Moving House and Freelance Finances
So recently I moved house and wanted to share some insights into finances because as a freelancer it can be tricky to manage. Also having a self employed status you need to make sure you take into account about your profit and loss.
For instance if you make £100,000 and spend £70,000 on your business then you look like you earn £30,000 a year. Now if you are moving house you need an income average over the last 3 years so if you are starting out and in your first year your profit is £10,000 in year 1, £20,000 year 2 and £30,000 in year 3 means an average of £20,000.
I have a good buffer for costs like moving house or needing to buy or rent equipment I have access to over £15,000 in overdrafts.
Let me know what else you use in the comments below.