Budgeting Tips

Posted: February 22, 2010

By: Stefanie Smith

It’s never too early to think about budgeting. Here are some easy steps to implement into your daily life that can help you feel prepared and in control of your finances before graduation.

1. Write it down - Keep track of all of your expenses. This includes coffee, clothes, books, gas and food. Anything you purchase should be recorded in either your checkbook or on an excel sheet. You will be surprised with how small things like coffee every morning add up. For example, if you buy a coffee every morning during the week for $2 a day, you are spending $40 a month on coffee alone.

2.Evaluate - Becoming aware of your spending habits can help you discover ways to save more money. If you're someone who buys coffee daily, an easy way to save that $40 a month is to make your coffee during the week instead of buying it. Buy the coffee beans from the shop you usually go to and make sure you have milk and sweetner on hand so you taste the same coffee in the morning and don't notice the difference.

3. Save - Now that you have this extra money available, start putting it away in anticipation of the bills and loans you will be paying after graduation. Your extra $40 a month from making your coffee five times a week instead of buying it is almost $500 a year when saved regularly.

4. Talk to a Professional - Speaking to a financial advisor can get your financial future off to a great start. Ask your parents or their friends who they use and would recommend. Working with a professional will not only help your bank account but your peace of mind as well.

For more advice on budgeting, contact us today!