How to Make a Cash Flow Forecast for 2026 That You'll Actually Use

Update: 2025-12-17

Description

Planning for 2026 doesn't mean predicting the future perfectly—it means giving yourself a realistic roadmap so your cash flow doesn't blindside you. After reviewing your 2025 numbers, it's time to flip the page and build a cash flow forecast you'll actually use. In this episode, I walk you through how to make a cash flow forecast that's grounded in real data, accounts for your known income and expenses, and helps you spot problems before they become crises.

Topics Covered

Why your 2025 data is your forecast foundation – Using your actual monthly averages (revenue, costs, expenses, owner's pay, and taxes) to establish a realistic baseline instead of overly optimistic projections

The difference between expected and potential income – How to map out predictable revenue like retainers, memberships, and confirmed contracts without inflating your forecast with "maybe" money

Fixed vs. variable expenses – Identifying non-negotiable costs (rent, software, insurance, payroll) and understanding variable expenses (contractors, marketing, travel) so you can plan accurately

Planning for taxes and owner's pay in your forecast – Why paying yourself affects cash flow and how to set aside 25–30% for taxes to avoid April panic

Identifying cash flow gaps before they hit – Spotting months that might dip negative, understanding when expenses spike, and planning solutions now (whether that's increasing marketing, building a cash cushion, or adjusting your revenue strategy)

Why cash flow forecast is important for growth – How forecasting cash flow helps your business layer in new offers, pricing changes, hiring plans, and major purchases with matching expenses so growth doesn't blindside you

Turning your forecast into a living tool – Why updating it monthly with actuals, adjusting upcoming months, and noting patterns or surprises is what makes forecasting powerful (the maintenance is where the magic happens)

If you've been flying blind into the new year or building forecasts that just collect dust, this episode gives you a framework that's simple, realistic, and actionable. Understanding how cash flow forecast helps a business means you can move from reaction to intention. When you know what's coming, your numbers start working for you instead of against you.

Resources & Links

Website: https://firestormfinance.com/

Podcast Home: https://firestormfinance.com/podcast/

Book a Discovery Call: https://firestormfinance.com/contact

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