It’s always best to consult with a tax professional or bookkeeper who’s familiar with the music industry. Need a bookkeeper and accountant for your music production business? We handle your books, so you can get back to orchestrating those killer tunes.
FreshBooks ($15 – $50 & Quotation Based Per Month)
Book a accounting free demo with our experts to understand how bookkeeping works differently for those in the creative business. Discover how we can help you have better finances with a personalized demo from a Bench expert, ready to answer all your questions. Sign up as a customer today and get a free month of bookkeeping, valued at $299. Learn how to build, read, and use financial statements for your business so you can make more informed decisions.
ART (Quotation Based)
- This helps musicians and artists without financial backgrounds understand accounting principles.
- If your company fails to file 1099 tax forms on time, you risk incurring penalties ranging from $60 to $630 per form.
- Most of the tax preparers I know really enjoy saving their clients money.
- It’s a little more complicated to use than the other tools mentioned and may be better suited to product-based businesses.
- I contacted Whitney Bookkeeping, and Melissa sent me a link to QuickBooks Online and showed me around on the site.
If they take turns filling out W-9s at shows, how do they ensure that their tax burden is equal in the end? The most legit way to handle the rising success of a new band is to set up the correct business structure as early as possible. If you and your bandmates are all equal stakeholders in the project, form a partnership or partnership LLC and get a tax ID number for your band.
Customizable Business Tools + Templates for Self-Employed Musicians
- We like Wave Accounting because it’s a one-stop shop for small business owners.
- Look for software that allows you to create and send invoices quickly and easily, and that accepts a variety of payment methods.
- We look forward to being part of your financial journey and helping you manage your bookkeeping needs so you can continue your great work in the music world.
- With over 25 years of experience in the music industry, Whitney Bookkeeping helps you keep your finances in perfect sync, allowing you to focus on your creative passion.
- Get your bookkeeping, income tax prep, and filing handled by experts—powered by one harmonious platform.
With the right software, you can stay on top of your cash flow, track your expenses, and maximise your income from royalties and licensing fees. So I understand the unique financial challenges that artists and independent contractors face, from managing income and expenses to tracking sales. It involves managing many other aspects of a https://www.bookstime.com/ career, including finances.
QuickBooks is available as desktop software or a cloud-based service. As far as tracking your income and expenses, I recommend opening a dedicated bank account for your music business and running all income and expenses through that account. At the end of the year, it simplifies the process to figure your total income and parse out your expenses when they are localized to one account.
Key Features to Look for in Accounting Software for Musicians
Bench provides a straightforward bookkeeping solution that pairs you with a dedicated bookkeeper. With doola Bookkeeping, all your financial data is neatly organized and ready for filing. Whether you’re preparing for a client meeting or evaluating how much you can invest in your next creative project, these reports give you a full picture of your financial health. Every time you log in, you’ll see up-to-date insights into your income, expenses, and overall financial health. Join over 35,000 US-based business owners who have streamlined their finances and have grown their businesses with Bench.
Zarmoney ( $15 – $350 Per Month)
They offer a free and paid plan (which provides more automation options). The mileage tracking is easy to use and we love that they include state and self-employment tax calculations, as well, to make sure you’re setting enough aside each month. Sunrise provides professional accounting services to upgrade their free application since most business owners do not want to get complicated with bookkeeping.
Why do we recommend Zoho Books?
The software uses artificial intelligence to streamline the company’s accounting processes. FreeAgent is a fresh approach to the business of artists’ accountancy. Multiple bookkeeping for musicians features make this cloud program shine, from bill alerts to a simple invoicing process to the potential to fabricate all your reports through your fingertips. If you are currently a working musician, then royalties and placements are all taxed at the self-employment tax rate.
