In my recent book, The Creative Professional’s Guide to Money, I promised readers I would provide a sample budget. But I’m delinquent on that promise because I haven’t been able to find one.
What exactly is a budget? A budget lays out what you project to earn for the year, what you project to spend, and how you intend to spend it. But if you don’t know what your income will be, you might be reluctant to project it. I understand that.
Here’s how I defined it further in my book:
A budget (from old French bougette, or “purse”) is essentially a plan for your money. Literally, it is a list of all anticipated expenses and income (a.k.a. revenues) that is used for saving and spending.
Said another way: It’s you telling your money what to do. Many creative professionals run what looks like a successful business without a budget. And when things are running smoothly, all is well. But if you have goals to achieve, or equipment or maybe a building you want to buy, using a budget is the only way to get there. Without a budget, you’re flying by the seat of your pants.
So if you have a budget, and you’d be willing to help the community by sharing it as a model (anonymously, of course), I would greatly appreciate it. Please email me.
And if you don’t have a budget? I hope this post will be your trigger to create one. Feel free to comment (or rant) about your experience with budgets here.