March 31st, 2020

Winging it Doesn’t Work

Katherine MuracaWhat is the best way to start financially right after graduation? Many people just wing it and hope for the best in life after college. They think that the college degree will give them the life they desire. Learning to maintain a budget can ensure that you are equipped with the knowledge to be financially stable after college.

A budget’s purpose is to allocates resources, control spending, and to plan for the future. In life, these are vital to being successful. Allocating resources will assist a person in achieving their goals in the future that they have been planning for themselves. Controlling spending will allow the person to guarantee that they have the funds to spend it on their wants. To make a budget a person needs to know how much they have, make, and owe. Once all this information is known, the net worth can be calculated which is just subtracting what is owed from what they have. Next the average monthly expense need to be calculated. This is where expenses such as groceries, utilities, and such are taken into account. To keep track of these expenses, make sure to save receipts. All this information will show if there is extra cash or if they are overspending. Adjustments can be made where needed to meet the person’s personal requirements.

If this is such an efficient method to tracking cash flow, why doesn’t everyone use it? Most people, especially a college student, don’t have the time; however, must people have time for their cellphones and laptops. Most people have heard the phrase, “ There is an app for that.” Well, there are free apps all over every cellphone carrier’s app store. These apps make it much more accessible and much simpler to keep up with a budget.

Katherine Muraca, Dickson County High School

Category: College Bound