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Category - Saving Money

Banking Advice For Webcam Models

I’ve covered lots of topics over the years. There is so much to discuss when it comes to camming, but one of the most important things just might be related to gettin’ paid and savin’ money. For that, I’ve decided to share what I know about banking and the typical cam models options.

Banking advice

Bank Options & Advice For Cam Girls

Cam modeling is one of those jobs that people consider to be a way to get easy money, but I promise you, it isn’t an easy job. It does, however, have the potential to get you some big bank if you’re good at what you do and take it seriously.

So, what happens when that money starts rolling in? While cam modeling is definitely a legit job, sometimes banking can get a touch tricky. If you’re a cam girl, or someone thinking about starting a career as a cam model, here are some banking tips to make the money management easier.

Consider Your Cam Modeling as a Business

Working as a cam model is essentially running your own business. Sure, it isn’t like you’re a brick and mortar store, but you’re still offering a service and a product (yourself and anything else you decide to sell). Unfortunately, even though you are doing something that is legal and on the up-and-up, banking can be a bit of an issue.

You see, not everyone is going to be ok with dealing with “sex money,” even if it isn’t due to illegal activities. Trust me on this, people are so judgmental, it can be infuriating. And it gets really frustrating when you’re trying to deal with a bank.

If you’re starting to receive money from your cam model work, here are some tips to make sure the process goes smoothly.

  1. Choose the right bank.

It may seem crazy, but you are probably going to want to take a look at the bank you’re currently using to see if they’re adult-friendly. Not all banks out there are going to be accepting of a check or payment from an adult-oriented industry and that can cause you some serious problems.

Suntrust

If your bank is not accepting of adult industry payments and they found out where your money is coming from, they absolutely have the right to freeze your account and you will not have access to any of the funds in your account, whether they are involved in your work or not. Now, they can’t keep that money, but it can sure cause you an annoying disruption, especially if you need that money for camming supplies, rent, car payments, groceries, etc.

If you’re looking at banks, these bigger financial institutions are notoriously against the adult industry:

  • JP Morgan Chase
  • Bank of America
  • American Express
  • PayPal
  • Square

I don’t know if it is strictly morality reasons, you’ll often see in the banks’ terms and conditions that they have a “morality clause”, or they are more worried about fraud and chargebacks, which is entirely a legit worry.

The adult industry is the industry with the highest percentage of people demanding refunds for the payments they made. Imagine a guy with a wife is sending you money for a show and his wife finds out. The husband will then say, “I didn’t charge that, that was fraud” and now claiming he never made the purchase, will demand a refund.

This is also why I totally recommend setting up a business account strictly for your cam modeling services only. If you have another job or another stream of income, keep that separate so if the bank gets weird on you, it shouldn’t affect your other money and you’ll still have access to some bit of money when you need it.

Also, consider using Wells Fargo and Citi Bank. Both of those banks have thus far remained open to the adult industry, however, read those terms and conditions thoroughly before you go with them, it could change at any time.

  1. Be vague with the bank.

No matter what bank you decide to go with, I would really recommend you stay vague with them. Luckily, most cam modeling sites understand the difficulties that are presented by being in the adult industry, so they don’t blast what you’re doing all over your checks and deposits. You definitely shouldn’t either.

IDK Emojis

If you are working as an independent cam model, I would definitely recommend that you create a company for yourself, which you can find information on by a web search, and for the love of all that is good (bad) and pure (impure), do not create a company name with the words “cam,” “sex,” “desires,” “adult,” or anything else that just screams “sex industry.”

Pretty much just assume that you’ll get caught and you’ll have a huge hassle on your hands.

  1. Don’t accept shady payment methods.

As a successful cam model, you’re probably going to have fans all over the world. That’s great and all, but if you want to avoid another banking problem, don’t accept payments from foreign countries, especially those in Africa, the Middle East, or Mexico. Those are total red flags to banks and you’re going to get some questions.

payment options

I would also highly recommend that you don’t accept shady payment methods like Western Union or MoneyGram wire transfers. Con artists use these methods to commit crimes every single day and for some reason, they don’t much care. I suspect that it is because they benefit whether the transfer is legit or not.

  1. Hire a CPA.

I wouldn’t be responsible if I didn’t recommend that you keep this business legal. This means you absolutely must pay your taxes.

I know, I know, that sucks. But, if you think dealing with the bank is difficult, wait until you’re dealing with the IRS. The Feds are no joke, my friends.

