If you don't have a fixed income, you have to be much more careful with your expenses.
You have to take into consideration that unlike a “salaried employee”, you'll have to manage and stretch your money because -obviously- you don't have a fixed income every payroll.
But don't think that NOT having a fixed income is bad, the reality is that there are also many cool things around it:
First, you won't have a salary cap. You can earn what you want and stop working for a fixed price per hour.
Second, you'll be your own boss. You accommodate your schedules and work routines that best fit you.
And thirdly: You choose your office and your clients.
If you are starting with all this, we share with you information on how to survive (financially) in case you don't have a fixed income.
Visionary mind
- How much money do you want to earn in a year? Remember that it isn't about surviving. Your income as an independent must be optimal to live calmly and happily.
- In which companies would you like to work/collaborate as an independent?
Taking into account that the workload of a freelancer is volatile, you'll have to have clients who pay well and who also need your services constantly.
Create job proposals offering your talents and start selling yourself.
Examples for the creative world: Monthly photography for “x magazine”.
Write three articles a week for “editorial XYZ”.
- Look for secure income: At least have one “secure” client, one of those with whom you have long contracts and apart from that, look for other extra incomes that complement and lighten your expenses.
Define your minimum salary (and from there don't go down)
Make an account of your fixed expenses and based on that define how much money you have to earn monthly (YES OR YES).
Consider these items:
1- Monthly pantry
2- Rent
3- Internet
4- Your phone plan
5- In case you get sick (medical insurance and medicines)
6- Gasoline or public transport
7-Meals
Now. Once you figure out how much you require, define your “minimum income amount”.
You have to know how to charge
Once they hire your services, put together a deal in which both parties (the client and you) win; And when I say “make a deal” I mean make your own CONTRACT in which you specify when you are to be paid and what results you are going to deliver.
"Learning to negotiate" is a subject that we should all take at university :( that way we would save ourselves a lot of fights.
When can you buy your treats?
First, use that money to save and to build your emergency fund.
After you already have some money saved (20% of your income for three months), proceed to buy yourself some extra treats and luxuries.
Save easily
Get rid of the idea that saving is the most complicated thing in the world. Become aware of your expenses and income, only then will it stop being difficult.
Article translated by Rodolfo Schaefer
