Sept 2019 Income At-A-Glance
Gross Income for Sept: $140,611
Total Expenses for Sept: $32,903
Total Net Profit for Sept: $107,708
Difference b/t Sept & Aug: -$12,149
% of net profit to overall gross revenue: 77%
Why We Publish An Income Report
This monthly income report is created for you, Fire Nation!
By documenting the struggles we encounter and the successes we celebrate as entrepreneurs every single month, we’re able to provide you with support – and a single resource – where we share what’s working, what’s not, and what’s possible.
There’s a lot of hard work that goes into learning and growing as an entrepreneur, especially when you’re just starting out. The most important part of the equation is that you’re able to pass on what you learn to others through teaching, which is what we aim to do here.
**We’ll receive a commission on the affiliate links below. If you click on my affiliate link and sign up for the products and services I trust and recommend, then I will earn a commission.
Josh Bauerle’s Monthly Tax Tip
What’s up Fire Nation, my name is Josh Bauerle. I’m a CPA and the Founder of CPA On Fire, where we specialize in working with entrepreneurs to minimize their tax liability while keeping them in line with the ever-changing tax laws.
I’ve been working with JLD & Kate at Entrepreneurs On Fire for years now, and they’ve included me in these monthly income reports with unlimited access to all their accounts so I can verify that what they report here is complete and accurate.
And because they believe in delivering an insane amount of value to you, my job doesn’t stop at the verification level; I also provide a new tax and accounting tip every month!
Josh’s Sept Tax Tip: Retirement savings and 401k’s
I know Fire Nation is all about the benefits of entrepreneurship, but let me talk about one of the big benefits of being an employee.
If you’re an employee of a relatively large business, then chances are you have access to some type of employer sponsored retirement plan, such as a 401k.
There’s also a good chance your company is going to match some portion of what you contribute, which is free money. The employer is also going to pay for the cost of the plan and deal with all the paperwork and other headaches involved.
But when you own your own business, you’re on your own when it comes to retirement savings.
The bad news is you’ll have to spend the time and money to get a retirement plan setup yourself.
The good news is you have the option to set things up significantly better than any employer ever could for you.
If you own a business and you’re interested in your retirement saving options within that business, here’s a quick rundown on some options.
IRA: Individual Retirement Account
An IRA is an individual retirement account.
You are allowed to contribute up to $6,000 ($7,000 if 50 or older) per year, and they are very easy and cheap to set up at any brokerage firm.
There are two options with an IRA.
- You can do a Traditional IRA, which (potentially) gives you a dollar for dollar tax deduction in the year you make it.
- You can do a Roth IRA, which offers no tax savings now, but you will pay zero taxes on the earnings when you pull it out in retirement.
There are a ton of different rules on who is eligible for which type of IRA, who can take the retirement deduction up front and several other items. So it’s super important to talk with a qualified financial advisor before making a decision.
Generally speaking, the younger you are, the more sense the Roth IRA makes.
SEP IRA or 401k
If you have a business that’s starting to make a real profit, it’s time to consider a retirement account within your business.
The two best options are a SEP IRA or a 401k.
Both of these options allow you to potentially contribute up to $56,000 per year, which will also reduce your taxable income by the same amount.
This is an incredible opportunity because the government is essentially going to give you a tax deduction just for saving money, and they are going to let you put up to $56,000 a year into it.
On top of that they are going to allow those contributions to grow tax free until you pull it out in retirement.
It’s one of the single best tax “shelters” there are.
However, there are several factors that determine how much you can contribute each year and which plan is best for you, such as:
- How profitable the business is,
- What type of entity you are, and
- If you have any employees outside of yourself.
So as with the IRA, I highly, highly recommend discussing your options with a qualified financial advisor before setting up any plans.
Not having access to a quick and easy employer sponsored retirement account from a job can feel like a pain, but if you do your research and set things up properly, you can end up in much, much better shape setting up a retirement plan within your own business!
Again, the key is talking to a professional and making sure the options you choose fit your unique situation.
As always, please feel free to contact me if you’d like to discuss what would be best for YOUR business. I LOVE chatting with Fire Nation!
