Who makes their living solely playing music?

[homerski]

I have been a professional musician (read: I ate ALOT of hotdogs when they were cheap, and when they weren't I ate ALOT of ramen noodles) off and on for the last 35 years.

Lifetime #1:
I started back in 1970 playing in the US Army Bands. I played in the 266th Army Band, Long Binh, Vietnam, 1st Army Band – Ft. Meade, MD, 79th Army Band, Panama Canal Zone, and the 101st Airborne Division Band, Ft. Campbell, KY). What most people don't know is that most military bands have several groups within themselves, i.e. A Concert Band, A Marching Band, A Stage Band, A Rock and Country Combo, A Chorale, A Barbershop Quartet, etc... and I was part of all of them, however I was the leader of the Rock and Country Combos. While I was in Panama, I started an off-duty Rock band called 'Payday". HOLY COW.. did I make ALOT of money with that band. We were playing 4 - 5 nights a week for three years. When I came back home to the states I was able to pay cash for my first house in Tyrone.

Lifetime #2:
When I got out of the Army in 1979, I started "Fantasy Airlift" in Tyrone. Fantasy Airlift was me, my brother Tim, Andy Rhody, and Joe Diederichs from Detroit, MI. I met Joe while I was at the US Navy school of music. Then I called him just before I got out and said, "Hey Joe, I'm buying a house in Tyrone, PA and I'm starting a band!" Joe was working at Ford Motor Company in Detroit making a good wage. He quit his job the next day, packed up his B3 and Leslie in the back of his station wagon, and was at our house in 2 days. You talk about going for a dream!! This was the beginning of what I like to call my "dream time" when our house was filled with bohemian musicians, roadies, and fans all working toward a common goal. It is absolutely incredible what can be accomplished when several people have a focus and can envision a mutual goal. WOW what a kick-ass band!! Like I said, we ate alot of hotdogs, but I wouldnt' give up that part of my life for anything in the world.

I am not going to bore anyone further, but I am currently on Lifetime #7.
I am currently an unemployed Network Consultant (MCSE, MCP, CTT+, CEH, CET A+). Me, my brother Tim, and his son Keith are all making all of our living by playing music again in "Homer's Army". Luckily, I can call upon all of my marketing experience to keep us playing. It's all about the marketing!! Always was, always will be!! I spend about 10 hours every day on improving our audience and exposure. You have to capitalize on every single opportunity that comes your way.

Oh, and by the way, on the tax issue, ( I also have experience and training in income taxes) Yes you can deduct almost anything that relates to you providing your services, as long as it is a legitimate business, and not what the IRS calls "hobby income".

Another issue:
If you get paid by cash, it is difficult (not impossible) for the IRS to track that income, however if a club pays you more than $600 in a year, the club is supposed to issue you a 1099, especially if the cluib wants to claim the money that they paid you as an expense. I remember back in the '80's several clubs got audited, and were forced to issue 1099's to all of the bands. We got hit with about a $10,000 bill. Then I had to issue 1099's to all of the band members. As you can probably guess, some of the folks were not too happy!! Moral of the story: claim the income and take the expenses, but be sure you keep receipts.

If you would like to hear more, let me know.

John Homerski Jr., Drummer & Manager – Homer’s Army

[facingwest]

I finished up all the bookwork to date today for myself and it's awsome!! With the money we made vs. expenses, I'm only going to have to pay income tax on $400 so far for the year. Just in milage, parking, and tolls, the total to date is $3,740. To make it to and from Key West, I was able to write off almost $1,100. Just some food for thought.

[songsmith]

John brings up a valid point... according to my tax accountant, NEVER call band income "income from a hobby." Can't stress that enough. That will bring the IRS cats running, and get you audited, maybe. You don't want that, it's on a fun level right up there with a prostate exam ("bend over, please...").
Your band income should be listed as business income, albeit a business that is likely taking a loss, once deductions are made. Oh, and you can't take a loss for more than a few years, so eventually, you'll have to show at least some profit.
One more hint: Get a mercantile license. It's like a hundred bucks, but then you are a "real" business, capable of getting loans, tax breaks, etc. You can get them from City Hall, your tax preparer, and I think Rick Geist.------->JMS

[CHICKSINGA]

I was a professional musician for a year and a half from 1983 to 1984. I traveled the country, from Dallas to as far west as Albuquerque, as far east as Florida and north into Ohio with a cover band from Dallas called "Trick". We had a decent manager that used to give us small log books to put our receipts in. It was a good habit to learn and I continued to keep my receipts and records religiously when I moved to LA in 1988 to write, record and showcase original material. I kept my day job but still wrote off expenses at the advice of our accountant, Keith Clark, who also happened to be the drummer of the Circle Jerks. His advice really paid off when I was audited in 1996. We got through just fine because everything was in order and accounted for.
I am a hobbyist these days, but music will always be my therapy!