Personal Budgeting

Your success at the university can depend upon how well you manage your money. Consider these questions: 

• Where is the money coming from?
• Will it be available to me at the right time?
• Will I have enough?

We recommend that you develop a personal budget worksheet to identify your income, basic expenditures and fixed commitments. Then you can estimate the disposable income remaining of personal expenses, recreation or extras. 

To prepare a personal budget, first estimate your income. This includes financial aid, social security or veteran's benefits, wages from work-study or other employment, any help from parents or spouse and savings. 

Next, list your fixed expenses. Examples are tuition, fees, books and supplies. Then, subtract total fixed expenses from total income and divide the result by nine to find out how much is available for living expenses each month during the academic year. 

Now, figure your living expenses (rent, utilities, transportation, food, etc.); add up everything you have to pay each month. For your budget to work, the monthly living expenses have to be equal or less than your income minus fixed expenses. If you expenses are more than your income, you are going to have to cut corners to find another source of income. 

To better manage your cash if you receive large sums at the beginning of each semester, deposit a portion of the advance in a savings rather than a checking account. Then, it will be easier for you to keep the money in the bank, as a withdrawal will require you to transfer funds rather than merely write a check.

Useful Links:
Personal Budget Calculator

NEFE Teen Resource Bureau

Play Financial Football