College life is full of thrill and adventure. College experience makes you ready for life. It is a life with so many adventures, that you start thinking out of your bubble. When you are a college student, you can either cherish life as it is or make yourself ready for future challenges or you can do a considerable amount of both options.
Whatever path you choose, one option has to be strong in your college life and that is how to budget and save money.
Saving money as a college student is not at all a difficult task. It is an immensely helpful habit that will help you in every way in the future. Right from saving before spending to hiring the best dissertation writing services, there are various ways in which you can save money and still enjoy college life.
Let’s discuss those points in detail.
#1. Save before spending
If you inculcate the habit of saving before spending, you will never face a money crisis in your life. This is like the ultimate mantra of finance. Although, it is quite difficult to follow this habit, as life gives you lemons at every corner and you might get fully drained. But it is always a good habit to get up and start again.
When you are in college, whether you are earning or getting allowances, you should make it a habit to save. It need not be a big amount. Only 10% of your earnings will also do. But these little steps are sure to take you a long way. You cannot even imagine how this 10% will add up and make an incredible amount one day.
#2. Install a finance tracker app
You must have heard about an app that reminds you to drink water by watering a virtual plant. And if you do not water the plant, the plant becomes sad. Thus this app helps you to keep your water intake in check.
Similarly, there are various apps available to track your finances. They give out a graph and calculate your savings and expenditures by categorizing them. All you have to do is input your expenses and earnings.
You can find excellent finance apps on app stores. Just like 123Homework reviews are true and unbiased, you can also download a finance app that has amazing reviews.
#3 Plan your finances
Planning your expenses is another major step in saving money. Planning your finances does not mean investing. Investing can be a part of planning finance. But planning your finances means dividing your expenses in ways that are required. You should have a budget right from your textbooks to your groceries. Spending more than planned is understood once in a blue moon, but not always.
You need to dedicate an exact amount to every little expense of your day. This budget could be planned monthly or weekly. But staying on the budget is really important. This is another habit that will make you ready for the future.
#4 Have an emergency fund
An emergency fund is not a fund only defined for medical emergencies. This fund comes in handy when you have surprise expenditures or a heavy financial month. Sometimes even your grocery budget can make you financially worried, and this is where the emergency fund comes in handy.
All you have to do is put some stagnant amount every month in this account. You could also put the leftover amount (if any) at the end of the month.
This way you will have a fund that can take care of you in your emergencies and you do not have to turn to your savings. But make sure that the emergency fund is used in emergencies only and not as a backup to your every budget.
#5 Use credit cards wisely
Credit card is an essential but devilish commodity. If you own a credit card, use it wisely. Statistics say that credit card spending should be only 20% of the limit on the card. The credit card bills should be paid on time and you should never be in the debt with a credit card.
The credit card debt is like a black hole. The interest rate and late fees of the card will suck all your savings and funds.
Thus use a credit card only when necessary and pay off all the dues as soon as possible. The usage of a credit card also determines your credit score, so be careful while utilizing it.
The above tasks are fun if followed with consistency and dedication. Like Rome was not built in a day, these habits will take time to be inculcated. But once they form a part of your permanent schedule, you will be a master of finance and ever ready for all the financially challenging situations coming through your college days.