Saving Money while freelancing

Doing it on your own (well, not really on your own because you can still have some people working for you), or not having a boss is a very good thing to have; and although it can be very stressful at times, you can easily just sleep around and recharge. Fine, that’s nice. But how about managing other things in your life, like the financial aspect of it? Do you really know how to manage your money?
Yes, you read that right. Money can become your best friend if you’re genuinely friends with it, but if you’re not, you an easily lose it.
So here are some tips that you can use or consider in order to make your money handling skills better.

1. Car insurance should be reduced.

Remember that you car is a thing and that in one way or another it can still get scrapped in the following years, so reduce your car insurance. Most insurance companies base their insurance rates on how many miles you drive every single day, so if you’re no longer driving a lot of miles in a month (which is the direct result of freelancing), you should just tell your car insurance company to have the rate reduced.

2. Track all of your business AND non-business expenses.

And I really mean ALL. The thing is, when you’re freelancing you can easily get caught up with all your expenses. Freelancing is a very good and lucrative business, but because you’re on your own, you should be disciplined with how you handle your expenses as well. Keep track of all expenses so you can deduct them from your tax responsibilities.

3. Eating out and eating in.

You have to make sure that once in a while you go out to have dinner with your family, but don’t get too lost in the moment. Sometimes, you fail to save up for the rainy and hot days that we keep on eating out. I know loneliness in the freelancing business can become a very big problem for some, but there are ways to mitigate or eliminate this altogether.

Be creative when you work at home. Pay a relative to keep bugging you or let your child play in your home office (kidding). The point is, you have to keep in mind that you’re trying to keep your finances managed, so avoid eating out too much.

Eating in also has its dangers; just remember to buy only things that you want to eat. You don’t want to keep food in the fridge that you don’t really eat.

4. Electricity.

You nee to realize that when you start working at home, you will surely be using a lot of electricity for your tools and computer and you can’t do something about this. The only way that you can work around this is by being mindful about the things that you turn on in the house. Keep in mind that you want to keep electric usage at a minimum so if you’re really not using something, don’t plug it in.

5. Internet.

You can actually save up on your internet connection if you’re lucky enough to be in a town where there’s a lot of internet cafes. I usually go there during the weekends because I know that most of the people will be at home and I don’t want to add up to the amount of electricity used in those days.

Your thoughts

What about you? What are your money-saving deeds and tips that you want to share with us? What did we miss? What do you like to add?

Let us all know in the comments!

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About the Author

Stephen NellasStephen is part of the Software Jewel team, the company behind Clutterpad and BiP. He's also a regular author for BiP.View all posts by Stephen Nellas →