04 September 2012

How to track and control our expenses in college Part 2

In Part 1, we talked about why tracking how we spend our money in college is important. In this part, we finally get to the next point : how to track and control our expenses in college? I've actually been working on this for the last 2 months, trying to track my expenses and knowing where I don't use my money wisely. In the process, I always follow these 3 big rules and guidance in an effort to track and control your expenses in college :

1) Know where you stand financially every single day

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One of the main reasons why college student fail to control their expenses is they refuse to know where they stand financially. Average students only check their bank account once a week or even worse once a month! At the end of the month, I often heard some of my friends said "I'm out of money!".

Many financial expert said that to know where we stand financially should be a daily routine. So, check your banks account balance every night will help you to control your expenses.
I've been using a free application that my bank offers which actually allow me track my account balance by using laptop and internet. You are definitely should check if your bank offers the same application for free too!

2) Planning out your expense

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There is no better way to track how we are spending our money in college than planning out our expense. This includes our daily expense as well as our monthly expense. Basically, this is a part of budgeting our money in college. Take a moment to write down what things you really need in college including foods, school supplies, and dorm room. This should be your priority. Then, planning out your expense on other things like clothes and shoes, you should make a plan like you want to buy 2 clothes per month. Then, make your budget regarding how much money you should spend on certain things.

3) Money Diary

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The last step to track and control our expenses is by actually doing it : track your money. You should have a notepad where you can write your expenses every single day, I love to call this one as my money diary in college. By having a money diary, we can track, review, and analyse how we are spending our money . The other good thing to have a money diary is we can know where we over-spend our money. We can open our money diary and review if we wise enough in spending our money in college.

So, there are my 3 big rules to track and control my expenses in college. Hopefully I can help you! :)

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