Back to College// How to Budget

The word budget sends fear into any young person's heart, but trust me you are going to be happy that you started it. Here is how you start your school year off right with a budget. Trust me, your bank account (and parents) will thank you!

1// Make a list of all of your expenses: This includes groceries, gas, and even clothing that you buy every month. Estimate how much you spend each month by looking back to what you've spent over the past couple of months.

2// Make a list of all of your income and savings: If you're like me, some semesters you're going to have to take more out of your savings than others. Look at your expenses, and look at what you may have going on each month. Also, think about how much you're willing to deplete your savings per semester, and how much you make during the summer and breaks to increase it.

3// Subtract your expenses from your income/savings: This is how much you have a month to spend, if you have a negative number than you need to cut back somewhere.

4// Once you have your number: If you can, try and add $20 or more dollars to your savings account so that you have some rainy day money. Remember your budget the next time your decide to go out or buy that expensive pair of shoes.

5// Use an app: I use Mint to keep track of my finances. I set budget limits there, and it helps keep me honest!

6// Don't neglect savings: I had to save for a year for my study abroad trip. Now I'm saving for my first post-grad apartment! Learn how to save now, it'll help in the long run!

Other Tips

-Think about how you are spending your clothing budget. I tend to buy investment pieces that I know I'm going to wear a lot, and for awhile. I don't have a problem waiting for a sale to come to buy that piece. I also know that I'm going to want some more fashion pieces, but I will only spend so much on them.

-Car pool, take public transportation or walk in order to save money.

-Opt for nights in with friends at least once a week instead of going out.

- Go to free campus events for (free food) entertainment.

-Take advantage of student discounts on tickets, clothing and admissions.

- Prioritize what you find important, if you don't know yet then look where you're spending your money.


If you're looking for more in-depth budgeting tips, check out Rich Bitch: A Simple 12-Step Plan for Getting Your Financial Life Together... Finally.  I'm reading it right now, and it's been really great!

What do you do to save money? How do you keep track of your budget?


xoxo

Back to College Series:

Planner Review

School Supplies
What to Snack On
What to Buy Once You're There
What to do Your First Week
Important College Resources
How to Manage Your Time
Best College Advice

2015 Goals: Budget Better

As of right now I've done a pretty good job of budgeting (if I do say so myself) but I can always be better. Here is my budgeting system so far. (There may be tweaks made in the upcoming months.)

"Jot It Down" Notebook// Whenever I use cash I record right away what I used it on. Every week I go on my credit card and write down everything I spent my money on, which is normally just gas and Amazon charges. Every two weeks I go into my spread sheet and write down my expenses

Budgeting Spreadsheeting// True to being the daughter of an accountant, I have a budget spreadsheet. I might do things a little differently than most people, but I like to see my predicated and actual spending. Also it's been 6 months since I've had "normal" expenditures so January and February are my test months.

1. First I created a predicated budget for each month.

These are all made up numbers 

I also included my earnings and what the net budget is. 

2. Next I created a box for my actual budget right below it.

This is just an example, but I have more categories here because January and February are test months, and I want to see how much I will spend on these extra categories on a  monthly basis. 

3. Create extras

I created goals and possible extra costs for each month. I have a savings goal for the semester and year. To budget better, I put extra costs such as trips to see MB, club dues and conference trips underneath each predicated month box. 

How do you budget better? Do you have a savings goal?

xoxo