A CPA can help you get all the work-related things organized and file your takes properly. Just make sure you keep your receipts from anything you purchase for work and be honest about what you make. Once they show you how to file and what you should be keeping for your financial records, you can probably file taxes yourself in the future.

Oh, and if you’re smart and you don’t want to get hit with a huge tax bill in April, save about 30% of your income. Typically, you’re not going to have taxes taken out of your work checks and you are responsible for that.

The CPA will probably have you send in quarterly payments because that’s what the IRS likes, but I’ve sent a lump sum at tax time and never got a complaint from them. (I did, however, grumble because that lump sum was high and I should have sent in quarterly payments, which are much more doable)

Hopefully, this banking advice for cam models will help you to get started. Just make sure you keep things on the down-low, find an adult-friendly bank, use common sense when accepting payments, and PAY THOSE TAXES!

Pay taxes

Managing your webcam earnings better

webcam earnings

How to Manage your hard earned webcam earnings better

It’s difficult to save money as a cam girl because you never know how much money you’re going to make each day. Even the top girls with very high webcam earnings fluctuate in earnings each month. Not knowing how much you’ll make each day, let alone each month, makes saving money seem next to impossible. When you have a great day camming it can be tempting to treat yourself and splurge on something fun and frivolous. Unfortunately, with that kind of attitude towards finances, you could find yourself struggling to buy groceries.

If you’re smart about your money you can help avoid an end of the month scramble to pay rent. You could even find a way to save your money for long term goals like buying a house, planning for retirement, or starting a college fund for your children. Depending on your income level there are two fool proof plans to save money. The first plan is the basic survival plan. If your camming income barely covers your rent, food, and bills, you won’t be able to save a lot, but if you put away a tiny bit each paycheck your bank account (and stress level) will thank you.

If you’re on the survival savings plan try to stash away 10% of your earnings each cam session. For example, if you make $50, save $5. It may not seem like a lot but it will pad your bank account and come in handy if you have to miss a cam show or an unexpected cost pops up. If you’re making a larger income than a part time cam model and you can afford to save more then you should think about a long-term savings plan. To keep things simple follow the 50/20/30 rule. Here’s the breakdown:

50 percent of your income should go towards essentials. That may seem high but once you consider what falls into that category it makes financial sense. Things such as housing, food, transportation, and utilities are all essentials. Obviously each person has different essential costs (i.e. you may live in a location where your rent is cheap but it costs you a lot in gas money to get to work) so adjust accordingly.

20 percent of your income should be put towards financial obligations. That may sound similar to essentials but these are items that will help you get ahead financially versus things you need to pay to survive. For example, paying off student loans, planning for retirement, and putting away money for emergencies are all financial obligations.

30 percent of your income (and this is where you can really make a difference in your budget) are items that enhance your lifestyle. Some financial experts would advise against such a frivolous category but quality of life is very important and it’s necessary to have some small luxuries. You work hard, you should be able to enjoy your money. There are some tricky costs in here that may seem like they belong in the financial obligations category. Items like cell phone bill and cable bills appear to be financial obligations but you could sacrifice movie channels for a cheaper cable
bill and you can always decrease the cost of your cell phone bill. Those items are completely personal choices and that’s why we put them in the lifestyle category.

If you’re having a hard time deciding on how to spend less money (and keep more of your webcam earnings in the long run) try these simple tips for cutting unnecessary expenditures:

1) Buy groceries and make food at home instead of eating out or ordering take out. If you spend $10 on each meal out you’re spending $210 or more a week on food. You can reduce your cost of eating by finding recipes that stretch your meals. Think about roasting a chicken on Sunday night and using that chicken throughout the week in burritos, salads, and soups.

2) If you cam from somewhere other than you home try to find a rideshare program to reduce your gas bill. There are tons of programs that help people find rides to and from work. It’s good for your wallet and it’s good for the environment.

3) Write down what you spend your money on everyday for an entire week. Even if it’s a couple dollars on a cup of coffee see where you could save money. That cup of coffee could be made at home for a fraction of the cost of a Starbucks espresso.

If you feel like you’re not able to control your webcam earnings on your own speak to an industry friendly financial specialist. There are many financial advisers versed in the adult industry and the financial trappings that come with working in this field. There are lots of resources that can help you budget your money and save up for things as small as a pair of shoes or as large as buying a condo.