Not everyone has a consistent income and this can create problems when it comes to creating a budget. However, it’s definitely not impossible! It’s perhaps even more crucial to have a budget in this circumstance.
Here are a few links that I found with tips to create a budget when you have an inconsistent income:
- How to Set up a Budget with Inconsistent Income
- Budgeting when your Income is Inconsistent
- Here’s how to Budget with Irregular Income
Here’s a quick break down of the ideas to help you create a successful budget on an inconsistent income:
- Determine your income streams
- Develop a monthly average income estimate
- Calculate your expenses to create your monthly budget:- Tally your fixed expenses (mortgage, etc)- Tally your variable expenses (electricity, etc)– With your discretionary expenses (clothing, entertainment, etc), come up with fair dollar amounts based on the lowest income month(s).
- Any months that you earn more than normal, put that money into savings for the really low income months so you can still pay your expenses; and even put money into an emergency fund.
Do you live on an inconsistent income? I’d love for you to share your tips!