In this present day and age, mothers are finding working from home a lot more convenient than having to go to the office every day. This can especially be said if you happen to be a mother of young children.
For this reason, moms are becoming far more innovative and thinking up entrepreneurial ventures that can earn them a decent income as well as give them the flexibility to spend more time at home. However, one thing that becoming self-employed means is that you’re in charge of managing your finances.
This could mean anything from drawing up invoices, putting money towards your pensions, or paying your taxes. In light of this, you may need a few tips on how to manage your finances and you’ll find them below.
Record All of Your Expenses
As a self-employed mom, you’re likely battling with toys, deadlines and chocolate stains on a daily basis. However, finding the time to record all of your expenses is key. You should, therefore, think about allocating one day a week or month to keeping up with your expenditures and incomings.
This should help you keep track of how you’re managing your money, whether or not you’re within budget and how you need to cut down. Some general tips for tracking your expenses include creating a ledger, recording your expenses throughout the day, sticking to a spending limit and deciding what you’ll do with any unused money.
Maintain Good Credit
In addition to keeping up with your expenses, maintaining good credit is also an essential as a self-employed mom. Good credit is important as it gives you access to financial assistance such as loans if the need arises.
In light of this, ensuring that your bills are paid on time and you’re not overspending is key. If you’re feeling discouraged because you’re in a lot of debt and have a bad credit score, you should learn how to rebuild your credit and get back on track. With discipline and patience, you should find that it gets better.
Make Use of Tools
The good news for all of the self-employed moms out here is that you don’t have to carry the burden of managing your finances alone. Thanks to technology and the many finance tools out there, managing your finances can be done quicker and more efficiently.
Some apps that are effective in helping manage your finances include Digits, Acorn, Rize, Clarity, as well as Stash. The goal should be to make your job easier by using automation to help track your spending and put aside savings.
As a self-employed mom, there are many perks that you enjoy that moms who work in an office may not. One is getting to see your kids for longer hours throughout the day as well as having a more flexible schedule.
However, staying on top of your finances is key if you want to enjoy your semi-freedom without debt and unpaid bills lingering over your shoulder. On that note, hopefully, you’ve found this article and the tips provided useful and you can apply them when managing your money.
