Ahhhhhh. The freedom to choose what you do and when you do it. The opportunity to control your workload. The independence of being, well, independent.
While being your own boss may come with a lot of perks, tracking your finances isn’t one of them. Since it’s not all sunshine and rainbows, the indi team put together a list of tips to help you get the most out of every dollar you make – and spend – as an independent worker.
Separate your accounts.
It’s crucial to separate your work finances from your personal. You’ll get a better grasp of how much money you have available for work purchases and how much is available for personal expenses. Separating your account also makes dealing with tip #2 a lot easier.
Plan ahead for taxes.
If you were working a nine-to-five job, your employers would be withholding taxes from your paychecks. As an independent worker, it’s up to you to plan ahead for taxes so you don’t end up with a large (unexpected) bill when tax time rolls around. When banking with indi, your tax savings are set aside automatically, every time you receive a 1099 payment.
Track your expenses meticulously.
According to Vice, the average freelancer overpays taxes by 21% because of missed deductions. indi makes it easier to avoid overpaying on taxes. Through the indi app, you can quickly capture and upload receipts for all of your work-related expenses. Capturing all of your expenses, and reporting on them properly at tax time, will keep more of the money you earned in your pocket.
Create multiple streams of income.
Websites like Jobble, Rover, Upwork, and TaskRabbit can make it super-easy to pick up side gigs when you have the time and need the money. It never hurts to have options! As payments roll in from your different gig jobs, just make sure you’re categorizing your income properly.
Is there anything not listed here that you do to manage your money as an independent worker? If so, comment below! We’d love to hear from you.
indi is banking for smart, independent workers. Track your income, categorize work expenses, maximize deductions, and save for taxes. All in one app.