recording. In it, you mention that attendees could post pitches and queries to your substack for possible review. Can you share more about how I might do that? Thank you so much!
Absolutely! Send your pitch and your query in the same email to thequerydoula (at) gmail (dot) com
If I decide to use it as an example in a future "Friday Office Hours," I will get in touch. I have a lot of other posts lined up so if you don't hear from me, that doesn't meant that it isn't good or anything, it's just that I have a lot of other material lined up. Thanks for being a subscriber and for being at WLT!
Sent! Thank you :)