David Lizerbram’s Legal Tip
5 Things that Belong in a Sponsorship Agreement
Sponsorships are a common form of advertisement on social media, as well as new media (such as podcasts and video streams).
A sponsor is a person or company who pays to support someone else and receives something in return, like the right to a podcast advertisement.
Anyone who is, or who works with, a sponsor should have a written agreement that describes the terms of the business relationship.
Here I’ll identify the top 5 things that belong in a Sponsorship Agreement.
We’ve talked in the past about rules for advertisements on social media and elsewhere online. Those same rules apply, so be sure that you’re aware of the rules and laws that govern advertisements.
A sponsorship is just a type of advertisement, so don’t assume that the rules don’t apply.
- The Term: When the sponsorship begins and ends. Is the Sponsorship Agreement for a certain amount of time, a certain number of podcast episodes or video streams, or is it ongoing until one party terminates the agreement?
- Compensation: How much is the sponsor paying? When is payment due? Is payment contingent on some type of factor, e.g. the number of sponsor’s products that are sold as a result of the sponsorship?
- Materials: Is the sponsor providing free or discounted products or materials? How many, and how can they be used? Can they be resold?
- Intellectual Property: Who has the right to use each party’s trademarks, such as logos, brand names, and taglines? Who owns the copyright to any unique content that is created as part of the sponsorship (such as an advertisement)?
- Exclusivity: Is either party prevented from entering into a similar agreement with someone else during the term of the Sponsorship Agreement? For example, the sponsor may want to be the sole advertiser on a social media channel, or they may want to ensure that even if there are other sponsors, none of them are in a competing business during the term of the Sponsorship Agreement.
Of course, Sponsorship Agreements are business contracts, so they should also include the types of clauses that appear in most other contracts, such as:
- Jurisdiction (where a dispute will be heard),
- Dispute resolution (will the dispute be resolved through arbitration, litigation, or some other means?),
- How it can be terminated,
- And so on…
This is not an exclusive list, but it’s a good start to get you thinking about how to put together a strong and effective Sponsorship Agreement.
If you have questions about how to best protect your business against unforeseen risks, please feel free to contact me!
What Went Down In Sept
Mastermind with Tony Robbins
It’s not every day you get an invite to join Tony Robbins, Dean Graziosi, Russell Brunson, and 9 other incredible entrepreneurs at Namale Resort in Fiji.
Which is why when we did receive that invite, we moved mountains to make it happen!
Well, ok, maybe not mountains… But as you know, Fire Nation, we’re in the midst of a 90-day World Adventure, which has been planned out since around January. Everything from planes, trains, and AirBNB’s had been booked at the time we received this invite.
I’ll get to how we managed to receive that invite in a second…
But first, when we found out our opportunity to join this crew in Fiji was going to require a few changes, we jumped. From Aug 29 – Sept 14 we were meant to be in Russia visiting Moscow and St. Petersburg.
The Tony Robbins mastermind in Fiji was scheduled for Sept 12 – 16.
So we did some pretty creative updates and decided the smoothest swap would be for us to spend Aug 29 – Sept 16 in Fiji and completely cut out Russia. Then, we’d continue our previously planned trip starting with Riga, Latvia.
Now, back to the invite: How the heck did we get invited to join Tony Robbins, Dean Graziosi, and Russell Brunson – along with 9 other incredible entrepreneurs – in Fiji?
Well, it started back in February 2019 when we teamed up with Tony and Dean to promote their new online course: Knowledge Business Blueprint (KBB).
Tony & Dean created KBB to help others learn how to start and successfully run their own mastermind. We’ve both been through the course (in fact, I’m on my 2nd round of watching the tutorials), and it’s some of the BEST content I’ve ever consumed online!
So it was a no-brainer to share the opportunity to join in the first round with Fire Nation.
As a result of sharing Knowledge Business Blueprint with you – and putting together a pretty killer bonus experience for those who joined through our affiliate link – we took 6th place out of over 1,000 affiliates.
