This article about New Year's resolutions for freelancers is written by Vanessa Chiasson, a freelance writer based in Ottawa who specializes in travel and human interest stories.

December is a quintessential time to ponder what New Year's resolutions might make your shortlist. While it’s fun to commit to reading more books or trying new food, I think freelancers should commit to some additional resolutions, ones that focus on finances. Here are five to consider.

Five financial resolutions freelancers should make for the New Year

Seek free or frugal alternatives

As a new freelancer in 2012, I happily signed up for a monthly QuickBooks subscription to track my income and expenses. I had a juicy coupon code to make it a cost-conscious choice and I felt oh-so very grown up using the same program that many “big” businesses rely on. And so I stuck with it, with few complaints, for 11 years, while the monthly cost went up incrementally as my usage remained the same. I was happy with the service; I didn’t want the hassle of switching, but my monthly bill was closing in on $60.

At the same time, my nine-year-old iPhone was beginning to show its age. Who are we kidding? It was ancient! A pricey new phone wasn’t in my budget, but when I costed things out, I noticed it was pretty much the same price as my bookkeeping program. Hmmmm. I heard friends mentioning a new alternative to QuickBooks called Wave, which was free. Could I switch and suddenly have a new iPhone without really shifting anything in my budget?

I could, and I did. I’m not advocating for anyone to use one particular kind of bookkeeping program or smartphone. But I am encouraging everyone to take a hard look at their budget and ask themselves if there are free or frugal alternatives to the systems, programs, and tools they use that would free up cash or make their lives easier. Do you really need a pro-level scheduling system for your social media posts? Are you justifying holding onto a paid app you loved in the past, but its costs have increased while your benefits have gone down? I try to find one thing I can cut, cull, or replace each year.

Shun “fun” events

When a PR firm invited me to listen to a presentation and have tea with them at a downtown hotel famous for its fancy high tea, I nearly tripped over myself in my eagerness to say yes. Who wouldn’t want all those fancy nibbles and silver service? Finally, in the middle of a dreary winter, I would enjoy one of the perks of the job!

In an effort to be as organized as possible and avoid traffic snarls, I arrived nice and early and found parking in a pricey hotel-adjacent lot. I set up my laptop at a nearby coffee shop, where I participated in a virtual Canadian Freelance Guild (CFG) meeting while biding my time. When the appointed tea time came, the hotel staff directed me not to the glitzy dining room but to the lobby beverage cart, which, yes, did indeed serve tea. This is what the PR firm meant. I could drink a cup of tea while they shared a PowerPoint presentation with their latest news. I spent half a day away from my desk, $25 on parking, and many dollars more while waiting at the coffee shop, only to enjoy a cup of chamomile. And, really, I had only myself to blame.

I’d like to think I learned from this lesson. Still, less than a month later, I eagerly walked into an embassy lobby wearing my freshly dry-cleaned suit after receiving a vaguely worded invitation to a reception. “At least this country is famous for its wine,” I thought. Surely this invitation would be worth it. Alas, the afternoon event served up… apple juice and a two-hour press conference in a language I didn’t speak.

Finally, the lesson had sunk in. Fun invitations are rarely fun, and the free event seemed to cost me a lot of money. Now I know to clarify expectations and suggest virtual coffee dates instead… or simply say thank you for thinking of me, but I won’t be attending.

Don’t leave your taxes to the last minute

When I’ve participated in CFG online events, I’m often introduced as someone who loves doing their taxes. Guilty as charged! I find something about the process curiously soothing, and I can’t help but feel a little burst of pride in every invoice and receipt. I did that. I made that money, one word at a time, and I made every single choice those receipts represent. Alas, I recognize that I’m in the minority, and few freelancers find tax time enjoyable.

However, whether you love ‘em or hate ‘em, I hope you’ll resolve to never leave your taxes to the last minute. I know that tax preparation often seems relatively straightforward. After all, it’s not like many of us have to worry about commercial rent or structuring payroll, but that doesn’t mean we can’t have complicated affairs. Starting early means you have the time, energy, and access to resources you need to figure out tricky formulas and hunt down every possible deduction–or research a really awesome accountant to do it all for you.

Negotiate, negotiate, negotiate

In 2022, I tried an interesting experiment. I vowed to negotiate my rate for every single assignment. Most people go their entire lives without asking for a raise, and I promised myself I’d do so pretty much every day. I didn’t want to give myself any possible “outs,” and thus, I vowed that I’d say, “Is there any wiggle room in your budget” for each project? Sure, there were many “no”s–but my editors were always respectful and even downright encouraging. And there were A LOT of “yes”s.

Negotiating your rates requires no special technique or even a sense of confidence. It’s just a part of freelancing, right along there with pitching ideas and hunting down sources. Why not start your own negotiation experiment and see how it goes for you?

Say “no” to free work

Like many of you, I care deeply about my community and know the power of volunteering. But that doesn’t mean I work for free–and neither should you. When clients and would-be clients try to twist your arm or your heartstrings and have you contribute to social media campaigns, add on free sidebars, or sit in on staff meetings because it might be “interesting” for you, they’re asking you to work for free. Pushing the scope of an agreement, offering exposure, and sucking you into office affairs are all ways your time and talents are utilized without monetary compensation. It’s time for that to stop! Get paid for the work you do and use the resulting financial stability to volunteer for the causes you care about in your time and in your own way.

Stay supported, stay motivated

New Year’s resolutions aren’t exactly known for being effective long-term, but I think these financial resolutions are different. Their payoff is, in many cases, an actual payment. You are saving money, earning money, and having a better relationship with money in every instance. As such, I think it’s easier to stay motivated when you know the benefit isn’t something theoretical in the future but rather something you can immediately measure.

Like so many other resolutions, your success odds greatly improve with a support system. Consider organizing a virtual challenge amongst your close colleagues, setting regular check-in times to share your success, or establishing a text chain for encouragement. May your coming year of freelancing be your most financially satisfying one yet!

You may also like these finance-related resources for freelancers

• CFG webinar: It's Tax Time For Freelancers
• Freelance Finance: By the hour, or by the word? by Steven Threndyle
• The Born Freelancer on Clients Who Are Slow to Pay