One of the greatest challenges students have had is the challenge of saving money. Many a time student monthly allowance is not even enough to feed , do assignments and other necessary things. But you will discover that based on the insufficient monthly allowance receive from home, you still engage in buying of some flashy, eye-popping and exotic goods.
In this post, tips on how to save your insufficient money receive from home easily.
It is expedient for us to know that human wants are insatiable and numerous. But it is important to ignore some flashy, eye-popping and humiliating demands in order to live a satisfactory, debt-free and comfortable life as a student.
Here are 5 tips to save money, according to the Bank of America:
Record Your Expenses: This is the First and a very important step. For one month, keep a record of every dime you spend, and what it is spent on. That includes every recharge card, every snack you purchase, even to the amount given to beggars. This will help you know how much you spend on both important and less important things. You can repeat this process for another month to know if you are consistent with this pattern of spending.
Differentiate between your needs and wants: Now that you have list of how much you spend per month, you can now begin to analyze your needs and wants.
Your needs are things you cannot do without that is, things that are of immense benefit to you e.g in School , your needs are your assignments, practical, food, shelter and clothing. The aspect o clothing has caused a lot of crisis among the women folk, but the truth is, you don’t need to have an over flowing wardrobe before you make a statement in fashion. Set your wants apart, you don’t have to touch them or regard them at that point.
Prioritize your needs: When it comes to your needs, some are more important than the others. Make a list, with your pressing needs on top and the less pressing ones after them. Do this in the order of priority.
Make a budget: Create a budget of your income and expenditure, which will comprise only your needs. Regarding the remaining balance as money to be saved. In addition to the money separated for expenses, you can take 20% of the money meant to be saved and add it, call it “Miscellaneous expenses (We can’t deny the fact that there would be unforeseen circumstances).
Visit your Bank: Take the money regarded as savings, to the bank. For the miscellaneous, you may not take it to the bank, depending of how much self control you have. It is not a bad idea to buy a Local Bank (Kolo) to put the money.
Try these diligently for 5 months and you will be surprised of how much you would have in your bank account as a savings.