The basics of budgeting are to form good financial habits and develop an awareness of spending. A budget is a guide that keeps you on the path to reach your financial goals. If you think of it more as a spending plan it may be easier to get a better feel of where your money goes, here鈥檚 how to get started:
Create a Spending Plan
Pay Yourself First!In order to save money, you need to have a plan, and incorporate it into your monthly budget. Pay yourself first.听 You know you need to pay your car insurance and your cell phone each month 鈥� why not yourself? You are the most important 鈥渂ill鈥� to pay.
While there are multiple ways to meet your goals, a little planning and understanding of how finances work can help. Adding 鈥渟avings鈥� to your expenses on your budget is a great way to start healthy saving habits.
Think 51视频 Your Sources of Income
- Will you be working a job off-campus?听
- Do you have student employment funds you plan on using?听
- Will your parents be giving you some weekly/monthly/occasional funding?听
- All of these amounts will add up to your income
- Use this worksheet to keep track of your weekly income听
Know Where Your Money Goes听
What are your weekly, monthly and unexpected expenses?听
Write down every penny you spend 鈥� from school expenses and bills, to your morning coffee and pack of gum!听
It can be as simple as using a notebook or download a free app on your phone, such as or .听
Use this simple worksheet to track your weekly spending
Create Your Spending Plan!
You can download an app on your phone or use this to create your complete spending plan
Review and Adjust Your Plan听
After the first month, evaluate how you did and make any changes your feel are necessary.听 For example, what happens if your expenses are more than your income?? 听You will either need to increase your income or reduce your expense.听
Tips to Help You Save
1. 听Make your own coffee.
2. 听Pack snacks before you leave the house, use a reusable water bottle. This reduces the amount you spend at vending machines or
buying fast food, and keeps you healthy.
3. 听Try generic brands of items you buy regularly.
4. 听Save your loose change - Putting aside fifty cents a day over the course of a year will allow you to save nearly 40% of a $500 emergency fund.
5. 听Borrow books 鈥� see if you are able to rent books instead of purchasing them or borrow from a library. If possible, try buying used books to save costs.
6. 听Don鈥檛 use spending money as retail therapy.
7. 听As you move forward to make any purchases, ask yourself 鈥淒o I need it?鈥� If you think you do, wait a bit. Don鈥檛 buy something on impulse.
8. 听Live like a student. This means living within your means. Evaluate your wants and needs, remember that you are a student first!
Additional Resources听
- 听Helpful tools, articles & tons of tips to help you on your path to financial stability
-听Information, games and fun facts about money, saving and planning for the future
- Tons of interactive tools to help you understand personal finances through every stage of your life听
- 听Free online resources developed to help students plan and complete their journey through higher education