Business savvy

Use with category “Indexing as a career”

How can I track my projects for invoicing?

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Whatever method you choose for keeping track of information, one way to save yourself time and hassle is to set up a little routine as part of each job you take on.

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When you begin a project, take a few minutes to collect and note pertinent information that you will use for invoicing. Perhaps you do it at the beginning, while you’re counting blank pages and familiarizing yourself with the text; perhaps you do it at the end. Regardless, make the task a part of your workflow routine.

Here are two low-tech ways to track invoicing information for your indexing projects.

Idea 1: Jot it on the book’s table of contents page

If you tend to print off the table of contents for the book you’re working on, jot down the following on your printed TOC hardcopy:

  • number of blank pages
  • fee per page, total charged
  • tax rate and taxes charged
  • estimated income tax
  • date started
  • due date.

Once you’ve finished the project and you’re ready to write up the invoice, all of the pertinent information is handy. You can then also transfer this information easily into your accounting/bookkeeping program. This method encourages you to quickly note the basics.

Idea 2: Keep project files

If you prefer to keep digital records, try creating a simple document for each project when you begin, to keep any information you consider relevant. Since space is unlimited using this method, you could also collect other notes.

For example, some indexers like to make a Word document in which they list invoicing information as well as notes about the job, and/or queries for the author, inconsistencies and errors discovered in the text, etc. You might find this “project file” useful to refer back to later on when you work with a particular client again.

Related questions

What information should I track for my indexing business?

How do I start on the right foot for keeping track of my finances?

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How do I start on the right foot with keeping track of my finances?

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As a small business owner, you’re responsible for keeping track of finances. Not only does maintaining accurate records save a lot of hassle and stress at tax-time, but it also allows you to look back on your progress as your business grows. Bookkeeping can be intimidating at first glance, but it doesn’t have to be complicated. Here are the steps to starting on the right foot as you launch your indexing business.

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Find a system

There are many accounting applications to choose from, ranging from very simple to very sophisticated.  Unless you enjoy learning the ins and outs of new applications, and using features such as charts and projections, at this stage in your career you’re probably safe in choosing a basic program. Several popular applications even include a free basic version which may suit your needs just fine (for example, ZipBooks (zipbooks.com) and Wave Financial (waveapps.com/accounting) both offer free versions). If you’re having difficulty deciding on a program, you may want to explore user reviews online before you settle on one.

Another approach is to set up spreadsheets to keep track of some or all of the information you need to collect. Depending on your comfort level with Excel, this could be a very good way to begin until you start getting more clients and incurring more expenses.

Excel has many advanced features that can make updating financial information incredibly efficient, but even in its most basic form it provides a convenient way to track dates and numbers and perform calculations.

Start early and do it regularly

Regardless of which bookkeeping tool you choose, the sooner you establish a system and the more regularly you update your financial records, the less stressful bookkeeping will be (in fact, you may even come to enjoy it!).

If you’re still working on finding clients and developing sample indexes, this could be the perfect time to set up a spreadsheet or begin test driving your chosen accounting software. Once you’ve got jobs coming in, decide on when you’ll make updates and stick to that routine. You may want to do this on a job-by-job basis, or on a weekly or monthly basis.

Updating your records after each job means everything is at hand (your invoice, and any notes you made about the job or the client, for example), and you’ll be less likely to have to go flipping through emails and file folders to retrieve the information you need.

You may wonder whether you could just update your business’s financial records when you update your household budget. While this makes sense in terms of establishing a routine, keep in mind that there are advantages to keeping your business finances separate:

  • You will more easily be able to see your business income and expenses if things are kept separate
  • If you are ever audited at tax-time, you may be asked to collect and provide financial information specific to your business income—it may be inconvenient to have to disentangle this from your household income.

Try keeping a hard copy

Of course, it’s always a good idea to keep a backup copy of your financial records in the event of a computer crash, and these days there are a number of ways to do this electronically. However, for some people, working with old-fashioned hard copies of records such as invoices can make it easier to stay on top of accounting tasks.

For example, try printing off your invoice as you send it to the client, and keep it in a labelled folder. When you’ve received payment, jot down the date of payment on the invoice and move it to a folder you’ve labelled “Paid Invoices”. Your invoice should include most of the information that will later go into your accounting software or spreadsheet, so you’ve already done 90 percent of the work!

Even if you don’t have the time to make your electronic update, at least you can now easily consult your folders when you do have time.

Related questions

How can I track my projects for invoicing?

What information should I track for my indexing business?

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What information should I track for my indexing business?

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As a freelance indexer you’re also a small business owner. With that comes the task of keeping track of business costs and billings. But successful indexers also look back on their progress as their business grows.

Here are three kinds of information that you will want track to keep your business thriving and growing:

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1. Information for taxes

This includes revenue, expenses, sales tax billed and collected, and details for allowable deductions or “write-offs”.

Review the most recent year’s tax forms or consult an accountant to learn what deductions you might be eligible for from your self-employed earnings. For example, if you work in a dedicated home office, you can deduct a portion of your property costs, such as utilities.

Also make sure you are capturing and collecting the investment costs you incur before you even begin billing clients. These might include computer, software, reference books, membership fees, and courses.

2. Information to ensure you get paid

This is why you’ll want to track the following for each invoice:

  • Job title
  • Invoice number
  • Invoice date
  • Client name and contact information
  • Amount charged
  • Any sales tax charged
  • Total invoiced
  • Payment due date (if not “due on receipt”)
  • Job start and end date
  • Payment received date
  • Payment method

When you work from one job to the next without taking a break, it’s easy to lose sight of unpaid invoices—especially invoices to publishers that take 30 days or more to pay.

This information will also provide the supporting detail for reporting your revenue and collected sales tax at tax time.

3. Information to track your productivity and improve your pricing skills

  • Job title
  • Client name and contact information
  • Number of pages/words indexed
  • Your estimated hours
  • Your target rate (price per page, for example)
  • Your quote
  • Your actual hours
  • Your effective hourly wage
  • Job start and end date
  • Notes about the client or the job

Related questions

How can I track my projects for invoicing?

How do I start on the right foot with keeping track of my finances?

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Marketing your indexing business Q&A – replay

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As freelance indexers, you can’t sit back and expect jobs to come to you. It’s on you to market yourself. But where do you start? How do you do it? And what’s involved?

That`s what several new indexers wanted to know when we met at our monthly chat session in December. So we quickly threw together a Zoom session to deal with those questions, ideally over the holiday break. After all, that could be the perfect time to get down to work on marketing activities that could make all the difference to our success in 2021.

Whether you’re a new indexer just starting out, or you’ve been in the business for years and just want more clients, there`s something valuable in here for you.

Have a listen.


Chat transcript