NomadFinancials • Printable planning companion • 15 October 2026
Worked examples below are fictional illustrations. Replace the inputs with your own numbers. This is a manual worksheet, not a calculator or accounting system.
| Reserve | Primary job | Example use | What it does not cover |
|---|---|---|---|
| Income buffer | Smooth normal cash timing | Pay regular bills before a confirmed client payment clears | A permanently unprofitable business |
| Emergency fund | Handle an unexpected financial shock | Urgent personal repairs or an unexpected interruption to work | Predictable annual renewals |
| Sinking fund | Save for a known future cost | Replace a laptop on a planned schedule | Every ordinary monthly bill |
| Tax reserve | Hold cash assigned to tax obligations | Pay an estimated tax amount based on your situation | Routine owner spending |
| Week | Cash received | Planned outflows | Closing cash without extra buffer |
|---|---|---|---|
| 1 | $0 | $1,400 | −$400 |
| 2 | $600 | $800 | −$600 |
| 3 | $2,500 | $900 | $1,000 |
| 4 | $1,200 | $700 | $1,500 |
| Date / period | Item / assumption | Cash in | Cash out / allocated | Balance / next action |
|---|---|---|---|---|
Do not count transfers between your own accounts as new income. Keep tax reserves and earmarked funds distinct from freely available cash.
Source guide: nomadfinancials.com/income-buffer-vs-emergency-fund/