Money management as a freelancer is challenging. It is even worse when you are managing multiple clients. Handling different payment cycles, monitoring milestones, and managing multiple currencies can interfere with your work quality and productivity. We understand this pain point, and we hope to help you with this article.
Here are practical steps to managing money when juggling multiple clients.
Creating an invoice from scratch for each client can be time-consuming and prone to errors when you have multiple clients. Instead, automate your invoicing for a professional and consistent outlook that saves time. This entails using a branded invoice template that includes your payment terms, bank details, and contact information. With tools like Grey, FreshBooks, and Wave, you can send recurring invoices automatically and track outstanding payments with ease.
Read more about automating invoices and payment tracking.
Juggling multiple clients could mean managing money in multiple currencies. Many freelancers have to create a separate bank account for each currency. This can get messy. With a global account on platforms like Grey and Wise, you can streamline your finances by managing multiple currencies in one place. This reduces payment delays, unnecessary conversion fees, and transaction costs. Centralising your payments makes it easy to track your finances and improves your cash flow management.
Using the same bank account for both your business and personal finances can muddy your cash flow. Have a separate account for your freelancing payments to simplify payment tracking and monitor your expenditure. This way, you can keep a close eye on your cash flow, budget with ease, and file taxes without getting confused.
LDMAG1
Keep track of your payments as they come in to ensure you don't miss any outstanding payments. You can use a spreadsheet. Just have a list of your clients, amount due, amount paid, invoice number, currency used, and payment receipt date.
As a freelancer, your cash inflow can vary monthly, so it's essential to automate your savings and allocate your taxes as funds come in. Waiting for tax season to sort out your allocation can be risky. Set aside money for long-term savings and emergencies to avoid embarrassment during financial emergencies.
If your local currency is relatively weak or volatile, it is crucial to consider this when creating your financial plan and billing for international clients. The exchange rate can significantly affect your earnings. Use a multicurrency account to hold funds in foreign currency and convert when the exchange rate is favourable.
Also read: Simple ways to manage multiple currencies as a freelancer or digital nomad
Simplifying money management while juggling multiple clients requires intentionality. It significantly improves your work process, offers financial stability, and saves time and money. Grey offers multicurrency accounts for receiving payments in USD, GBP, EUR, and USDC on one platform, without worrying about high transaction fees and unfavourable exchange rates. Automate your invoicing and link with your Grey account to streamline your finances.
Get started with Grey today to manage your finances the smart way.
.svg)
Back to top
