It actually seems like extremely poor advice, conflicting heavily with the situation described just a few paragraphs earlier.
=============
In January, you collect $4,000 -> In February, you can spend $4,000.
In February, you collect $5,000 -> In March, you can spend $5,000.
Simple, right? Wonderfully so.
=============
How about... figure out what your basic needs (and some wants are) on a regular basis, and if you can't bill anywhere even close to that, find another income source that will support those needs?
Just because you earned $4k one month, then $5k the next month doesn't mean you should be spending those amounts the next month. While these aren't the OPs exact words, it's the impression that can be gleaned. "Oh, I earned $5k last month, I can spend $5k this month".
Hrmmm... you should be savvy enough to also understand that you might have $0 billable this month meaning that, in 3 weeks, you'll have $0. Following that "last month/this month" strategy, you'll be able to spend $0 next month... not a winning strategy.
I'm glad the OP woke up to some budgeting needs, but the way this advice is presented seems, in fact, dangerous.
Figure out what your bare minimums are - cut your spending to bare minimums while you work and collect income. During this time, build up enough reserve to have a minimum of 3 months of savings. Aim for 4, then 5, then 6, then keep going.
Check risk tolerance with other family members. If they're not on board with this, go get a job earning what you need in a somewhat more stable capacity.
I can only assume OP is rather young. For someone to finish a project, work on their own projects for months, then 'take a vacation', then 'come back' and somehow be surprised that there's somehow not just a bunch of client work waiting to be done... this is extremely naive, and something I typically only see in really younger folks.
Again, glad the OP is getting savvy about budgeting and cash-flow, but take take this budgeting advice as gospel.
It actually seems like extremely poor advice, conflicting heavily with the situation described just a few paragraphs earlier.
=============
In January, you collect $4,000 -> In February, you can spend $4,000.
In February, you collect $5,000 -> In March, you can spend $5,000.
Simple, right? Wonderfully so.
=============
How about... figure out what your basic needs (and some wants are) on a regular basis, and if you can't bill anywhere even close to that, find another income source that will support those needs?
Just because you earned $4k one month, then $5k the next month doesn't mean you should be spending those amounts the next month. While these aren't the OPs exact words, it's the impression that can be gleaned. "Oh, I earned $5k last month, I can spend $5k this month".
Hrmmm... you should be savvy enough to also understand that you might have $0 billable this month meaning that, in 3 weeks, you'll have $0. Following that "last month/this month" strategy, you'll be able to spend $0 next month... not a winning strategy.
I'm glad the OP woke up to some budgeting needs, but the way this advice is presented seems, in fact, dangerous.
Figure out what your bare minimums are - cut your spending to bare minimums while you work and collect income. During this time, build up enough reserve to have a minimum of 3 months of savings. Aim for 4, then 5, then 6, then keep going.
Check risk tolerance with other family members. If they're not on board with this, go get a job earning what you need in a somewhat more stable capacity.
I can only assume OP is rather young. For someone to finish a project, work on their own projects for months, then 'take a vacation', then 'come back' and somehow be surprised that there's somehow not just a bunch of client work waiting to be done... this is extremely naive, and something I typically only see in really younger folks.
Again, glad the OP is getting savvy about budgeting and cash-flow, but take take this budgeting advice as gospel.