Let’s talk money. For a lot of people, and especially for students, money and savings can be a real contributor of anxiety. You know that feeling in your gut when you think about life after uni? When you hear people talk about retirement savings and money for buying a house. Sometimes it feels easier to not look at your bank account at all. Here are three tips on how to get better control of your economy.
Make a budget
The first (and let’s be honest, maybe the hardest) step is to have a look at the income and expenses that reoccur every month. Check your bank account a few months back and compare. While you’re at it, see if you can find patterns in what stuff you spend most money on. Then decide how much of the money which is left after rent, savings, wifi, food etc, you can or want to spend on other stuff.
Automatic transfers
Use your bank or a fintech app of your choice to make automatic transfers from your checking account to your savings account. Set the transfer to the same day as you get your pay, that way you won’t notice that the amount you decide to save each month is gone. Make this a part of your every month expenses, not a part of the nice to have stuff in your budget.
1-month rule
This is a great way to get rid of the habit of impulse spending. If you’re out and about and see something pricey that you really want – shoes, phone, something nice to spruce up your apartment – put it back on the shelf and wait a month before you buy it. If you want to, you can note the item, price etc in your phone to look at during the 30 days. When a month has passed, if you still want the item – go ahead.
Good luck and remember: it’s better to save a really small amount every month than to save nothing at all. Being aware of your consumption and making more conscious purchases is not only good for your wallet, it’s good for the planet too.