If you’re not super familiar with high-level affiliate programs, they typically offer prizes. This affiliate launch was no different.
The prize for the top 10 affiliate partners was a mastermind in Fiji with Tony, Dean, and Russell.
Fire Nation, we’re so grateful we get to share these experiences and lessons with you, and we want to take this opportunity to thank you for placing your trust in us. Not only when it comes to you deciding what content to consume, or whether to tune in to one of our income reports – but also when it comes to making decisions around investing in online courses, like Knowledge Business Blueprint.
Again, this is one of the BEST courses we’ve ever consumed online, and if you want to learn more about how YOU can create a business filled with freedom and impactful by sharing what you already know with an audience who wants and needs it, then you should definitely check out the training that Tony and Dean have put together, which is free and VALUE-PACKED.
During their free masterclass, you’ll learn:
- How to extract a skill, expertise, or passion you have and get people excited to pay you for it;
- The secret Tony and Dean both used to get started before they were considered “experts”;
- How to confidently start faster than you ever imagined was possible; and
- So much more!
Here’s our affiliate link to sign up for the this free masterclass; we urge you to take advantage of this unique opportunity to learn from the best and brightest in this space!
Now that you know how we received our invite to join Tony, Dean, Russel and 9 other incredible entrepreneurs in Fiji, including:
- Jenna Kutcher and her hubby Drew,
- Stefan James and his wife Tatiana,
- Bryan Dulaney and his partner Nick Unsworth (along with his wife, Megan),
- Billy Gene,
- Lewis Howes & his head of marketing, Matt;
- Eben Pagan’s partner James, and
- Joel Marion’s partner Josh
…let’s take a look inside our trip! (And I know, this guest list is INSANE!! One of the best groups of entrepreneurs I’ve ever had the pleasure of spending time with!)
So our Sept started out with a significant amount of R&R time on the island of Venua Levu in a town called Savusavu.
We rented a cottage down a little dirt road for the first 12 days of our stay that was absolutely perfect: Sekawa Beach Cottage.
The cottage was about 1 km from the beach, and with a car at our disposal we rotated days filled with blankets, books, and cards, for days filled with sightseeing and exploring.
We also got to know our hosts quite well, Roy & Lisa, who were so generous with their time and recommendations. In fact, several of our evenings were spent enjoying a ceremonial Kava bowl with them, which made for excellent conversation.
But come time to move to Namale, we were ready for a little more action. And wow – did Namale ever over-deliver!
Before arriving at the resort we received our “itinerary” from Dean’s team, which included welcome drinks and a traditional Fijian dance, “Meke”, along with:
- A group dinner the first night;
- A morning excursion together (we had no idea what this would be before going on it – and once you see what we did you’ll realize we NEVER could have guessed it!);
- An afternoon mastermind; and
- Then tons of free time the next two days to choose from the dozens of activities the resort had to offer – included with our stay!
Namale in one word was: incredible.
They have an indoor entertainment center, fully equipped with pool tables, darts, and 2 bowling lanes!… plus an endless amount of snorkeling, waterskiing, horseback riding, and, of course, a spa.
It’s also all-inclusive, so anything you want – anytime you want it – you can have it.
Here are a couple of pics from around the property:
The welcome night was really special – lots of traditional Fijian dancing, music, and of course, our opportunity to get to know those who we hadn’t met already that we’d be spending the next 4 days with.
It was pretty immediately apparent: This was such an incredible group of people! And the setup was fantastic – there was just the right balance between scheduled group activities and down time where we were able to do our own thing.
Our activity the next morning was what they called the “ropes course”… here’s what we did:
That afternoon was the mastermind with Tony and Dean – and it was nothing short of awe-inspiring.
Being 10 feet away from them, getting to shake their hands, and learning from some of the best in the world when it comes to mindfulness and stretching yourself to the highest limits was something I’ll never forget.
Here’s the whole crew together, along with a a solo pic with me, John, and Tony :)
Tony was incredibly gracious with his time, and I know I speak for both of us when I say that we took away A LOT from the 4 hours we spent with Tony that afternoon.
