Now let's dig into the other side of the business so you can set yourself up for success and have a handle on expectations. You will need to have a bank account to receive the payments for the events you've worked. It is up to you to decide if you will use a personal bank account or a business bank account. I, personally, started out using my personal checking account to receive my pay and then after a year of staying in the industry, I opened up a business account. I went to the bank, sat down with a banker, and discussed my situation and they helped me navigate which option would be better for me. It's totally up to you on what you want to do.
Which Bank To Choose?
I chose a bank that has an app that will allow me to see all my transactions, be able to transfer funds through the app, and would allow me to deposit from the app. Working in the promo industry especially being full-time, you will be on the go and it's important to be able to watch your money on the go.
Ways You'll Be Paid
During onboarding with a promo company, you'll be asked for your banking information or tags. Each promo company has its own way of paying you. The most popular is direct deposit. Other methods of getting paid are through services like Paypal, Veem, etc., or even via paper check. NOTE: Paper check is really rare these days. Most companies will pay electronically. It is wise to ask this question up front to make sure you are okay with the way they pay their promo staff plus keep in mind you will have to keep an eye on all of these logins, too.
TIP: On my computer, I keep a folder of bookmarked websites pertaining to promo websites and logins to keep things straight and that works for me.
How Long Does It Take To Get Paid
Again, every promo company is different. What's becoming more common is a payout with 2 to 3 weeks. You'll hear 30 days here and there. And although, there are still companies who pay out in 60 to 90 days, this long of a payout period is outdated. Anything over 90 days is considered unacceptable by many in the industry for a payout. In the digital age, promo companies are meeting the demand for quicker payouts. Believe it or not, 90 days to wait for a payout was a normal thing.
What About Taxes?
Depending on how much money you've earned from each promo company will determine if they send you a tax form for you to use during tax season. You should get these forms before the same deadline you would have received a W2. Keep in mind that not all promo companies add you to their roster as a 1099, some onboard you as a W2 employee. It is up to you to keep track of your total income overall, no matter how many companies you've paid for. Many of those in the industry use finance apps/services such as QuickBooks, or an Excel sheet to keep track of everything.
What About Deductions?
Contact your CPA or tax preparer about everything concerning taxes, deductions, etc.
If you have any other questions, put them in the comments below.
promo-pros, if you want to add anything about headshots that I left out, put it in the comments.
JOIN OUR E-LIST
Comments