Budgeting on an Irregular Income

If you are a student or a YBP with a side hustle, you may have an irregular income. Not knowing how much money you have to work with can make it hard to budget. But even budgeting on an irregular income can be simple. Take a look at your income over the past year, month to month, and find the month where you made the least. Take that number and create your budget around that. Any extra income that is above the amount you budgeted can now be placed into an emergency fund, savings, debt or spending. It’s up to you really. But, decide ahead of time where that extra money will go.

What does the budget look like?

Make a list of all of your monthly expenses as well as things you’d like to set money aside for like an emergency fund or debt. List the items by order of priority and pay those first. The form provided at the end of this post will help you get started. This budget works great for any situation, whether it’s for extra income or are straight commission earners.

(via moneytalks)

Ramit Sethi of “I Will Teach You To Be Rich” asked his readers about budgeting on an irregular income to his readers and here is what they had to say.

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Black History Trivia

Friday’s answer: Hattie McDaniel for Gone With the WindWhat was the name of the organization founded by Dr. Martin Luther King, Jr.?

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