The format was that each person had a couple of minutes to share where they’re at right now, what’s going great, where they want to be, and what’s missing.
I’m still processing a lot of it, but a couple things that definitely stood out to me were:
- How huge these guys (Dean and Tony) think and what they’ve created (plus, what the plan to create in the future)
- A big question Tony threw out to many of us during our hot seats was this: What do you have to believe to get to the next level? This question hit me pretty hard because it’s a great reminder that many times what’s standing in your way is YOU.
The mastermind was followed up by a dinner with the group and some late night convos.
The following night we did another group activity after a pretty laid back day: we all put on life jackets and at 7pm in the pitch dark got into a river that had a decent current flowing, and together we floated down into a big bay.
We were of course being guided by locals so we didn’t run into the trees or get completely off track – LOL. It was a really cool experience.
The other days that followed included loads of other group activities, dinners, and after parties :)
Oh, and a ton of R&R!
John and I both got massages that lasted about 2 hours!… and they were absolutely incredible.
The spa also had 5 different hot tubs, a plunge pool, a waterfall massage pool, and a sauna, so we spent a decent amount of time enjoying all of that as well.
Our departure from Namale was bitter sweet, but we were ready for the next leg of our journey (and wow did we ever have a special goodbye!!)
If you want a FULL recap of our experience, lessons learned, and the rest of our time in Fiji, tune in to this month’s income report via audio at the top of this page!
Travel On Fire
Our travels after Namale and our mastermind with Tony, Dean, and Russell continued, bringing us pretty much around the world from Fiji to Latvia.
We spent 46 hours and hopped 5 different flights to get to our next destination, and wow – to say we were exhausted at the end of that trip would be a huge understatement!
Luckily we got a great night of rest, and started the next leg our trip off with exploring the beautiful Riga, Lativa.
After Riga we made our way to Krakow, Poland, and spent a week in awe of the history that lives in this city.
And from Poland we made our way south to Paris, France.
If you want to stay up-to-date with our travels and where we’re headed next, be sure to check out our Instagram Stories: KateLErickson and JohnLeeDumas, and be sure to tune in to the income report via the audio at the top of this page for more insights on our travels.
You can also check out our travels over the past several years – with full trip updates from each of our stops, on our Travels with John & Kate page!
Product/Service Income: $113,268
TOTAL Journal sales: 531 Journals for a total of $13,927
The Freedom Journal: Accomplish your #1 goal in 100 days!
- TheFreedomJournal.com: $129 (1 Hardcovers & 3 Digital Packs)
- Amazon: $4,939 (201 Freedom Journals sold!)
- Total: $5,068
The Mastery Journal: Master Productivity, Discipline and Focus in 100 days!
- TheMasteryJournal.com: $0 (0 Hardcovers & 0 Digital Packs)
- Amazon: $3,022 (123 Mastery Journals sold!)
- Total: $3,022
The Podcast Journal: Idea to Launch in 50 Days!
- ThePodcastJournal.com: $49 (1 Hardcovers & 0 Digital Pack)
- Amazon: $5,788 (202 Podcast Journals sold!)
- Total: $5,837
Podcasters’ Paradise: The #1 Podcasting community in the world!
- Recurring: $16,827 (220 monthly)
- New members: $8,698 (34 new members)
- Total: $25,525
Real Revenue: Turn your BIG IDEA into Real Revenue
- New members: $450 (10 new members)
The Revenue Crew: An Elite Mastermind ON FIRE!
- Currently closed to new members
Podcast Sponsorship Income: $73,160
Free Courses that result in the above revenue:
Your Big Idea: Discover your big idea in under an hour!
Free Podcast Course: Create and launch your own podcast!
Funnel On Fire: Create a funnel that converts!
Affiliate Income: $27,343
*Affiliate links below – if you click on my affiliate link and sign up for the products and services I trust and recommend, then I will earn a commission.
Resources for Entrepreneurs: $17,660
- Audible: $146
- BlueHost: $0 Step-by-step guide and 23 WordPress tutorials included! Disclaimer: This is my affiliate link and I will receive a commission if you sign up through my link
- Click Funnels: $17,187
- Coaching referrals: $199 (email me for an introduction to a mentor for overall online business or a Podcast focused mentor!)
