As an author, you’ve likely heard advice about “writing for passion,” “writing what you love,” and “the art of storytelling.” But in the world of publishing, there’s another essential component of your career that deserves attention: your money mindset. How you think about money, success, and value can dramatically impact your writing career and financial outcomes. Please note, I am not a financial advisor (!), but I did want to share some tips to cultivating a healthy author money mindset:
What is Money Mindset?
Your money mindset is the set of beliefs, thoughts, and attitudes you hold about money and how it influences your financial decisions. It’s how you perceive your ability to earn, save, and manage wealth. Your mindset shapes how you approach your writing career, how much you value your work, and how open you are to opportunities that can bring financial growth.
In essence, money mindset is about aligning your mindset with abundance and opportunities, rather than scarcity and limitation.
Principles of a Positive Money Mindset for Authors
1. Value Your Work
One of the biggest challenges for many writers is understanding the value of their work. Too often, authors undervalue their writing or hesitate to charge what they’re worth. If you think of your work as valuable, others will too.
Principle: Your time, creativity, and expertise are worth compensation. If you don’t treat your writing as a valuable commodity, no one else will either.
Take a moment to reflect: Would you ask for less than you deserve in any other job? Your writing is an investment of time, effort, and creativity. It deserves to be compensated fairly. Don’t be afraid to ask for a reasonable payment, whether that’s through royalties, advances, or flat fees for freelance projects.
2. Embrace Abundance, Not Scarcity
An abundance mindset means believing that there is plenty of success, money, and opportunity for everyone. Scarcity thinking, on the other hand, is the belief that there’s not enough to go around. When you adopt an abundance mindset, you’ll see opportunities everywhere, rather than obstacles.
Principle: There is enough success for all writers, and you don’t have to compete for limited opportunities. Embrace the idea that your success doesn’t take away from others’ success.
As an author, it's easy to fall into the trap of believing that there’s only a limited number of readers, agents, or publishers. But the truth is, readers are hungry for new stories, and your voice is unique. When you let go of scarcity thinking, you open yourself up to more opportunities – whether that’s through traditional publishing, self-publishing, or creating new revenue streams like audiobooks or courses.
3. Set Clear Financial Goals
Having a clear vision of what you want to achieve financially can help you stay focused and motivated. Whether you aim to generate a certain amount of income per year from book sales, grow your passive income streams, or secure a specific advance from a publisher, setting clear goals is the first step toward financial success.
Principle: Set concrete financial goals that are specific, measurable, and achievable. Track your progress regularly to stay on track.
Think about your ideal financial scenario. Would you like to earn a living purely from your books? Or maybe you’d like to diversify your income with writing workshops, self-publishing, or freelance opportunities? Once you identify your financial goals, you can create a plan to achieve them.
4. Be Open to Multiple Income Streams
As a writer, your primary income source may be book sales, but don’t limit yourself to just one stream of revenue. There are multiple ways to monetize your writing and expand your financial opportunities.
Principle: Diversify your income by exploring additional streams, such as freelance writing, speaking engagements, teaching writing workshops, or creating digital products like e-courses or printables.
You don’t have to rely solely on traditional book sales or advances. Consider offering services like editing, ghostwriting, or consultation. You can also turn your expertise into revenue by creating products or services related to your writing niche.
5. Learn to Budget and Invest in Your Career
Being a successful author isn’t just about earning money – it’s also about managing it wisely. As an independent contractor or self-employed individual, managing your income and expenses is crucial to sustaining long-term success.
Principle: Budget your earnings carefully, set aside money for taxes, and invest in your career by purchasing tools, attending conferences, or hiring support (such as editors or marketers) to improve your craft.
When you treat your writing as a business, you’ll understand that investing in your career is essential. From attending workshops to hiring professionals who can help you with marketing or cover design, these investments can help you grow as an author and increase your earning potential.
Overcoming Limiting Beliefs Around Money
For many writers, limiting beliefs around money can hold them back from fully embracing financial success. These beliefs often stem from childhood, societal pressures, or past experiences. Identifying and reframing these limiting beliefs is a key step in cultivating a healthier money mindset.
Common Limiting Beliefs:
“I can’t make money as a writer.”
“Writing is a hobby, not a job.”
“There are too many other writers out there; my work will never be successful.”
“I should just be happy with whatever I earn from my writing.”
How to Overcome Them:
Challenge the belief: When you catch yourself thinking these limiting thoughts, challenge them. Ask yourself: “Is this really true? What evidence do I have that contradicts this belief?”
Reframe the belief: Change the narrative from one of limitation to one of opportunity. Instead of thinking, “I can’t make money as a writer,” try, “There are many ways to make money as a writer. I am open to exploring new opportunities.”
Visualize success: Use visualization techniques to imagine your ideal financial situation. Picture yourself earning a living from your writing and receiving compensation that reflects the value of your work.
Building a Prosperous Author Career
Creating a prosperous career as an author goes hand in hand with a healthy money mindset. Here are a few more tips to help you build a financially successful writing career:
Invest in your skills: Continuously improve your writing through courses, workshops, and feedback from others.
Build an author platform: Marketing and building an audience are key to sustained financial success. Consider starting a blog, growing your social media presence, or creating a newsletter.
Stay organized: Keep track of your income, expenses, and financial goals so you can stay on top of your finances.
Seek support: Don’t hesitate to hire financial advisors, agents, or bookkeepers who can help you manage your money more effectively.
Remember, your creativity is worth investing in. Treat your writing like the business it is, and you’ll open the doors to greater opportunities, financial growth, and lasting success.