Setting a budget can be pretty daunting but it doesn’t have to be. Follow these easy steps on how to create a student budget.
Stay on Track
Track, track, track! If you’re not tracking what’s going out, your money may be trickling away, without you even knowing it! Luckily, this is super simple to do! You can keep a digital spreadsheet record of your income and expenses, go old-school and write it in a notebook, or even use a specific budgeting app that does the work for you!
Get Your Priorities Straight!
Separate your needs and wants. A two for one cocktail sesh at your local spoonies may seem a great deal, but make sure you’re ticking all the essential boxes first! Food, transportation, rent and utilities should always come first. Any extra money can be put into a “fun fund”. Purple Rain anyone?
This step pretty much links in with the one above. When you’re thinking about creating your student budget, try and pinpoint which expenses aren’t serving you. What’s the point of having an individual Netflix account when your household shares one? Cut it out of your life. Your bank will thank you.
Honesty is the best policy. Especially when it comes to how you choose to splash your cash. Look at all the sources of expected income. Do you have a job or side hustle that brings in regular money? What do you expect to spend out of that amount? Always give yourself room for any unexpected expenses!
Review and Adjust
Your budget should always work for you. That means you may have to change it up to match your current circumstances. Income lower than anticipated? Time to swap out a few unnecessaries purchases. Unexpected money gifted to you? Adjust accordingly.
Just in Case of Emergency!
Last but not least, the emergency fund. This one is a biggie! Set aside some money and don’t dip into it until you absolutely have to. The cost of living is rising and it’s important to be prepared for every possible scenario. This may seem restrictive, but it actually gives you so much freedom. You don’t have to stress as you’ll know you have this to fall back on.
The Student Energy Group can help you with your budgeting. Get your green electricity, gas, water, TV licence and broadband all in one simple monthly statement.
Article written by Rose Marie Drabble