Managing seasonal income swings
Seasonal income is normal in many trades, but tax planning still requires consistent monthly discipline.
Build your budget around low months, not peak months. This makes your baseline sustainable and reduces pressure when work slows down.
During strong months, fund buffers first: tax reserve, operating reserve, then planned investments. This order protects business stability.
Review your 12-month income pattern annually so your set-aside and payment planning reflects the real shape of your business.
Key points
- Use conservative baselines for monthly spending.
- Prioritize reserves during high-revenue periods.
- Plan tax using full-year seasonality, not recent highs.