GLOBAL DIGITAL TIMES | Tips for Managing Finance for Freelancers - Nowadays many people choose to work as freelancers . Flexible working hours and being able to work from home or anywhere makes this profession increasingly in demand. Being a freelancer is also more enjoyable because you have more time to do other things.

Even so, unfortunately there are still negative assumptions from some people about freelancers . Many people think that the future of freelancers is not guaranteed because of their erratic income. Deciding to become a freelancer not only requires strong determination, but also requires financial knowledge so that you are good at managing your finances.

So, for those of you who work as freelancers , consider the following financial management tips.

The uncertain amount of money coming in every month makes a freelancer have to be smart in managing finances . The first way you can do is to make a budget list of incoming and outgoing money. You can write it in a special cash book or record it on a gadget or laptop.

Start by keeping track of all unnecessary expenses for the last 3-4 months. So, if your income this month is below expectations, you have to cut your monthly expenses. Even if you get more, keep your expenses limited so you can save the rest. By knowing this cash flow , you can know how much your expenses are each month. 

Next, make spending priorities that can support your work. For example expenses for the internet, telephone, electricity, taxes, and so forth. After that, followed by secondary and tertiary needs.

For office workers, you definitely don't need to worry about health insurance because usually companies already provide this facility. In contrast to freelancers who have to pay for themselves when they suddenly fall ill. So that this doesn't burden you, you should buy health insurance.

Compared to saving for a health fund, buying health insurance is of course more beneficial in terms of value. Health insurance can save your finances when you are sick or have to be hospitalized and outpatient. Even so, it does not mean health funds are not important.

You can still save for a health fund if at any time the treatment you are taking is not covered by insurance. Set aside money every month to pay for health insurance and the rest of the money can be saved for health funds.

For those of you who are married, there is nothing wrong with buying life insurance. Because, this insurance can be used by heirs someday.

Setting up an emergency fund is also a way to manage the right finances. When you become a freelancer, you have to deal with money. Therefore, prepare an emergency fund from now so that later it can be used for certain needs.

You can set aside 10 to 20 percent of your income for an emergency fund. However, if that amount is still too big for you, just adjust it to your ability.

For better financial management, keep incoming and regular money in separate accounts. Make more than one account so that the money saved is not tampered with. For example, one special account for payroll and another account for savings.

Or, you can add one more account that is intended for daily needs. So, there is no such thing as 'accidentally used money' anymore.

Even so, make sure you don't have too many accounts, OK? Because, the more accounts, the bigger the discount you have to pay. Therefore, two to three accounts are enough.

As a freelancer , you must determine the standard of payment for everything you do. Don't let all jobs be accepted but the pay is not much. A freelancer does need quite a lot of money to support his life, but try to avoid jobs that pay below standard.

Set a lower limit for working on a project that matches your skills. You don't need to waste your time accepting projects that don't benefit your wallet. By determining the fixed value of your work, you can calculate the amount of money that you will get later. Besides knowing your income, you also know how much you can spend each month.

Those are tips on managing finances for freelancers . Whatever the type of work, everyone must have financial knowledge. This is so that the finances you have are not messy and wasted.

Come on, start doing the tips above so that your financial condition will get better!