- ConvertKit: $67
- Disclaimer Template: $61 (legal disclaimers for your website)
- Fizzle Mastermind: $0
- Virtual Staff Finder: $0
Courses for Entrepreneurs: $6,695
- Knowledge Business Blueprint by Tony Robbins: $0
- Create Awesome Online Courses by DSG: $1,517
- Digital Course Academy by Amy Porterfield: $1,000
- Boost Blog Traffic by Jon Morrow: $0
- ASK Method by Ryan Levesque: $1,898
- Opesta by Ethan Sigmon: $290
- Closers On Fire by Dan Lok: $1,990
Resources for Podcasters: $1,621
- Pat Flynn’s Fusebox Podcast Player: $99
- Podcasting Press: $421
- Designrr: $0
- Tim Paige’s Make My Intro: $0
- Libsyn: $1,051 (Use promo code FIRE for the rest of this month & next free!)
- UDemy Podcasting Course: $50
Other Resources: $1,367
- Amazon Associates: $254
- Other: $1,113
Total Gross Income in Sept: $140,611
Business Expenses: $27,305
- Advertising: $6,682
- Affiliate Commissions (Paradise): $0
- Accounting: $961
- Cost of goods sold: $3,378
- Charitable Contributions: $50
- Fulfillment (Shipwire): $1,218
- Design & Branding: $0
- Dues & Subscriptions: $93
- Education: $120
- Legal & Professional: $0
- Meals & Entertainment: $262
- Merchant / bank fees: $874
- Amazon fees: $7,495
- PayPal fees: $523
- Shopify fees: $0
- Office expenses: $381
- Community Refunds: $291
- Promotional: $0
- Travel: $2,007
- Virtual Assistant Fees: $2,824
- Website Fees: $146
Recurring, Subscription-based Expenses: $5,598
- Adobe Creative Cloud: $100
- Boomerang: $50 (team package)
- Bonjoro: $45
- Authorize.net: $70
- Cell Phone: $249
- Google Suite: $50
- Internet: $80
- eVoice: $10
- Infusionsoft CRM: $309
- Insurance: $648
- Cyber Insurance: $2,966 (annual payment)
- Libsyn: $187
- Chatroll: $49
- Shopify: $68
- Linktree: $6
- Sumo: $29
- TaxJar: $19
- Telestream: $43
- Taxes & Licenses: $523
- Thrive Cart: $37
- Zapier: $15
- Xero: $30
- Zoom: $15
Total Expenses in Sept: $32,903
Payroll to John & Kate: $15,900
Wondering what we do with all of our net revenue? We share all in our April 2017 Income Report :)
Total Net Profit for Sept 2019: $107,708
Biggest Lesson Learned
Focus on what you want
As a motivated, driven individual, you know what it’s like to want to learn, experience, and try new things. And with social media and our access to endless on-demand content, it’s easy to get caught up in the latest and greatest, whether that be a new tool, a new strategy, or a new business idea.
But something I’ve learned over the past several years – and specifically again this month after spending time in Fiji with a group of incredibly driven individuals – is that 99% of the time you don’t need that new tool, that new strategy, or that new business idea to accomplish what you truly want.
Sometimes we don’t give our own desires enough weight, or we stray from what we set out to accomplish because we let someone else’s opinion, thoughts, or input get in the way.
Don’t get me wrong: it’s great to get input and recommendations from others, and that input and those recommendations should make you think… But it shouldn’t ever push you off course of what it is you know you want in your life, your business, for your family, or for you personally.
So if you must, take it all in. Consume as much content and accept as many pieces of input and recommendations as you want. But don’t let the noise carry you away from your true North.
Alright Fire Nation, that’s a wrap!
Until next month, keep your FIRE burning!
~ Kate & John
Note: we report our income figures as accurately as possible, but in using reports from a combo of Infusionsoft & Xero to track our product and total income / expenses, they suggest the possibility of a 3 – 5% margin of error.