Even if you are earning a freelancer income, good budgeting habits can help you to better make ends meet.

From rising prices of goods to higher living costs, inflation affects everyone in Singapore. Freelancers with irregular income feel it most. With core inflation expected to stay around 3% and prices set to rise further, managing your budget wisely matters more than ever. Read on for simple budgeting tips and strategies that go beyond spending less than you earn.

Understand the budget process

Budgeting is creating a plan to manage money. It forecasts income and expenses, then allocates funds to savings, essentials, and extras.

Freelancers and gig workers often earn irregular income, so a new budget should be made each month. This ensures money covers both needs and wants without overspending.

Here’s how to start a budget:

Easy steps to create a new budget

1. Identify all sources of income: Review income records from the past 12 months. Create a spreadsheet to track earnings. Note your highest, lowest, and average monthly income.

2. Account for applicable taxes: Fulfill obligations under the Self-Employed Scheme. Pay Income Tax and MediSave contributions based on age and net trade income.

3. Identify recurring/fixed monthly expenses: List monthly fixed costs before variable ones. Include mortgage, utilities, childcare, and insurance. Prioritise these over ad-hoc leisure spending.

4. Set aside money for miscellaneous expenses: Plan for irregular costs like annual insurance premiums, car maintenance, or gifts. Add a cushion for unexpected spending.

Track variable expenses with a budgeting app or consolidate accounts in your preferred bank app, which often offers financial management tools.

5. Save whenever possible: Savings help households handle income instability and unexpected costs. Set aside leftover income after covering expenses.

Create savings goals to stay motivated toward financial objectives, such as your child’s education or retirement. Freelancers may find automating a fixed amount stressful. Save varying amounts depending on income and unexpected expenses. Save more after bonuses, less when bills arise.

To maximise savings, consider Tiq CashSaver, a capital guaranteed endowment plan. It provides a lump-sum payout at maturity¹, guaranteed, and non-guaranteed yearly cash benefits. Start saving from as low as S$125 a month².

Whether saving for education, a vacation, or building a habit, start today with a comfortable amount, knowing your savings are secure. Learn more.

6. Build a buffer: Irregular income can cause prolonged financial stress, which may lead to health issues and increase financial strain.

Change your mindset and improve financial literacy. Build an emergency fund to protect against a lean periods and break the cycle of income instability.

How to stick to your budget process?

Similar to dieting, creating and sticking to a budget can be challenging, especially with inconsistent income or spending. The key is consistency and adapting as your financial situation changes. Here are some best practices to keep in mind:

• • Be realistic: Set SMART goals with clear, achievable objectives. For example, state clearly, “I want to save S$1,500 for an emergency fund in six months by setting aside S$250 monthly.”

• • Monitor and categorise expenses regularly: Track spending as it occurs rather than waiting until month-end. This helps you better assess your finances.

• • Prioritise spending based on goals and values: Rank expenses by importance and alignment with your values. This eliminates unnecessary spending and keeps you motivated.

    As Melissa Browne, author of Budgets Don’t Work (But This Does), said, “I believe that finances are personal. In the same way that it’s not about dieting but rather eating well, I don’t believe it’s about budgeting but rather spending and investing.”

    The right insurance savings plan can help achieve financial freedom. Tiq CashSaver lets you start saving today while protecting your future goals.

• • Constant reviews and adjustments: Regular budget reviews provide a comprehensive overview of your income and expenses, helping you understand where your money is going and identify unnecessary expenses. Having a clearer picture of your financial status would also enable you to make informed decisions, evaluating the feasibility of new expenses or investments.
  • Reward yourself: When you reach a budgeting milestone, yourself with something small. This positive reinforcement can boost your motivation. Allocating a small portion of your budget for   can also prevent feelings of deprivation and helps you stick to your budget for the long term.

    With Tiq CashSaver, you can receive a steady flow of supplementary income³ from the end of your 2nd policy year, or you may accumulate your yearly cash benefit to further grow your savings at the prevailing interest rates⁴.

  • Stay accountable: Self-discipline can be tough, especially when one is struggling with an irregular income. Sharing your budgeting goals with a close friend or family member can bring you support and ensure you are committed.

Effective budgeting with a freelancer income

A survey conducted by Rakuten Insight in March 2023 found that about 85 percent of respondents in Singapore reported that rising prices of groceries had the most significant impact on them. In addition, 54 percent of respondents stated that inflation in utility costs was the most challenging to deal with.

While many of the financial hardships that low and middle income families are struggling with can’t simply be addressed with a budget, adhering to a structured budgeting process can give you an idea of your spending, and allow you to make adjustments to work towards your financial goals.

Effective budgeting can also help one to better manage financial instability and stress, especially for those with a freelancer income whose workload and income vary monthly.

Whenever you are ready, you could start saving monthly from as low as S$125 with Tiq CashSaver, a capital guaranteed endowment plan upon maturity that offers yearly cash payouts and protection for your family’s future. Some freelance work that involves working outdoors comes with greater risk of injuries or illnesses. Tiq CashSaver also provides protection for Death and Terminal Illness. Learn more.

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¹ Upon maturity if the policy is still in force, the maturity benefit payable is the sum of the following:  a) the guaranteed maturity value; and b) performance bonus (if any); and c) yearly cash benefit and non-guaranteed yearly cash benefit accumulated with us (if any); less any amount owing to us.
All bonuses are not guaranteed. This is a participating plan and actual amounts may vary depending on the performance of the participating fund that the plan is invested.

² Based on a premium term of 5 years and yearly payment of S$1,500 (rounded to the nearest dollar).

³ Receive a guaranteed yearly cash benefit starting from the end of the second policy year until the policy matures, as long as the life insured is alive and the policy is in force. The guaranteed yearly cash benefit is 3.9% p.a. of the face value, while the non-guaranteed yearly cash benefit is 2.5% p.a. of the face value based on the illustrated investment rate of return of 4.25% In comparison, at an illustrated investment rate of return of 3% p.a., the non-guaranteed yearly cash benefit expected to be adjusted downwards depending on the future outlook of the Participating Fund.

Please refer to the policy illustration for the non-guaranteed yearly cash benefit amount at the investment rate of return of 3% p.a. and 4.25% p.a. respectively. The two rates are used purely for illustrative purposes and do not represent upper and lower limits of the investment performance of the Participating Fund.

⁴ The guaranteed and non-guaranteed yearly cash benefits accumulated with us will be at the prevailing interest rate. The prevailing interest rate is non-guaranteed and we may change the interest rate at any time by giving you thirty (30) days’ written notice.

Information is accurate as at 26 June 2024.

This article was updated on 22 October 2025.

Please refer to Tiq CashSaver Product Page for full Terms and Conditions.

This policy is underwritten by Etiqa Insurance Pte. Ltd (Company Reg. No. 201331905K).This content is for reference only and is not a contract of insurance. Full details of the policy terms and conditions can be found in the policy contract.

As buying a life insurance policy is a long-term commitment, an early termination of the policy usually involves high costs and the surrender value, if any, that is payable to you may be zero or less than the total premiums paid. You should seek advice from a financial adviser before deciding to purchase the policy. If you choose not to seek advice, you should consider if the policy is suitable for you.

This policy is protected under the Policy Owners’ Protection Scheme which is administered by the Singapore Deposit Insurance Corporation (SDIC). Coverage for your policy is automatic and no further action is required from you. For more information on the types of benefits that are covered under the scheme as well as the limits of coverage, where applicable, please contact us or visit the Life Insurance Association (LIA) or SDIC websites.

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