Cash runway for independent earners | HustlingTools

Understand cash burn, reliable inflows, and reserve scenarios.

# Cash gives you options
Runway is a planning measure of how long available cash could cover a recurring shortfall. It is useful precisely because it makes assumptions explicit.

## Separate cash from expected revenue
An invoice is not cash until it is collected. Use available cash and reliable inflows for your baseline. Keep uncertain pipeline revenue in a separate scenario.

## Calculate monthly burn
Subtract reliable inflows from monthly cash outflows. Divide available cash by that shortfall. If inflows cover outflows, the model has no monthly cash burn.

## Test a less comfortable month
What happens if a client pays late or costs increase? Save a second scenario and compare it with your baseline.

## Pick one next step
Reduce a recurring cost, request a deposit, or shorten payment terms on new work. Use a reserve target that fits your circumstances; this calculator applies no country-specific tax assumptions.