2008 Woodie Awards
Ask the Financial Educator
Issue date: 2/6/08 Section: Money & Power
Do you have questions about your finances? E-mail your questions to ask.educator@SecuMd.com and Financial Educator, Danielle Thron will answer them, in upcoming issues of the Spokesman as space allows.
I work a part-time job, I don't have a lot of bills, but I still never seem to have money! Where is my money going?
-Dave, Graduate Student
I know where you're coming from - one day you have $100 in your wallet, and then before you know it, you're down to $5 with nothing to show for it; what happened?!
You need to start tracking your cash, and then make a budget for yourself. First, track how you spend your money for at least 30 days. This will allow you to understand how, why, and where you spend and also where you can begin to save. Make sure you get receipts for everything, or make your own receipts if you forget.
At the end of the week, sit down with all your receipts and track them according to category (i.e. food, personal care, partying, gas, etc.). You can use a notebook, calendar, or a computer, and even many cell phones have calendars and notes sections where you can track your spending. If necessary, download free money tracking, budgeting software from www.SecuMd.org and type "BudgetSmart" in the search bar.
Track your spending for at least 30 days and you'll be surprised to see where your money is actually going. Then you can cut back in the areas where you are overspending!
Once you have finished tracking, create a budget for yourself that includes all of your income, fixed expenses (i.e. bills), creditor payments and variable expenses (i.e. groceries and miscellaneous purchases).
Don't forget to include savings as an expense, because you should always pay yourself at least 10 percent of what you earn first. Also, include a category for hanging out or having fun. Let's be real-most students spend money on things other than food, books and clothes. If you budget for your play time, you'll find that at the end of the week, you'll know exactly where your money is going.
Be sure to review your budget every once in a while so that it fits your current lifestyle. You may need to adjust as your living arrangements, extracurricular activities, job, and even friends change. Good luck and happy budgeting.
Information published in the Ask the Educator or Money sections should not be construed as investment advice, nor does it imply an endorsement by SECU of any other websites. Consult a professional financial advisor about your personal financial situation.
I work a part-time job, I don't have a lot of bills, but I still never seem to have money! Where is my money going?
-Dave, Graduate Student
I know where you're coming from - one day you have $100 in your wallet, and then before you know it, you're down to $5 with nothing to show for it; what happened?!
You need to start tracking your cash, and then make a budget for yourself. First, track how you spend your money for at least 30 days. This will allow you to understand how, why, and where you spend and also where you can begin to save. Make sure you get receipts for everything, or make your own receipts if you forget.
At the end of the week, sit down with all your receipts and track them according to category (i.e. food, personal care, partying, gas, etc.). You can use a notebook, calendar, or a computer, and even many cell phones have calendars and notes sections where you can track your spending. If necessary, download free money tracking, budgeting software from www.SecuMd.org and type "BudgetSmart" in the search bar.
Track your spending for at least 30 days and you'll be surprised to see where your money is actually going. Then you can cut back in the areas where you are overspending!
Once you have finished tracking, create a budget for yourself that includes all of your income, fixed expenses (i.e. bills), creditor payments and variable expenses (i.e. groceries and miscellaneous purchases).
Don't forget to include savings as an expense, because you should always pay yourself at least 10 percent of what you earn first. Also, include a category for hanging out or having fun. Let's be real-most students spend money on things other than food, books and clothes. If you budget for your play time, you'll find that at the end of the week, you'll know exactly where your money is going.
Be sure to review your budget every once in a while so that it fits your current lifestyle. You may need to adjust as your living arrangements, extracurricular activities, job, and even friends change. Good luck and happy budgeting.
Information published in the Ask the Educator or Money sections should not be construed as investment advice, nor does it imply an endorsement by SECU of any other websites. Consult a professional financial advisor about your personal financial situation.
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