As a first-year student, managing your finances can be a daunting task…
But have no fear, for our Students' Union finance experts have compiled some essential budgeting tips!
As a first-year student, managing your finances can be a daunting task…
But have no fear, for our Students' Union finance experts have compiled some essential budgeting tips that’ll have you looking like Martin Lewis in no time.
Let's dive into Budgeting 101!
1. Understand Your Income and Expenses
The first step in budgeting is understanding your income and expenses. Your income might include student loans, scholarships, part-time job earnings, and contributions from family. List all sources of income to get a clear picture of what you have to work with.
Next, identify your expenses. These typically fall into two categories:
- Fixed Expenses: Rent, tuition, insurance, and any other regular payments.
- Variable Expenses: Groceries, entertainment, transportation, and miscellaneous spending.
2. Create a REALISTIC Budget
With a clear understanding of your income and expenses, it’s time to create a realistic budget. And do try to be realistic!
Allocate funds for each category, ensuring you prioritise the most essential expenses.
There’s loads of free budgeting tools or apps that can help for this, or a simple spreadsheet to track your spending!
3. Prioritise Needs Over Wants
Distinguishing between needs and wants is crucial. Needs include essentials like rent, food, and transportation. Wants are non-essential items like eating out, streaming services, and leisure activities.
But hopefully, with some super savvy budgeting, you can still manage to pay for both – because both are important!
Just be sure to prioritise your spending on needs, and THEN allocate a portion of your budget for wants. That way, you should be able to avoid overspending!
4. Track Your Spending
Regularly tracking your spending helps you stay within your budget.
Keep receipts, use budgeting apps, and review your bank statements. This practice not only helps you stay on track but also highlights areas where you can cut back!
Do I really need another coffee? (Almost definitely if it’s from our Coffee Hut – THE best brewed beverages on campus ;))
5. Save Where You Can
Being a student often means living on a tight budget, but there are plenty of ways to save money:
- Cook at Home: Preparing meals at home is cheaper and healthier than eating out. Plan your meals, shop smart, and cook in batches to save time and money.
- Buy Second-Hand: Textbooks, clothing, and furniture can be expensive. Look for second-hand options online, in thrift stores, or through university buy/sell groups.
- Get the 50 bus: If you need to get from our Peel Park campus to MediaCityUK, or anywhere in-between, your student ID will get you on a 50 bus for free between these stops!
6. Look to build an Emergency Fund
Unexpected expenses can arise at any time, but building an emergency fund provides a financial safety net.
Aim to save a small portion of your income each month to create this emergency fund, even if it’s just a few pounds. Over time, this fund will grow and give you some peace of mind!
7. Student Discounts
Take advantage of student discounts because they can be used for so many different items! Whether it’s food, clothing, entertainment, or even transportation... you’ll get discounts on far more than you can imagine!
Always carry your student ID and ask about available discounts, and make sure you’ve downloaded apps like Unidays and Student Beans for even more savings!
And why not grab a 16-25 Railcard? They’re £30, but you’ll save 1/3 on rail fares throughout Great Britain for a whole year! If you know you’ll be getting a few rail journeys this year, they’re a no brainer.
8. Set Financial Goals
Financial goals can be super helpful to motivate you to stick to your budget.
Whether it’s saving for a holiday, a new laptop, or paying off a portion of your student loans, having clear goals helps you stay focused and disciplined with your spending!
9. Review and Adjust Your Budget Regularly
Life is unpredictable, and your financial situation may change.
Don’t just stick to the first budget you make – review your budget regularly and adjust it as needed. This flexibility should help make sure that your budget remains realistic and effective in managing your finances!
10. Seek Financial Advice
If you are struggling with your finances, or just need to talk it through, don’t hesitate to seek advice with us!
Your SU often offers free financial advice through our Advice Centre, and the University also have a Money Advice and Funds Service.
Take advantage of these resources to gain better control of your budget and financial future!
Budgeting as a first-year student might seem overwhelming, but with these tips from our Students' Union finance experts, you’ll be well on your way to mastering your money. Remember, budgeting is a skill that improves with practice. Good luck, and here’s to a financially-savvy university experience!