How to Make and Stick to a
Budget
By Cambria Pilger
Before settling on the budget I currently use, I experimented with different templates, eventually coming up with a format that works well for my life in college. Helping your student set up their first budget may feel daunting but don’t worry! Once you get the basics down, it should be easy for them to update and maintain.
Start by Creating a Spreadsheet Decide how long your student wants to budget for: a semester, a year, or through the end of college. If they’ve never made a budget, start small so it’s manageable right now. The budget will have three main sections: Income, Expenses and Difference, each with subcategories. To organize the information, I recommend using an Excel spreadsheet or Google Sheets.
1
Income
If your student has multiple jobs, list each source of income separately. Include parent/family contributions (cash or from a 529 college savings account), scholarships and loan disbursements.
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2
Expenses
List the different ways your student spends their money — for required payments and for fun — in a given month. Common expenses are tuition, room and board, textbooks, food outside the meal plan, entertainment, transportation, phone, internet, insurance, credit card and miscellaneous expenses. Expenses can also include charitable donations, savings and student fees. My school expenses include the obvious plus bus tickets, music lessons and a student loan section, where I itemize what loans I’ve received, calculate the monthly interest, budget how much I want to pay off each month and calculate the remainder of my loans after each payment. This is the probably the most useful section on my budget right now!
