👉 You’re probably not charging enough.

I’m writing today’s post from the couch, where I’ve spent the last three days knocked flat by a nasty cold.

You know the kind — not the kind you can push through and function, but the kind that makes it hard to stand up straight. Sinus pressure, sneezing fits, a non-stop faucet of snot. Sleep doesn’t help, meditation doesn’t help — just full-on misery.

I’m not looking for sympathy. We all get sick — it’s part of being human. But if you’re an entrepreneur or solopreneur (i.e. you sell your time for money), then being sick means something else too: you don’t get paid.

And that’s just a cold. If you were to get hit with a more serious illness or injury, the impact could be much worse.

If you haven’t built recurring revenue or planned ahead, this can be a scary moment. Add in the fact that we cover our own insurance, pay for our own overhead, and — for some — are the only income source in the household… and the truth hits hard:

👉 You’re probably not charging enough.

I see this all the time with new entrepreneurs. They want to charge a “fair” rate but haven’t run the numbers. They haven’t accounted for illness, vacation, or emergencies. For example: I had the flu back in March and was out for a week. Now this cold has me down again. That’s two weeks this year where I couldn’t fully work or generate income.

Now add vacation. I’m a big believer in real time off — not trying to work from the beach or sneak in emails between museum visits. Creative work requires rest. If I want to give my clients my best, I need to recharge.

So let’s do some math:

• 4 weeks off for vacation

• 2 weeks off for illness

• 1–2 weeks helping a loved one in crisis
  That’s almost 2 months a year where you’re not actively earning revenue.

When you’re employed by someone else, these things are mostly covered or invisible — paid sick leave, health insurance, paid time off. But when you’re self-employed, it’s all on you.

So how do you afford to be self-employed?

Here are three things that have worked well for me:

1. Plan for it.
   Build an emergency fund. Don’t spend everything you make. A reserve account that can cover your salary and bills when you’re out is one of the best forms of peace of mind.

2. Create recurring revenue.
   This could come from your business or outside investments. I’ve invested in a few commercial real estate deals — they don’t make me rich, but they cover about ⅔ of my basic monthly expenses. That cushion matters.

3. Charge more than you think you should.
   If someone pays you for one hour of work, that rate needs to cover your sick time, vacation, insurance, taxes, and overhead. Don’t dip below your true minimum sustainable rate — ever.

There are lots of ways to tackle this, but the big takeaway is this:
You need to plan ahead so you don’t get caught with your pants down.

Back when I lived in Seattle, I had a friend who was a tattoo artist. In summer, he was slammed with business — everyone in tank tops and shorts, ready for fresh ink. But come winter, things slowed way down. Nobody was getting tattoos. If he didn’t budget properly during the boom season, he was always stressed during the slow one.

Maybe your business has a season too — wedding photography, coaching, consulting. Don’t blow all your cash when it’s flowing. Think like a farmer. Budget for the winter.

So if you’re just getting started, or even if you’ve been at this for a while:
Take time to figure out what you actually need to make each year to survive and thrive. That includes:

• Business overhead

• Taxes

• Insurance

• Personal cost of living

• Time off (planned and unplanned)

Run the numbers. Then build your rates and business model around that.

Your future self — the one coughing on the couch with a box of tissues and a blocked calendar — will thank you.