How to Budget with a Variable Income

When your paycheck changes every month, traditional budgeting rules can be hard to follow.

The 'Low-Month' Budget

Base your essential spending on your lowest-income month of the last year. Anything extra goes to savings.

Maintaining a Buffer

Treat your savings account like a 'holding tank'. Transfer a fixed 'salary' to your checking account every month regardless of what you earned.

Priority Lists

Create a list of expenses in order of importance. When money comes in, work your way down the list until it's gone.