- Date : 20/06/2019
- Read: 4 mins
Why an artist or musician should seriously consider developing a habit of saving and investment? Here is a list of some of the important arguments in this regard.
Artists and musicians are revered and admired by everyone. If you are an artist or a musician yourself, you will be blessed with loyal fans and looked upon as an inspiration by budding artists and aficionados alike. But this stature doesn’t mean that you will necessarily lead a charmed life. In fact, for every musical superstar, there are thousands whose voice failed to reach the audience. And for every million dollar masterpiece auctioned at Christie’s, there are thousands of sublime works of art gathering dust in the attics and basements of failed artists. In short, nothing is certain if you are making your living in the creative world. It, therefore, leaves us with plenty of reasons why artists and musicians should save and invest for their future.
1. No fixed or consistent income: Musicians can have a regular income with jobs like house performer in a hotel or employee in a music studio, and similarly, a painter may work as a curator in an art gallery or an actor can get to host a regular TV show. However, more often than not the income of creative people are not from a consistent source. For this reason alone, creative individuals should funnel out a portion of their income into saving schemes as and when they come.
2. Tax purposes: If you taste even a moderate level of success, there are chances that you will fall in the tax bracket. With tax-free investments, you can save taxes and increase your savings at the same time. Besides, people who pay you for your creative services may deduct taxes at the time of payment. If you have sufficient tax-free savings and file an income tax return, you will be able to claim a refund for the tax deducted.
3. Seasonal nature: Creative trade can be seasonal and experiences ups and downs, often in a cyclic pattern. The demand for stage musician increase during festive seasons when more “musical nights” are organised. There are distinct off seasons almost everywhere across the entertainment industry. A creative person never completely retires, but a little saving can come handy during such off-seasons.
4. Back-up option: Active involvement in investments can become a reliable substitute for your profession. If you manage to take some time out to trade in stocks, you can evolve in your side profession as an investor. Even your active involvement is not required if you manage to hire the services of a professional firm or consultant.
5. Career progression: Art is an unpredictable profession. Artists hit the peak of their career and then a few years later fade away from the public eye, often for no fault of their own. For example, western popular music saw the eras of domination by genres like rock and roll, disco, punk, heavy metal, grunge and hip-hop. Every time one genre came around and brushed aside the existing one. A craft can become obsolete with time, so, unless you are confident that you can improvise and reinvent, make sure to save for the slow years. Do note that it is not all doom and gloom – your loyal fans will stick around and besides, art forms revive all the time.
6. Finance yourself: With enough savings in your kitty, you can also think of financing yourself. Most artists rely on the finances of producers who decide which artist to work with and in what kind of role or performance. Many times, you may be performing in an act or singing a song that you are not passionate about but only because the producer is paying you well. It is the dream of every artist to work on projects close to their heart. Imagine yourself singing in a wedding band but wanting to be an opera singer instead. With due respect to wedding singers, you can go on to pursue your dream without relying on someone else, if you have the financial strength. With regular savings and astute investments, you may eventually become financially independent and finance your own dream project.
Artists are the shining light of our society and the pillars on which our cultural heritage rests. Any conscious citizen would wish for the well-being and financial affluence of the creative talents in the society. As we approach World Music Day on the 21st of June, let us hope that artists on their part manage to develop more saving propensity and achieve financial independence. Want a career in music? Here's how much it can cost.