Now that you are stepping into a new phase of your life, you must be going through a lot of changing sentiments. Yes, you would become more independent and possibly more mature, but you also have to take responsibility for your finances. Despite the fact that your parents are still supporting you, it is about time you start managing your budget.
PapersHelm reviews some amazing guidelines for you to organize and manage your budget in an effective manner. With these helpful suggestions, you will be able to utilize your newfound independence in a better way by planning your monthly budgets.
Break-Down Your Expenses
The compactness of your budget does not matter, what matters is how you plan to spend it. You might be working as a freshman, or your parents might be supporting you, but you need to plan your expenditures. For instance, if you have $200 for a whole month, calculate how much you would spend on mobile bills or your car gas.
Prioritize Your Expenditure
Decide what is important for you. At times students spend money on certain things are of no use later. You need to take note of things that you require most. For instance going for sneakers for daily running is fine, but buying a new dress despite having many already in your closet would be wastage of money.
Get Your Own Credit Card
Once you have a credit card on your name, you would become very organized about spending money. Small things that you would buy with it would add to your credit score. This would prove advantageous for your future loans. Bank would consider you highly responsible with a credit score of 300 to 850.
Monitor Your Use of ATM
Set a limit of your daily ATM usage. You should not be hitting ATM for every little purchase. It is better to keep some cash on hand for emergencies. Restrict yourself from taking out cash now and then. You can do it by taking out a set amount at the start of the month and not visiting ATM for rest of the month.
Use Apps to Track Your Expenses
You can keep a tab on your monthly spending through mobile apps. There are many android and IOS apps that would help you track your expenditure. Apps like ‘You Need a Budget,’ ‘Pennies’ and ‘Google Sheets’ are excellent for keeping a record of spent money.
Go for Used Textbooks
You can always buy textbooks from old stores or from seniors (if you are acquainted with any). College bookstore also has books from previous students, and you can buy them at half price. Also, you can buy books online and save the hassle of visiting a store, but not if they are pricey.
All in all, managing your budget is a good habit. The money you save today will come in use tomorrow. Managing your budget also makes you more responsible and different from your fellow students because most of the students in college don’t bother about saving money. PapersHelm has fulfilled its responsibility to give you the right advice; now it is upon you to decide how you will manage your budget.