Tired of never having enough money?
Whether your goal is travelling, buying a car, a house, or financing your education, it’s never too late to start organising your finances.
Budgeting gives you control over your money and your life. It lets you see how much money you have, what you have to spend and how to make your money go further. It helps you plan and reach your goals quicker.
You need to take time to mentally walk through a typical university day
- What are the costs going to be?
- Will you bring your lunch or will you buy it?
- Will you use the vending machine?
- Will free periods involve any expenses?
- What are your plans for the weekend/How much will it cost?
Here are some non-tuition expenses that you should keep in mind when preparing your budget
- Travel expenses
- Sports equipment
- Phone calls home or anywhere
- Internet service providers or other online access
- Medical and dental fees
- Miscellaneous needs
Follow these budget tips to be in control of your money and meet your goals
- Determine your total income
You can’t budget your spending unless you know exactly how much money you have coming in
- Outline your total expenses
Where does your money go? Outline your average weekly/monthly costs
- Compare your income with your expenses
Are you in the black? If your weekly/monthly expenses exceed your income you need to trim your spending.
- Track your spending on a regular basis
Every month take a look at how you are doing, especially if your circumstances and your income change
- Set goals for yourself
Think about the goals you want to achieve and work towards them
- Follow the 20/10
Your total debt should never be more than 20% of your annual income (after tax). For example, if your annual net income is $15,600 your maximum safe debt load is $3,120. Your monthly debt payments should never be more than 10% of your monthly net income. So if your income is $1,300 a month your monthly loan payments shouldn’t be over $130
- Try to set aside 5% of your net income for savings
Student Financial Services can give you advice and tips about budgeting if you are finding it hard to survive financially. We can show you how to manage your money and we can help you prepare a budget.
You can also access the following sites for information
Last updated: 14-Feb-2014 5.31pm
The information on this page was correct at time of publication. For a comprehensive overview of AUT qualifications, please refer to the Academic Calendar.