How 2020 Shifted My Thoughts About Money and My 2020 Earnings
As vaccines start to roll out, it’s only a matter of time before studios (those that have been able to weather the epic COVID storm) reopen. And as my team looks to the future, we’ve had some enlightening conversations about the business side of running a studio and being a teacher. The great slowdown highlighted the burn out present in all of us, a feeling that we’d come to expect and accept in this line of work, and only when it stopped did we realize how tired we all were. For those of us who’ve made Pilates or yoga our career, it can be inherently hard to ask for money in a job that you would do for free. And for myself, the job that I left was so tied to money, the entire business (retail) was built around making more money the following quarter with no end to growth in sight. I left that job HATING money! I thought it was evil, something I was squirreling away to buy my freedom, something that others used to purchase status and something I had convinced myself I needed a lot less of to be happy. Looking back, this was a privileged point of view, a viewpoint of someone who’s always had enough money, someone who had a husband to support a decrease in wages, someone who had a pretty fucking narrow vision of all that money provides.
Because money isn’t just about status and finally buying the Porsche that everyone who’s a VP at your company buys when they become a VP (barf. barf barf barf).
Money is:
Health
- Access to healthcare that isn’t shit (we have shit healthcare)
- Ability to live in a neighborhood that’s safe and enjoyable to walk/run/bike in (we can rent in one, but we’d barely be able to purchase a home in a similar quality neighborhood, and the only reason we could is because of the windfall my Dad left me)
- Option to purchase organic produce and quality supplements
- Purchase high-end (safer) cookware, clothes, cleaning products
- Support local
Stability
- Ability to fix your home, car etc without going into debt
Freedom/Time
- Earning a salary/wage that allows for a shorter work-week and/or vacation time (paid or not)
- Opportunity to create passive income streams (including investing) that allow you to make money without actively working for every cent!
Generosity
- Time to volunteer
- Donate to causes that matter to you
- Disposable income to tip essential workers who’ve risked their lives during a pandemic for us all!
- Treat your friends/family to dinner or a weekend getaway and not worry about the bill
Joy
- Plan vacations
- Celebrate life’s big milestones without going into debt
- Optimistic outlook on the future and specifically retirement
This past year I made roughly $30,000 (this number, like last year, is my take-home/after taxes pay and includes unemployment and stimulus payments). Lucky for me, I’m married and my husband is one of those freaks who can thank COVID for forcing a big career shift on him, a shift that’s both financially and personally benefited him (us). If I were living alone I’d be in strict survival mode, dipping into savings to cover healthcare and utilities. Which is a shit feeling, so, where do I go from here? As I begin to reimagine what the business side of a Pilates Instructor career looks like for me I have a few goals that can be my north stars for creating a more sustainable career:
Make $70,000/Year, Diversify my Streams of Income and Take More Time Off
Money isn’t the only driver for happiness, but it plays a big role in meeting our needs so that we can focus on achieving our full potential, especially in creative ways (Maslow’s Hierarchy of Needs). According to various studies, happiness levels plateau anywhere from $60k-95k. Armed with this information, and by looking at my personal finances, I believe $70,000/year is enough money for me to save, live and give comfortably. Additionally, by diversifying my streams of income (more virtual pre-recorded classes or workshops), IG partnerships (someday) etc I will feel more stable and secure in this career. And last, one thing that I always prioritize, but fail to follow through on, is take more time off. This is a hard one to do, especially when you only earn money while you are teaching, but I’m hopeful creating passive streams of income will make this an easier balance.
While I don’t necessarily expect to more than double my earnings in the next year alone, having this number in my head (and written here for all of you!) begins the process of outlining how much I need to work in-person, virtually and what resources I need to create for on-demand classes etc to make this a reality, which is a very exciting and hopeful place to be!
I’d love for you to share your thoughts in the comments about what I’ve shared, what money means, and does NOT mean to you.