One mistake we keep on doing is recklessness while managing money in college. We get pretty itchy when the day of our pocket money arrives and spend it on thrifty purchases which we later on regret as the month progresses before we do it again. This is not only a bad habit but it also inculcates pressure of spending whenever the money arrives. It also tends to make your parents over-work who want to provide for your studies, accommodation, food as well as your thrifty needs. If you’re in the top 10 Arts college in Coimbatore or in a vocational school, you’ve to learn how to use your money wisely or else your future is doomed. (We’re being serious mate. Ask Vijay Mallya). Just so that you don’t burn all your money, we’ve some finance tips for you:
- Have a rainwater account: Rainwater account is for all that balance money that is left after a month long of spending and additional earnings. If you’ve any leftovers at the end of the month, throw it in your rainwater account and forget about it. Rainwater account is only meant to be broken when there’s a need for it. So keep it the way it is.
- Use public transit/cycle for commuting: If you’re close to the college and it’s going to be a daily commute, then try using the public transport or man’s best friend – The Bicycle. Public mass transit like buses, trains, trams are much cheaper and you can get there without much expenditure. Or try cycling. Good for health as well as it’s much cheaper to maintain.
- All the spare change go in a box: If you’ve spare change lying around, throw it in a box and lock it. Forget such a thing exists and keep on existing. Just contribute the coins lying around and wait for it fill up. This way, you’ll have some emergency resources for buying utilities.
- Open an R/D: Recurring Deposits are a great way of saving money. Draw a chart of important expenses you need and come up with a an amount that you can put on R/D. Deposit an R/D every month, which will add to your long term savings, which you later use for your own
emergencies or paying back for that education loan.
- Spend only on what you need: Easier said than done, but you’ve to do it. There’s no way thrift spending is going to help you. It may give you a good feeling and chilling thrill on your spine but it’ll nevertheless bring you down eventually. Make sure you spend on necessities and save the rest of the money.
- Never lend money without charging interest: Sounds harsh, doesn’t it? But this way you’ll be discouraging people from asking you money for unnecessary purpose. Lend money only for people who’re in need. If people ask you money for trivial things, it’s better to tell them ‘Pal, I
got to be honest, you’ve to pay 20% interest on all my loans’. Not a lot of people can return 20%, aren’t they? This also discourages other people to spend less on thrifts, so it’s a win-win situation.
- And finally get a piggy bank: Adding to all of this, have a secret piggy bank. Why do I need it? You may be prompted to ask. But here’s why you need it. Health Emergencies. Store a particular amount every month so that you spend it on small medical health expenses like a small headache or a small cut on your body.
Hope you all loved the article. We’ll soon come up with more and more ways to save your money and help you in being financially fit and independent.
This article is written by KAHE students and we’re one of the finest biotech colleges in Coimbatore. Our courses are on par with international standards and the faculty is massively experienced. If you want to know more, why not contact us at firstname.lastname@example.org.