Freelance work can be a great way to pursue your passions and earn some extra money. It also gives you the freedom to choose when and where you work.
But going freelance means starting your own business, so it’s important to learn how to run your own operations and manage your finances. Here’s a guide to help you get started.
Paying Your Bills
One of the most important responsibilities that freelancers face is managing their money. As a freelancer, you have the freedom to set your own schedule and work around other commitments, but you are also responsible for paying bills and filing taxes on time.
There are many things to consider when deciding on how to manage your finances as a freelancer, and it’s important to do research to find the best option for you. Some services offer free monthly billing options and other tools that will help you keep track of your bills.
For example, FreshBooks offers a free bill payment reminder service that will send you emails as soon as your invoices are paid. Using this service will save you time and hassle, especially if you have multiple clients who need to be paid.
Other ways to make your life easier as a freelancer include opening a business bank account and transferring your earnings into this account. This will help you keep track of your finances and will simplify your tax payments when the time comes.
It’s also a good idea to make sure you have an earmarking system in place for paying out business expenses. This will allow you to categorize and record your purchases, and you may even be able to get a receipt for some of them when you go to pay your taxes.
Similarly, it’s a good idea to have an emergency savings fund in place in case something happens and you can’t afford your regular expenses. This will give you peace of mind and a sense of security.
Finally, remember that you should always have a plan for chasing up unpaid bills. This will prevent you from losing your credibility as a freelancer and will protect your bottom line.
The most important part of this is having an accurate understanding of your income and expenses, so that you can pay all of your bills on time. Getting this right will make your life as a freelancer much easier and will help you to avoid having to rely on loans or credit when you need it.
Managing Your Time
Time management is an important skill to master as a freelancer. If you don’t manage your time efficiently, you could end up wasting your working hours and putting yourself in a difficult financial situation.
One of the first things that you should do is organize your tasks and projects. This can be done by creating a to-do list, or by using a digital platform such as Evernote or Google Keep. Once you have a to-do list, you should also break it down into time blocks, which will help you stay organized and efficient.
A good time management tool for freelancers is a project management system, such as ClickUp or Asana. These tools allow you to set up subtasks, set deadlines, and compile all of your notes in one place.
Another essential element of strong time management for freelancers is saying “no.” If you’re tempted to accept new clients, projects, or tasks that don’t fit your schedule, say no. This will help you save time in the long run and ensure that you can meet deadlines.
Lastly, you should try to give yourself some time off from work each day. This may not seem like an obvious time management tip, but taking regular breaks is important for your mental and physical health.
It’s easy to get caught up in your daily tasks and neglect to eat well or sleep enough. Practicing self-care is an important aspect of time management for freelancers, as it can help you stay productive and healthy. Make sure that you drink plenty of water, eat nutritious meals, and get enough sleep each day.
You should also take regular lunch and snack breaks, which will help you to avoid letting distractions get in the way of your work. This will help you to maintain a balance between work and social life as a freelancer.
Finally, you should track your time regularly to see how much you spend on various tasks each day. This will give you a clear understanding of your workload and can help you plan your client list and projects more efficiently.
Managing Your Clients
Managing your clients is a big part of running your freelance business. It’s important to set and manage expectations, be proactive with feedback, keep in touch as the project progresses, and be on top of payment deadlines.
It’s also essential to be honest with your client about any changes that may impact the way you work, whether it’s due to health issues, a family situation, or just a general change in your working schedule. If you are able to come clean with your client in an honest way, it will help prevent any major issues from developing.
Another important aspect of managing your client relationships is ensuring that you communicate with them in the way they want to be communicated with. That means keeping them in the loop via email, phone calls, and text messages.
The best way to do this is by putting a system in place for communicating with your clients, such as using a project management tool. Tools like Asana and Trello can help you compile your assignments in one centralized location, which will be a huge time saver when it comes to responding to your clients’ requests.
Once you’ve settled into a good pattern of communication, it can be very helpful to keep a calendar and write down all your tasks and deadlines. This will give you a clear idea of how much time you have to complete each task and what your next steps are, making it easier for you to plan your time effectively.
This is especially useful if you’re a newer freelancer and are still getting the hang of things, as it will help you prioritize your tasks and avoid missing any important ones. The more you can plan your day to day, the more likely it is that you’ll be able to get all your work done and meet your deadlines.
Keeping track of your projects and deadlines is key to avoiding issues such as Scope Creep, which occurs when you have too many tasks and a deadline for each. Taking the time to create an accurate scope of work and a contract can prevent these issues from occurring, meaning that you’ll have less to worry about in terms of your client relationship.
Managing Yourself
Freelance work is a great way to earn extra money while enjoying more flexibility than most other careers. However, it also comes with a lot of responsibility. Many freelancers have to manage the entire operations of their business, including client relations, billing, and even paperwork.
One of the most common mistakes that freelancers make is not managing their time wisely. As a result, they often end up overworking themselves and ultimately underdelivering on projects.
A good way to keep track of your work is to set up a simple, yet effective, project management system. This may be a to-do list, a physical planner (like the Productivity Planner), or even software that helps you keep track of your projects and tasks.
You can also set up a daily schedule to help you get work done on time. Creating an organized schedule will save you time and energy, so you can focus on the bigger picture.
Another helpful time-saving tip is to set a realistic deadline for each project and each task within it. This will ensure that you deliver high-quality work on time, which can boost your credibility as a freelancer and increase your overall income.
Finally, you should always be aware of your personal health. Getting adequate sleep, eating right, and exercising are all important to your overall productivity, so be sure to take advantage of these opportunities.
Keeping tabs on your health can be tricky as a freelancer, but there are plenty of resources available to help you achieve this goal. Some of these include apps like HeyFocus and The Emergent Task Timer.
The most important aspect of any type of time-management strategy is to determine your priorities and set deadlines for yourself accordingly. This will ensure that you spend your time on the most important projects and assignments.
Whether it’s setting up your own time tracking app or using a physical planner, putting these ideas into practice will help you stay productive and on top of your workload. This will not only help you get more work done, but it will also ensure that you remain healthy and happy in the process!
