Managing your budget is essential for a student. When it is effective, it allows you to live peacefully and protects you from over-indebtedness. However, this is not the easiest task. Indeed, the student can fall into all kinds of traps. This article aims to help you identify them to better manage your budget.
Understanding the student budget
In France, one in four students faces financial difficulties during their studies. However, it is possible to anticipate them thanks to good budgetary management. To set it up, you must start by identifying your main sources of income and your current expenses. It is also essential to learn to manage the unexpected.
The main sources of income
The management of a student budget requires rigorous organization. This is why it is essential to determine your main sources of income. Payments made by parents constitute the primary source of income for most students. The latter may also receive remuneration linked to a student job, scholarships and even student aid.
Some students also benefit from additional income thanks to online casino games. Many sites offer free play without depositing real money. If you are interested in no deposit bonus casino offers, find our comparison on this site.
Current expenses
To effectively manage your student budget, you must be able to visualize all your current cash outflows. To do this, it is wise to divide your expenses into different categories such as those related to:
- Studies (tuition fees, purchase of supplies, etc.);
- Food;
- Housing (rent, electricity, telephone, Internet, etc.);
- Transportation;
- At leisure.
Managing unforeseen events
Unforeseen events can significantly affect the student budget. To cope, some decide to go into debt while others choose to deprive themselves excessively. It is essential to learn how to manage the unexpected to avoid such situations.
A good method is to put a little money aside each month. The funds can in particular be deposited in a Livret A account. In addition to being accessible to all, this savings product is tax-free. In addition, money placed in a Livret A account is available at any time. You can therefore easily remove it in case of unforeseen circumstances.
Common budgeting mistakes
Students can make many mistakes when it comes to budgeting. Not establishing one is one of the most common. Many young people think that only people who have financial difficulties are affected by this task. However, making a budget is essential, because it allows you to impose financial discipline and helps to control expenses.
Another common mistake is spending more than you earn. This bad habit can lead to over-indebtedness. Students who are victims live under constant stress because their creditors can sue them at any time. This is why it is important to identify your sources of income to avoid living beyond your means.
On the other hand, many students neglect saving. However, putting money aside allows you to build up an emergency fund. In addition, it allows you to get into the habit of saving money, which will be very useful once the student becomes completely financially independent.
Furthermore, there are students who rush to online games when their bills have not even been paid. However, you should know that the gains are irregular. Losses, however, can be significant. It is therefore strongly discouraged to put all your money into games.
Practical advice for better management
There are several tips and best practices to better manage your student budget. First of all, do not hesitate to make budget envelopes. Consisting of distributing your money into different envelopes, each representing a specific cost item, this method helps avoid unnecessary expenses and helps save money.
Also remember to compare the offers of various mobile telephone operators and Internet providers. You will then be able to choose the most advantageous option. If you have difficulty limiting your consumption, opt for a blocked plan. Also favor automatic debit to protect yourself from unpaid debts.
On the other hand, prefer homemade meals to industrial preparations and restaurants to spend less. Also systematically ask yourself the usefulness of each purchase before making it.
Finally, be sure to reevaluate your budget regularly. Indeed, changes may occur to your income and expenses. Updating your budget every month will protect you from unpleasant surprises.
