I am very pleased to have been working as an automated lighting programmer for over two decades. I have learned many skills over the years related to lighting and I have also learned quite a lot about business. Most automated lighting programmers do not have a single salaried position, but they work for many productions each year. It's important to understand the requirements for running an automated lighting programming business; otherwise you could lose money or have to pay fines. There are many options to consider for payments, as well as expenses, equipment, and advertising. All of these elements can lead to a successful career as an automated lighting programmer.
Freelancing
I would bet that the majority of the automated lighting programmers in this industry are the "freelance" variety. Some production companies (as well as some manufacturers) hire full-time lighting programmers but these jobs are few and far between. Some venues and houses of worship employ a programmer, but more often individuals are brought in on a temporary basis to program a show. Furthermore, some programmers may be on payroll for a "company" that is set up for a specific tour, only to be "unemployed" when it ends.
Self- or Company-Employed?
If you are earning money in the United States, then you are most likely liable for taxes. Generally you have two choices as to how you report your income to the IRS and how you file your taxes. You can either be "self-employed" or work for a company. I know programmers who file as self-employed, and I also know programmers who "own" their own corporation or Limited Liability Company (LLC). Either way, there are specific rules that must be followed according to IRS guidelines. You don't want to mess wit the IRS, so I suggest that you hire a good accountant to help you with your taxes.
As a self-employed individual, you will typically be asked to fill out a form I-9, Employment Eligibility Verification as well as a form W-4, Employee's Withholding Allowance Certificate. Then the employer reports your earnings to the IRS and also withholds money from your paychecks for taxes. At the beginning of the next calendar year, you will receive a Form W-2, Wage and Tax Statement from each of your employers. You will use this form to report the taxes that were withheld throughout the year. Typically you also will file a Schedule SE with your Form 1040. The Schedule SE calculates the amount of self-employment taxes due. Note that if you earn over $400 each year, then you need to also pay the self-employment tax.
On the other hand, if you are working as a company then you will simply invoice the production, which will pay you as they would any other vendor. It will then be up to you to pay taxes per your company requirements (usually quarterly), as well as any other local or state taxes. Many programmers create a corporation or LLC specifically for their lighting business. In this manner you can receive tax benefits, have additional protection in the event of lawsuits, and several other advantages. While I operate in this manner with my own corporation, I am no expert and you should speak with an expert before heading down this path. Business taxes must be prepared as with any other corporation or company and additional tax laws and procedures must be followed. For instance, you may need to pay federal and state employment and/or payroll taxes. Also there can be requirements to maintain your status as a corporation or company including book keeping and additional files or fees.
Keeping Tabs on Expenses
It's important to keep a record of your expenses, as some of these may be tax deductible. You should be diligent about keeping receipts for meals, travel, and other expenses. Furthermore, certain equipment that is required for your job may be deductible. You will most certainly need a cell phone and laptop to work as a programmer in this industry. You can also deduct business-related mileage and may be eligible for a home office deduction. You probably should invest in some software such as QuickBooks or Quicken to assist in these expenses (and you can expense the price of the software too). Did you know that you can often deduct tickets to other shows as "research and development," because you are probably going to spend most of your time watching the lighting anyway?
Getting the Deal Done
When you earn money, you will have to pay taxes on it; that is a given. There are, however, many other things that you must consider when operating your business. One of these is a contract or letter of agreement. When you are approached for a gig, it's a great idea to tell the customer your working requirements up front (and in writing). Once they agree, get a written and signed copy of the agreement. I use a letter of agreement to explain what services I will provide and at what rate. Further details such as who pays travel expenses, per diem rates, and more are also included in this agreement. Additionally, I have a cancellation clause that provides me a portion of the payment if the gig should cancel within a specified period of time. If someone books all your time and then cancels at the last minute, you could be out of work as you probably turned down other work for their gig. They should be prepared to compensate you for this lost income.
Your Marketing Department
Of course, to be successful, you need to continue to be hired for more and more gigs. This industry works mostly on the "who you know" principle, so it is important to get your name and reputation in front of as many professional colleagues as possible. I know of many programmers that have set up Web sites to showcase their work and they spent many hours working on their sites. However, I don't know of any programmers who have been hired for a gig from someone who only read their Web sites! A Web site is good for showing your work to people you talk to, but don't expect that your phone will start ringing just because you made a Web page.
The best marketing is to promote yourself through continued work and relationships. You should talk to local lighting companies and work your tail off at gigs. Once they see what kind of worker you are, they are more likely to hire you again. Also you should continue to talk with LDs and producers from previous shows so they know you are available for further work.
Get Rich Quick
Automated lighting programming is a fantastic career, and with proper care and execution you can lead a great life in this industry. Be sure to follow all the tax laws and procedures whether self-employed or part of a business. Keep track of your expenses and be diligent with your marketing. With lots of hard work and patience, you can earn a wonderful living doing what you love!
