I’ve been doing freelance design work (logos, flyers, brochures, corporate identity, etc.) for a few months now. I’m wondering if this is a worthwhile time investment as an extracurricular.
I started this out as fun project because I’ve always loved graphic design- I was a design volunteer at a nonprofit and being mentored with that volunteer work and then thought I’d make a little money doing it after taking online classes and reading books on design.
It’s now started to pick up and I’m now getting orders every other day or so. Generally they are $15 - $50 each. Right now, I’d estimate that I spend around 10-12 hours per week on designing including educational projects. I’m closing down for new orders with finals but going to start back up in the summer.
So, I’m wondering- does this even have any weight as an EC or professional skill? Or should I keep this down to under 2-3 hours per week if it’s not really benefiting me long-term at all. Of course I really love it and can keep it as a hobby. I personally feel like I’m learning useful skills - interpersonal skills, organization, etc. but don’t want to waste time on something that looks flimsy as an EC.
I’m a sophomore by the way- so wanting to know if I should continue this.
Sure, I think it is fine. Try to keep some metrics on your work – # of orders, ant that are particularly large or prominent. Be sure you understand the tax implications of your budding business.
@intparent, thank you for that advice. I’ve started a spreadsheet with all the details about each order. I am hoping to build up a portfolio and then be able to submit that for bigger projects when I have more experience. Good point about the taxes. I’ll be sure to check about the thresholds.
All your income is reportable now. Whether you have to file or not depends on the amount. There are some questions that might need to be considered about whether to incorporate, etc. I think that is the topic of another thread, you might consider starting one over in the Parent Cafe (under Parent Forum) to get advice on what to consider. I am pretty sure we’ve had some parents whose kids have started small businesses and may have some useful advice. I think this is a good EC – it shows some independence and initiative.
As your business grows, you do need to pay attention to your record keeping. Several freelancers I know realy like Quickbooks but there are other software programs, and paper records are fine too.
Freelance over $400 is reportable as self-employment income. You will owe self-employment taxes on that. Depending on your total income, you may owe federal/state/local income tax as well.
@happymomof1, I’ll definitely check out Quickbooks, everything is in a spreadsheet for now so hopefully I can import that. Thank you for making me aware of this, I’ll discuss this with my parents. Is the $400 per year and filed annually?
By the way, I’m not looking to go into graphic design as a career. I’m more interested in law and advocacy or journalism. That’s why I wasn’t sure if this made me look “well-rounded” or was too far from my other interests (in which I have more relevant EC’s). Would I even put this in my EC section?
Colleges don’t expect you to be all about ECs in your major. They want to see that you’ve focused on more than your studies and accomplished something in whatever you choose. I absolutely would put it in your EC list. Interested & interesting – this beats almost any school club, for example, on that front. Someone who shows initiative and strikes out on their own in some way is preferable to someone who treads the same well worn path as everyone else.
@intparent, Thank you so much for all of your advice. I wholeheartedly agree; I have gotten so many professional skills that no textbook could have taught me.
$400 per year. You pay estimated self employment taxes along with your estimated income taxes on a quartetly basis once you get a notion of how much everything is likely to be, but given this is your first year with this income, you probably are OK with waiting until it is time to file your tax return next spring.
As your business grows, it probably will be worth your time to have a chat with someone who can give you a hand with your tax issues.