Budgeting and financial planning are great ideas, but how in the world do you budget or plan when you don't know from one month to the next how much money you're going to earn?
It's a difficult situation, but there are ways to approach the problem that, over time, will provide some stability for your finances.
The first trick is finding out how much it actually costs you each month to live; chances are it costs more than you think it does. Add up all your expenses - food, gas for the car, rent or mortgage payment, utilities, car payments, car and health insurance, and so on. Don't forget periodic payments like license renewals and car registrations, birthday and holiday gifts and cards or anything that costs you money.
Once you've decided what it costs you each month, that's what you live on. Open bank accounts for each broad category - monthly expenses, weekly expenses, and so on. And then deposit the amount of money you need per month into the appropriate accounts as the money comes in.
Separating monthly from daily expenses actually frees you up. If you know you've got money stashed safely away for the rent, heat, etc., and you see a pair of shoes or a book you really want, just check out your daily expenses account; you may find that if you eat rice and beans for a few days you can spring for the impulse buy without wrecking your budget. Just don't, under any circumstances, raid the monthly expenses account!
The conventional wisdom is that if you have credit card debt, you should pay it off before you start saving money. You're going to save a lot more in interest payments if you eliminate your credit card debt than you'll be earning in a conventional savings account. But you need to take into account your uncertain financial circumstances and your own human nature. Having a month or two of living expenses in the bank can do an amazing job of calming one's nerves, and can preclude the need for charging more money on your credit cards.
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