A business or a hobby?

Message

gatorgal · #1 Post by **gatorgal** » Wed Sep 17, 2003 1:55 pm

I'm not sure if I'm initiating this in the right section, but here it goes...

Do you think of your work as a DJ and the time you dedicate to it as a "hobby" or a "business"? Or do you currently have a part-time or full-time DJ business? Have you ever thought about turning your "hobby" into a "business"?

Would like to hear some of the pros and cons of the issue, or at the very least some funny anecdotes.

Please discuss. Thanks for your input in advance.
Tina

lindyholic · #2 Post by **lindyholic** » Wed Sep 17, 2003 2:10 pm

It's a hobby, if it were a business, A) I may not enjoy B) it's pretty damn hard to make a business off of DJing swing music.

Harrison

#3 Post by **JesseMiner** » Wed Sep 17, 2003 2:40 pm

I think of my DJing as both a business and a hobby. It's my passion, and it's currently my full-time work (has been for quite some time). I believe there is nothing better than doing what you love.

I have never understood the thinking that just because you do something for work that you will then cease to love doing it.

Jesse

Platypus · #4 Post by **Platypus** » Wed Sep 17, 2003 2:52 pm

Hobby. A welcome diversion from the high stress nature of my job.

Lawrence · #5 Post by **Lawrence** » Wed Sep 17, 2003 2:53 pm

JesseMiner wrote: I have never understood the thinking that just because you do something for work that you will then cease to love doing it.

I understand what you are saying, and there is not a necessary connection. But the problem is burnout: too much of a good thing. I completely understand it. That's why it is also good to NOT work with your spouse/girlfriend.

Mine is somewhat a hobby business: not my profession. "Hobby business" is not just a way of evading the question; it is actually a term defined by the IRS.

Matthew · #6 Post by **Matthew** » Wed Sep 17, 2003 4:51 pm

I've been spending so much money on dancing and CDs, that I'd really like to get my dancing/DJing to the point where they could support themselves. I'd consider leading workshops, and also DJing - both for money - as long as I'd still enjoy it. If not swing, then I have better ways to make a living.

LazyP · #7 Post by **LazyP** » Thu Sep 18, 2003 1:22 am

I would say hobby. I sometimes get payed but most of the times I'm djing are at events where I'm one of the organizers (and then always for free).

Swifty · #8 Post by **Swifty** » Thu Sep 18, 2003 5:10 am

I don't think I've ever been paid to DJ, which I have to say would make a pretty bad business model.

gatorgal · #9 Post by **gatorgal** » Thu Sep 18, 2003 7:07 am

Lawrence wrote:
Mine is somewhat a hobby business: not my profession. "Hobby business" is not just a way of evading the question; it is actually a term defined by the IRS.

Cute. You're not serious, though, are you? I'm so gullible...

Tina

Edited to ask silly question.

gatorgal · #10 Post by **gatorgal** » Thu Sep 18, 2003 7:15 am

Thanks for all the responses...

I guess the reason I'm asking is that I'm just starting out with this. I don't have nearly the experience, knowledge and the know-how as the majority of the folks here on this forum. It's a little daunting... a lot of the conversations go over my head.

But it hasn't quenched my thirst to learn, or to DJ, or to get really good at it. I'm looking at the amounts of money and time spent on this by the people here and it compels me to make the way I operate more "business-like". But I think I'm a lot like Jesse in the sense that I would rather do something for a living that I enjoy. So here I am.

Keep the responses coming... if only so I can goof off at work.

Tina

Lawrence · #11 Post by **Lawrence** » Thu Sep 18, 2003 1:36 pm

gatorgal wrote:
Lawrence wrote: Mine is somewhat a hobby business: not my profession. "Hobby business" is not just a way of evading the question; it is actually a term defined by the IRS.
Cute. You're not serious, though, are you? I'm so gullible...

Actually, sadly enough, it really is a term defined by the IRS. Hobby businesses are defined (I think) as businesses that are not profitable for three out of the past five years: the reasoning being that no business would operate at a loss for three out of the past five years unless it is a part of the owner's hobby, in which case all the tax incentives, deductions, and breaks for businesses do not apply. In fact, I think that some of the IRS examples in their opinion letters use dance instructors as illustrations on the concept.

The hobby business presumption is something that DJs should be aware of if they are deducting the cost of CDs and travel as a part of their "DJ business." Same thing for instructors who routinely spend more on travel than they earn teaching. Three unprofitable years out of the past five raises a rebuttable presumption that it is a hobby business, which is a double whammy: you need to report all income but cannot deduct any expenses.

See http://www.bellaonline.com/articles/art4875.asp for more details.

gatorgal · #12 Post by **gatorgal** » Thu Sep 18, 2003 1:56 pm

Call me crazy but there should be some way to get something after failing for three years straight. Thanks for the info though!

Tina

coreyj5 · #13 Post by **coreyj5** » Thu Sep 18, 2003 3:10 pm

Personally, all of my hobbies that I wanted to do as jobs (personal training, massage, etc.) lost all of their fun when I had to do it to survive. Now they're still hobbies.

Shanabanana · #14 Post by **Shanabanana** » Thu Sep 18, 2003 7:30 pm

I already have a job. Actually, a career.

Swing is a hobby that is just about self-sustaining for me. But that also means that I work at least 2, sometimes 3 nights per week at it. I enjoy it, but I want to keep it closer to the level that I can back out if it's not fun anymore. If I depended on the income, I wouldn't be able to do that.

lindyholic · #15 Post by **lindyholic** » Fri Sep 19, 2003 12:43 am

Dancing and DJing is pretty much a job now though for me, I teach, I DJ, I help run the Non-Profit Organization....I do it all on a volunteer basis though, cept I get paid 15$ an hour for teaching. It pretty much is a job for me outside of school, but because I do most of it on a volunteer basis it keeps it more hobby then actual business which is good because you get to see the fruits of your labour as your scene grows and such.

Harrison