Stretching already limited funds to cover daily living expenses in college can easily turn into an extreme sport. With a good budget, you can avoid being frustrated each month wondering where your money went. Yes, we know saying the word budgeting may cause a few eye rolls, but it’s time to look past the negative things you’ve heard and give your money purpose.
Purpose? Absolutely. Giving your money purpose is a boss move every student should make. However, cultivating this new financial habit may be a little daunting. It’s time to channel that positive energy!
The 50-30-20 alternative budgeting method is simple and can help you make the right allocations. Convenient, free apps and online resources can also help in putting together creative and customizable budgets to fit your individual needs. That means you’re just an app away from being a Budgeting Boss.
Now, if you still aren’t sold on the merits of budgeting, the benefits are all the motivation you need to start crushing your financial goals. Take a look:
- Budgeting affords students the luxury of being the boss over their money. It allows you to predict your spending expenses and allocate money accordingly. This saves the stress of barely surviving on limited funds.
- Budgeting is a lifesaving skill that helps students develop financial literacy. People have career and personal goals, so why not have financial ones too? Financial goals can prevent a lifetime of personal economic frustration.
- You can save enough money to graduate college on a stable financial footing by budgeting. Students also avoid the costs of damaged credit due to credit card debt. Cutting unwanted costs by budgeting helps mitigate the amount of debt you accrue. Taking it a step further, money saved from budgeting can be channeled towards investments.
- With budgeting, you can plan for fixed expenses like housing and books, or variable costs like dining out and groceries.
Here are some additional tips to help you save money:
The right tools and mindset are enough to get you started. Don’t wait – set your budget for this academic year, stick to it and enjoy financial freedom. Get more tips like this on the Freshman Fun Box blog.