How to budget for personal expenses in your business budget
When looking at personal expenses, it may be possible to put them on your business budget. There are a lot of legally expensable items for business owners or intrapreneurs doing a project within a company.
Education and coaching expenses
If you need specific professional development, such as a coach or online course, in most cases you can expense this against the company. If you’re going to do this, though, these expenses should be accounted for in your business budget.
Sometimes, these kinds of expenses happen in a more emergency fashion, for example realizing you are short on a necessary skill and can’t outsource it. In that case, these expenses might be covered by you out of pocket then reimbursed later. From a budgeting perspective, this would likely be called an emergency expense and calculated in the next budget if need be.
As an entrepreneur or intrapreneur, you may be able to expense some of your living expenses if you are doing work for the company. These things might include travel expenses for work, food expenses, and more.
These types of things, whenever possible, should be estimated and included in the budget in their relevant categories. If you can’t estimate the costs, then budget a slush fund – an amount of unallocated money that is earmarked to be spent in some way – so that your budget doesn’t get a shock when the expenses come up.