36 min listen
768: How Can I Budget When My Income is Inconsistent?
FromThe Strategy Hour Podcast: Systems and Marketing for Service Based Businesses with Boss Project
768: How Can I Budget When My Income is Inconsistent?
FromThe Strategy Hour Podcast: Systems and Marketing for Service Based Businesses with Boss Project
ratings:
Length:
45 minutes
Released:
Aug 10, 2023
Format:
Podcast episode
Description
In today’s episode, I am going to be talking about what it looks like to budget when your income is inconsistent. Perhaps your business’ revenue and your pay is inconsistent and you want to create more sustainability across the board so that you can get paid more often and more predictably. I know the economy is insane at the moment and there is a lot happening right now so everything I am going to share with you today is what I would do when I want to have a more conservative approach in a time of uncertainty. I know that this will have an instrumental impact on how you change your business’ finances, create more personal financial stability, and solidify the future health of your business.
I need you to get the idea out of your head that businesses grow linearly or exponentially. They just don’t and you need to embrace these waves of inconsistency. I don’t want you to think that this sort of change means you’re doing something wrong because that isn’t true and running a business is simply too unpredictable. I want to help you find ways to manage these waves of inconsistency. I have been through periods of making huge amounts of money and periods of not even making enough to cover my family’s groceries for the month. In the first few years of running my business, I would take every dollar that would come into the business and use a percentage of it in a certain way, so I got paid when the business got paid. The problem with this is that it is very inconsistent and while it may work early on in the business as the most stable way to handle finances, it won’t work in the long run.
In your developmental years, you need a place to start because those dollars don’t always fall linearly even when you’re doing fantastically! While there are definitely things that you can be doing to create consistency in revenue, that’s not actually what I am going to be talking about today. I am going to be talking about creating consistency in your income and your pay; the money that goes into your personal bank account. Don’t get me wrong, this isn’t about taking every bump out of your business because bumps will happen! This is about creating predictability in your personal financial future and helping you save appropriately so that you can manage the unpredictability that will inevitably come.
Thank you for listening! Please subscribe, rate, and review The Strategy Hour Podcast on iTunes. Ratings and reviews are extremely helpful and greatly appreciated. For show notes, go to thestrategyhour.com.
Learn more about your ad choices. Visit megaphone.fm/adchoices
I need you to get the idea out of your head that businesses grow linearly or exponentially. They just don’t and you need to embrace these waves of inconsistency. I don’t want you to think that this sort of change means you’re doing something wrong because that isn’t true and running a business is simply too unpredictable. I want to help you find ways to manage these waves of inconsistency. I have been through periods of making huge amounts of money and periods of not even making enough to cover my family’s groceries for the month. In the first few years of running my business, I would take every dollar that would come into the business and use a percentage of it in a certain way, so I got paid when the business got paid. The problem with this is that it is very inconsistent and while it may work early on in the business as the most stable way to handle finances, it won’t work in the long run.
In your developmental years, you need a place to start because those dollars don’t always fall linearly even when you’re doing fantastically! While there are definitely things that you can be doing to create consistency in revenue, that’s not actually what I am going to be talking about today. I am going to be talking about creating consistency in your income and your pay; the money that goes into your personal bank account. Don’t get me wrong, this isn’t about taking every bump out of your business because bumps will happen! This is about creating predictability in your personal financial future and helping you save appropriately so that you can manage the unpredictability that will inevitably come.
Thank you for listening! Please subscribe, rate, and review The Strategy Hour Podcast on iTunes. Ratings and reviews are extremely helpful and greatly appreciated. For show notes, go to thestrategyhour.com.
Learn more about your ad choices. Visit megaphone.fm/adchoices
Released:
Aug 10, 2023
Format:
Podcast episode
Titles in the series (100)
630: What's Your Business Retirement Plan?: If you’re a true crime fan and you enjoy a scandalous story about fraud, you’ve definitely spent some time thinking about people who are bigger visioning. These are people who started by looking at the end result, instead of asking themselves what they can do today. While we’re definitely not advocating for crime, we totally believe that there’s great benefit to be had when you consider the big picture of your business! Legacy planning doesn’t mean you’re not invested in your business today; it just means you’re building with the future in mind, and that can only benefit you, both today AND in the long term. We’ve seen people invest so much into their business only to realize that the success of their business rests solely on their ability to keep it afloat. Creating systems, training staff, and starting with the end in mind are all powerful tools to help your business to thrive even once you have made your exit. We’re in the business of hel by The Strategy Hour Podcast: Systems and Marketing for Service Based Businesses with Boss Project