Budgeting

Budgeting isn't the most exciting of subjects and probably not the highest item on your priority list, but as student on a limited income you'll sooner or later have to learn how to manage your money as efficiently as possible. The sooner you learn it, the less painful the process turns out to be. One of the simplest ways to avoid money mismanagement is to create a realistic budget, and, more importantly, stick to it!

A budget is a written plan to help you keep track of what you are spending over time. Managing a budget is not a as difficult as it sounds, it's just a matter of common sense.

Everyone needs to keep an eye on incomings and outgoings. It is not just a reality for students - even rich people can spend their way into bankruptcy. And while not everyone writes out a budget, everyone budgets - even if only subconsciously. The principles of budgeting are always the same: you estimate how much money will be coming in, and adjust your spending accordingly.

A budget gives you an accurate picture of your financial position, and it can highlight where savings can potentially be made. Budgeting also shows you and others (such as your bank or your parents) that you are handling the money you have wisely, and that you are stretching it as much as possible.

The University of South Wales is not responsible for the content provided by external websites.