If you ask one common problem of our college community other than time management, the most common answer would be managing finance. While it may be genuine doubt as to whether this issue is so much important because many of us would not consider crossing the budget line as something to be seriously looked upon.
The answer lies in an age-old saying: You reap what you sow.
Developing a habit of effectively managing your expenses/budget at an early stage of life would benefit you in the future, both professionally and personally. This article would be providing some useful and practical tips in a structured manner so that next time you don’t have to panic because of budget mismanagement.
Decide a number
It is highly recommended to decide in advance how much money you are allotting yourself before you go on to structure your expenses. However, keep in mind never to work in ranges (like INR 2000 to 3000) but to be very specific about it (maybe INR 2500).
Highlight primary expenses
These are the necessary expenses that you need to bear during your regular daily routine in college. It includes food, house rent, study material, transportation (if required). These are the categories that should bag the most significant part of your budget, for they determine the smooth ongoing of your routine.
Eliminate non-primary expenses
If not all, then try to eliminate as many non-primary expenditures as possible, for they are the budget breachers (affecting the balance of budget). Eating out, movies, discount shopping, travelling, etc. may means a lot to you and at times can add quality to life, but these expenses are not necessary ones and can be cut short.
Keep track of expenses and use technology to serve you.
Noting down daily expenses would help us to track the flow of our money. At the end of a couple of months, we can trace our progress with the help of these expense records. For this purpose, harness the power of technology. There are various apps available (like Money Manager) through which we can conveniently note our expenses in an organized manner for future analysis.
It appears to be weird, but it is a useful measure. When you know that you have to submit a summary of your expenses, a sense of check will stop you at times from wasting money. The best checking authority, of course, will be your parents, but you can also report to your elder sibling or your friend, provided they rationally evaluate your report.