How To Make a Budget for College

Most students attending college have to keep a close eye on their budget. For many students, this is the first time they've had to come up with a budget. It is very important to survive college without running up credit card bills or running out of money. In order to do so, you'll have to make a realistic budget and then stick to it. Here's how to make a budget for college:

1. Determine your available income. As a student, your income may come from a variety of sources, which may include your parents, savings, financial aid, work-study, or a part time job. Total your income for the semester, and for each individual month so that you know exactly how much you're able to spend. Your budget must stay under this amount, or you'll run out of money before the term is over.
2. Write down your necessary expenses. These include everything from housing and food to books and incidentals. Be realistic about how much you expect to spend, and know that your expenses are likely to go up now that you're out on your own. Include all of your bills, and a realistic amount for discretionary spending. Your budget amounts may vary widely depending on your living situation. The best way to figure out your personal expenditures is to track every dollar you spend for at least two or three months. If your budget too little, you'll end up running over-budget and could run out of spending money with weeks left in the term.
3. Compare your expenses and income. If your income won't cover your budgeted expenses (plus a little each month for unforeseen necessities) you'll need to see which of your expenses you can reduce or cut out entirely. Be sure to compare your income and expenses by month and by semester; you don't want to run out of money halfway through the term because you're counting on the income you'll be getting towards the end of the term to pay for the purchases you need to make now.
4. Stick to the budget. This can be quite difficult, especially for new students. You must stick to your budget for college, especially if you have very little room to spare. It won't always be fun to stick to your budget. When your friends want to go out and have fun, if you don't have the money in your budget, you won't be able to go. If you do go, you won't have the money later in the month when you really need it. Consider keeping your cash in separate envelopes so that you aren't tempted to spend it on other things.

Making a budget for college can be stressful, but it will save you from even more stress down the road. Making a budget and sticking to it can help ensure that you have enough cash to last you through the whole semester.