Education is an investment in your future – it costs you time and money, but the rewards are great. You get an education and enhance your career potential while building your credit rating.
In order for you to make a wise investment and to hone your money skills, educating yourself about finances and setting a yearly budget are essential.
Setting a budget
Figure out your expenses and resources
Fixed costs:
- Tuition and fees
- Books and supplies
Monthly costs:
- Rent/mortgage
- Utilities
- Food
- Entertainment
- Past debts
Your resources:
- Savings
- Student Loans
- Scholarships
- Parental Contributions
- Part-time Earnings
Factor in the number of months you are in school and figure out your monthly budget.
Resources less fixed costs = living allowance
Living allowance divided by number of months in school = monthly living allowance
Write your budget down
Use a budget planner listed on the side of this page or create your own.
Review your budget
Are there areas in your budget where you over- or under-estimated?
Track your spending
Keep receipts for everything you buy, put them in an envelope and, at the end of each month, add them up. Are there areas where you can reduce your spending?
Maximizing your resources
Use the tips and tools on the right to find out where you can spend less.
- Are you paying too much in bank fees?
- Are you using your credit card too often?
- Are you eating out too much?
Before or if things get out of control
Talk to a Financial Aid Advisor about your options.
