You’ve probably heard it before: sticking to a budget is key to reaching your financial goals, especially as a college student. Whether you’re anticipating next semester’s textbooks, saving up for a study abroad program, or making sure you have enough for rent at the end of the month, knowing where your money goes can make a big difference.

Effective budgeting helps you pay bills on time, avoid overspending, strengthen your credit score, and work toward bigger goals like paying off debt or moving into your first apartment.

However, budgeting isn’t one-size-fits-all. It depends on your financial situation, income, spending habits, and what works best for you.

If you’re just starting out or want to find a method that fits your lifestyle, these tips can help you figure out your budgeting style and make the most of your money.

Step 1: Get Organized
Start by understanding your monthly income, whether from a part-time job, scholarship, or support from family. Then, gather your bank statements list your expenses. Organize them into: 

  • Fixed expenses like rent, tuition, phone bills and car payments
  • Flexible expenses like groceries, gas, streaming services, eating out, and entertainment

Set spending limits for each category and decide how you want to keep track of everything:

  • Paper and Pen: Old school, but effective. Write down your income and total expenses and subtract as you spend. Great for students who like to see things in writing.
  • Spreadsheet: If you prefer digital, use a spreadsheet to track your money. You can set up formulas to do the math for you.
  • Budgeting Apps: For anyone with a Chase account who want to keep track on the go, the Chase Mobile® app offers built-in budgeting tools to help you stay on track.
    • Autosave: makes saving effortless with automatic transfers from your Chase checking account to your savings account. Save up for future goals, build an emergency fund, and strengthen financial flexibility for peace of mind.
    • Monthly Budget Worksheet: gain insights into your spending habits and identify areas to save. Enter your recurring income and expenses to see where your money goes each month and make adjustments to stay on track.
    • Spending Planner: the digital budgeting tool that helps manage spending and budgeting. Make adjustments and track your cash flow over time to make informed budget decisions.
    • Chase Online℠ Bill Pay2: conveniently make on-time payments to ultimately help build your credit score. Set up recurring payments, pay bills, and transfer money from your mobile device with automated scheduling and reminders.
    • Chase Snapshot℠: an overview of your account via the Chase Mobile® app, including credit and debit usage, cash flow, major spending categories, and checking and savings balances.

Step 2: Find Your Savings Strategy
Some expenses are set in stone, but you have flexibility with categories like food and entertainment. Here are a few popular methods:

  • 50/20/30 Rule: Use 50% of your income for needs (rent, groceries), 20% for savings or paying off debt, and 30% for wants (concerts, eating out).
  • Zero-Based Budgeting: Assign every dollar you earn to a specific category, so nothing is left unaccounted for.
  • Pay-Yourself-First: As soon as you get paid, put money toward savings or goals (like a vacation or emergency fund), then toward bills before using the rest for spending.

Step 3: Smart Spending for Students
Once you know your style, try these tips to stick to your budget:

  • Pre-commit to saving: If you get a tax refund, birthday money, or a bonus from work, decide ahead of time to save part of it.
  • Use milestones to reset: The start of a new semester or month is a great time to review your budget and set new goals.

Stick With It
Budgeting takes practice. You might find some categories need more money, while others need less. Keep adjusting and using the tools that work for you. Remember, your budget only works if you stick with it and keep refining as your life evolves.