How a self-employed person can plan a budget
Calculate the minimum amount
Calculate the minimum amount you earn every month. Then, calculate your monthly expenses. Create a budget based on that.
A tip for you
Keep separate accounts for tax, retirement, personal savings, etc. It will help you manage funds in a better way.
Do you know your average
Do you know your average monthly income? If yes, then set a budget on the basis of it. You can also take help from a financial adviser for proper help.
Submitted by Sanders Patricia on Fri, 04/26/2019 - 04:27
First gather all the
First gather all the documents of expenses incurred in last six months. then calculate the total saving you have in last six months = (6 month's income - six month's expenses) = six month's savings
Calculate your average saving per month. Take out that money from your paycheck and deposit into saving account.
Now your target will be paying off all the expenses from the remaining money, So, based on this amount you can start making your monthly budget. Try to save as much as possible from the remaining balance.