If you are ever going to take control of your life, then you need to start by taking control of your finances. Learning money management in university is honestly going to be one of your most powerful life weapons.
Yes, money in varsity is likely to be tight. But it actually doesn’t matter if you have a lot or a little, it’s what you do with it that matters.
Here are three simple tools to put into practice.
It may not be pleasant or easy, but setting a budget forms the foundation of money management. When you know exactly how much you’ve got coming in and have a good handle on what’s going out, then you’re in a great position.
It’s super easy to keep track of your budget these days, especially with apps like 22seven which helps you to consolidate your finances and budget effectively. Knowing exactly what you spend your money on helps to improve spending habits.
Any financial consultant worth his salt will tell you to allocate money to savings every month – even if is a small amount.
This will benefit you as you’re creating good money habits and are protecting yourself in the event of an emergency. They say that pennies make pounds, and when you take this literally, it helps to appreciate that even the smallest savings will grow over time.
Avoid Impulse Buys
As emotional beings, we tend to do stuff on the spur of the moment. We offer to pay for dinner for friends, we fall in love and buy an overpriced pair of trainers, or we order takeout when we’re too tired to cook.
Breaking your budget down into weekly and even daily amounts keeps these numbers front of mind and you’re less likely to splurge when you really, really shouldn’t.
Also, don’t shop when you’re hungry!
Controlling your expenses may seem like a real bore when all you want to do is have some fun. However, smart money management means you’ll forget about that time you didn’t go out for dinner with your mates, but you won’t be sorry with your healthy financial life.