Lately, I’ve been thinking about how to weather the inevitable dry spells in freelancing. Some months are feast, others famine. I’ve tried setting aside a percentage of each payment, but it’s not always enough.
Anyone else struggle with this? What works for you to build a buffer?
I’ve been through this rollercoaster. What’s worked for me is having two separate accounts.
My main account is for daily business stuff. But I’ve got a ‘rainy day’ account too. Every time I get paid, I toss 15% into it. It’s not much, but it adds up.
When things get slow, I’ve got a cushion. It’s saved me from panic mode more than once.
I also keep a list of quick jobs I can do. Things like small website fixes or helping people set up their accounting software. They’re not big money makers, but they help fill the gaps.
The key is to start small. Even if you can only save 5% at first, it’s better than nothing. You can always bump it up later when things are good.
I don’t bother with fancy stuff. Just put some money aside when I can. If work’s slow, I call up old customers and see if they need anything fixed. Usually works out.
I just keep some cash around for when things get slow.
Don’t really plan it out too much. Works okay for me.
Simple. I always keep 3 months of expenses in a separate account. That’s non-negotiable. Been doing it for years and it’s saved my ass more than once.
Every job, I take 30% off the top. 10% goes to taxes, 10% to that safety net, 10% to retirement. Rest is for running the business and living.
When work’s slow, I hustle more. Pick up small jobs, reach out to old clients, network. But having that cushion takes the panic out of it. You can think straight and make better decisions when you’re not worried about next month’s rent.
I’ve tried a bunch of things over the years. Here’s what’s working for me now:
Separate savings account. I put 20% of each payment in there. No touching it unless it’s an emergency.
Diversify income streams. I do my main work, but also:
Keep a ‘rainy day’ project list. When things are slow, I work on:
Track everything. I use a simple spreadsheet to see patterns in my income and expenses. Helps me plan better.
Network, even when busy. I always try to make new connections. You never know when they’ll come in handy.
It’s not perfect, but it’s keeping me afloat so far. The key is to start somewhere and keep adjusting.
I keep it simple. Save 20% of every payment for slow times.
When work’s scarce, I cut unnecessary expenses and pick up quick gigs to fill the gaps.
Having some cash set aside helps me stay calm and choosy about jobs, even when things are tight.