Managing Money As A Freelancer

Just like most things in life, freelancing comes with a price and some balance. And well, it’s not necessary to work to someone else’s schedule; you do have to make sure that you are handling your finances well.

So businesses and freelancers rely solely on the owner or the person in the business to make sure that the finances are taken care of properly. Here are some quick tips to help you get your freelance finances under control.


Love them or hate them, spreadsheets are a great way to help you keep track of your income. You just need to take some time out every week and import what you have made and what you have spent. This makes it incredibly easy to fill in your taxes when the time comes. 

Most freelancers say they have no idea how much money they make because they don’t keep everything separate from their bank account – another thing that can benefit you in a big way is a separate bank account. 


One of the most fun things about freelancing is that you can work with people all over the globe. It does mean that they are most likely going to want to pay in their local currency. 

Make sure that you have checked out all of the best foreign currency accounts or that you keep a close eye on the exchange rate. This will mean that you don’t undervalue yourself by miscalculating the currency for another country.


Unfortunately, many full-time freelancers and small business owners are not insured. This means that if something happens to the work and they do for their clients, something is incorrect, with disastrous results, the freelancer or the small business is liable.

Here are a few insurance policies that you should consider.

  1. Life insurance
  2. Health insurance

If you do happen to have a fire or a car accident, you’re not likely going to be back at your desk in a few hours. You’re going to need some recovery time, and most likely a team of expert personal injury attorneys.

Try also to find a health plan with deductibles and something that you can easily fit into your monthly payments.

The right insurances can help you keep your business running if anything should happen.

Invoicing system

Your invoicing system should be as streamlined as possible. However, it is entirely possible for you to create invoices in Microsoft Word, Google docs, or even Pages. They don’t have software in the back to make it easier to keep track of percentages, work out your income automatically, or offer the simple option to send reminders for unpaid bills.

Bonsai, PayPal, Freshbooks, and Wave are top-rated invoicing systems. Most of them have a free option and are designed for small businesses and freelancers to keep on top of their finances.

Much of tackling your finances as a freelancer comes down to organization and not being afraid to look at the numbers at the end of each week. If you get too worried about chasing late payments, or you wouldn’t be able to tell anybody how much you earned in any given month, then it’s most likely you need to have a quick financial overhaul.

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