Leading a Budget with Unstable Income
All my “adult life” my financial dream was to get to the time when I’ll have so much money that I won’t need to count it. I hated budgeting. I hated looking at pricy things and understanding I could not afford them. Just buy everything I want without looking on the prices and that’s it. I’ve considered this to be the financial freedom I wanted.
Now when I’ve reached that goal I dream of learning how to properly lead my budget... 🙄 Weird circle, right?😅
There are several reasons for that. First of all, we are humans and we always raise our standards. So, there always will be things we could not afford. And to run that race is insane. Another thing is that if we just waste our money and not spend it wisely - we’ll end up broke no matter how many millions we had at first.
Somewhere in summer I began to wonder what basic principles of leading a budget could be implemented when you don’t have a stable income like a salary.
As noone will hold your hand and help you financially in a crisis situation. [Even if will it’s just too infantile to count on it]. You’re on your own. 😉
So, until now I’ve found two most valuable principles for me:
1️⃣ The “safety bag” that is recommended to all of us is just vital for the one with unstable income. ☝️
2️⃣ Make your income stable even when it’s unstable. 🙈 It could be achieved by:
- raising your own fund from which each month you’ll pay yourself a certain amount of money, your own “salary”.
- living on the money that was earned in previous month. Thus, your income is less stable than in first case, but still you always know how much you can afford this month.
This is very true! Prudent and wise spending is the base on which lasting wealth is built. When you really just focus on the necessaries, it's actually amazing how little we need to live. Most people conflate wants with needs, but a critical examination of spending habits always reveals unnecessary spending somewhere.
I can tell you how many times I've found myself thinking "Do I really need to but this right now?"
It's true. Thanks for great commenting!
Very interesting article, i think control of gains and losses are very important.
I started a few days ago a spreadsheet where i put some SBD so i can withdraw each month to help pay the bills.
Keep up the good work
You're right! I wish you good luck, thanks for reading!
One thing I have learned as being an businessman for many years is you need income flowing in always. There will always be financial crisis and the income is what helps us continue to push forward.
Once we have a ton coming in and keep our spending habits limited, we can compound our income and savings to real wealth!!
Great post @aleksandraz!
Thanks for the wise comment. Cash flow "in" is really important, and from my experience it's equally important to account and follow that flow so that one understands clearly how much money that is and what is the situation. Because it could be both ways - either the income is not so high as one estimates, as well as it may be bigger actually that one thinks. And then we may make not so smart decisions for the income we have.
Yea correct about that. It is a must to have clarity to help improve our spending habits as well.
the right solution in money management. this is a very valuable lesson for me. thank you @aleksandraz have shared the information in this post.
I'm pleased that this helped you and hope this'll make your life more confident.
@aleksandraz great tips I will make sure to apply them especially the last one ! Thanks 😉
Hope you grow with that :)
Don't ever let let the income flow dry out. If possible! Constant income is crucial to wealth.
Don't pay taxes! I don't know where you live and what you are doing, but if you are generating serious income, you should be looking at offshore tax avoidance. You will simply spend x-percentage of your money on nothing.
There is help, it may not be comfortable, people may hate you, but you keep what you earned!
No one is going to thank you, if you waste your earnings on taxes!
:D It's good Government tax people are not yet on Steemit, otherwise they would know where to look :)
Thanks for the advises. And the one about infinite income is the most difficult one, I think..
Beautiful
really a friend, lead the income budget is necessary because there will be a time salary or our income is unstable so we can minimize it with the budget we have saved far away. Thank you my friend. happy to always visit your friends post.
Thanks as always, happy to read your comments. :)
It's not easy to have all those necessary things and be ready for a crisis, but it's beneficial if you have them.
very 💋 great
Hi @aleksandraz..it's really good tips..i will try it end of this month by sure,.i agree with you that ( Not spending you money wisely will make you regret after all). I have experience itself, before i got married. Spending so much money to buy anything without thinking to save it for the future benefits..😑 thank you for sharing💖
Good luck, my friend. Thank you for a nice comment!
You're most welcome then..😊