5 Tips to Make the Most Out of Your Student Budget

Simple guidelines to be more mindful of your spending while in school.

Chart by Sigrid.

Let’s face it, being a student is expensive! Whether you are just about to start college, or you have been in the game for a few years now, you might find yourself wondering where all your money goes, and why you end up spending more than you think every month. Don’t worry, you are not alone.

After experiencing this ourselves, we decided to create this easy-to-follow budgeting guide to help you navigate your journey as a student, with more peace of mind. Do you want to save more? Do you want to improve the quality of your spending? You came to the right place!

Tip #1: Track Your Expenses. The first step towards making the most out of your budget is to figure out how much you usually spend per month and how much money you should be spending. To do this:

1. Check your credit card statement.
2. Check your chequing’s account balance.
3. If you have withdrawn cash, did you use all of it?

Most banking apps nowadays already have great tools for tracking your expenses. They can even tell you if you spent more or less than the previous month! So go take a look at what your past few months have looked like.

Tip #2: Find the Budgeting Method That Works Best for You! Here are some simple and effective suggestions:

1. The 50–30–20 Rule by Elizabeth Warren:

Divide your budget according to this chart: 50% for needs, 30% for wants, and 20% for savings. Chart by Sigrid.

2. Use a mobile application like Mint or Emma.

3. Use an Excel spreadsheet. There are lots of free templates you can use.

Tip #3: Build a Tailored Budget. Once you have decided which tool or rule you prefer to use, make sure to create a thorough profile with all your info. For instance, sync your budget with your banking app or divide your expenses on Excel using the 50–30–20 rule. You are almost a student budgeting pro now!

Tip #4: Subcategorize Your Spending. You should divide your expenses into subcategories. We have provided the broader most common categories for a student, but each of us has their unique preferences, and you should personalize your spreadsheet to reflect that. After practicing for a couple of months, you will easily see if you would like to spend more or less of your student budget on certain subcategories.

Example of budget subcategories of your expenses using a mobile app. Chart by Sigrid.

Tip #5: Be Optimistic but Realistic. We all have different budgets, and this can be a harsh truth. Some of us may be on student loans, others may be lucky to have their family supporting them or have received a scholarship. Whether you live with your parents or have to rent a place will immensely impact your expenses, too. Because our situations are so unique, it is easy to get carried away by seeing what our friends do, and spend more than we should without realizing it. This means that we have to be realistic regarding our means. There is nothing wrong with having to say no to going out for dinner sometimes or postponing buying that nice sweater you saw online. And even if you have the money, why not save it for the future or a rainy day?

This is how we have kept track of our own expenses as students.

We would love to hear from you with questions and comments ❤

Content: Sigrid and Martina

Write up: Martina

Charts: Sigrid