How Do I Estimate My Income as a Freelancer?

As a freelancer, it can be difficult to accurately estimate your income.

After all, you’re probably working for several different clients who pay you at different rates.

Understanding your cash flow is the first step to managing your budget and reaching your financial goals. Large corporations spend a lot of time and money developing forecasts and budgets – and for good reason.

Luckily for you, forecasting and budgeting for your own individual goals requires a lot less effort, but it can be just as useful.

How to Plan Your Income as a Freelancer

This annual planning spreadsheet was developed to assist freelancers in identifying future income sources, strategic priorities, and cashflow implications. Not only can it help your plan for upcoming client work, but it also can help you forecast the year’s revenue.

Here’s how to build your plan.

Step 1: Start by identifying the average number of hours you intend to work for each client per week. Then, add each client’s hourly rate. The spreadsheet will automatically calculate your estimated weekly earnings for each client.

Step 2: After inputting all client information, notice that the spreadsheet automatically tabulates an estimated annual income for your freelancing business. Nifty, huh?