Written by the amazing Hollie Hughes from our blog team.
Being a university student is hard enough – between balancing classes, assessments, part-time work and a social life, often the most important aspects can be left behind, including making a budget and sticking to it.
Dealing with all the pressures of living out of home is difficult, and the various new expenses which come with it include rent, food, transport and textbooks. Nailing the basics of budgeting is a crucial skill you will need to master as soon as possible.
Budgeting 101:
In order to work out your budget you will have to figure out how much income you receive each week, whether that be from Youth Allowance, your parents or part-time work – work it out and write it down.
Secondly, you’ll need to get an idea of how much money you’ll have going out of your account. This is all your regular weekly expenses including groceries, bills and transport costs.
Once you have both figures, you’ll need to subtract your expenses from your income – anything left over is your ‘disposable income’ – money which you have left over each week which can be put towards social activities, emergencies or savings. A savings tip with this is to work out how much money you should have left over each week and committing to put a certain amount away as savings. Whether it’s $10 or $100, every little bit counts and when an unexpected situation arises, you’ll be thankful you’ve put some money aside.
Once you have all your figures worked out you can start drafting up your budget, whether it be weekly, fortnightly or monthly. You’ll want your budget to outline all your necessary expenses and how much income you’ll have left over once they are paid. Writing this down ensures you are accountable for your spending and makes it easier to keep on track. Visit moneysmart.gov.au for some more information and to download the helpful Track My Expenses App.