Juggling your finances while on a student budget is a lot harder than it sounds. There are living expenses, transportation fees, the need to put food on the table, the list goes on. And even if you’re still living at your parents’ house, the struggle is no less different, especially if they’re threatening to charge you rent for forgetting to do last night’s dishes. So stop thinking about what you could buy for lunch with $3 and start building up your bankbook with these five simple tips.
1. Start off small
Before you decide to lock up your credit card and throw away the key, actually work out what you’re spending all your money on. Track your spending for at least a month and take notice of any patterns. From here you’ll be able to identify what purchases are using up a large chunk of your savings and which ones you could possibly do without.
2. Go hardcore and kiss all those unnecessary expenses goodbye
Are you guilty of purchasing a medium double shot coffee with a splash of caramel on your commute each morning? If the answer is yes, you’re probably spending around $25 a week just on a warm beverage that you can make for a quarter of the price at home. While you’re more than welcome to spoil yourself every now and then whilst supporting small businesses, ask yourself, do you really need to be making this purchase this often, or are you better off financially without it?
3. Take advantage of your student discounts
We’ve said it once and we’ll say it again. Student discounts are there to be used by students so use them! We’ve got a number of student discounts listed in other blog posts on our site, ranging from phone and data subscriptions to fashion and experiences. Utilise these while you can because once you’re no longer eligible for them, you’ll regret not using them sooner!
4. Have an account dedicated to just your savings
If you don’t do this already it’s about time you start. You should dedicate a decent percentage of your income to your savings and the rest divided between a necessity account and a splurge fund. That way you can control how much money you spend on day-to-day items and remain within budget. And if you even think about taking money out of your savings account, know that by doing so you’ll lose your interest for that month.
5. Buy second-hand where you can
Whether you are thrift shopping for clothes or on the search for second-hand textbooks, buying items that aren’t brand new can save you up to 50 percent, if not more, of that item’s full priced cost. Also, take advantage of online marketplaces to sell unwanted items that are in a good condition to give to a second home. Just imagine how much spare cash you have lying around in forgotten-about items.
No matter your situation, knowing how to manage your finances will go a long way in helping you save money, whether that be now or in the future. Plus, with no intention of sounding like your mother, you never know when you might need some extra cash for a rainy day.
Take a look at the money you could save with National Training’s online diploma specials!