Why Investing is important

Dhan Saksham Series

Invest first and then spend

Ask yourself a question – Is this expense required? Expense on new Mobile every year- Technology changes even the moment you come out of Store, is it worth catching up

How should I start knowing about money and planning?

Step 1: Develop right attitude towards money

Step 2: Financially educate yourself

Step 3: Write down your financial goals

Step 4: Calculate the savings and investment amount

Step 5: Draw your own financial plan

Step 6: Build an Emergency Fund

Lets Start today

Figure out how much money you have , your Income, your College Expenses – Fixed and Variable.

Income Sources – where is my money coming from ? Income from part-time job, summer employment, or work-study, funds from your parents, student loans, grants or other forms of financial aid

Fixed Expenses - which means the amounts don’t vary much and you know their due dates. Example Tuition and fees, Room and board if you live on campus (rent and utilities if you live off campus), Books, equipment, classroom supplies, cable TV and phone bill

Variable expenses - which means expenses can increase or decrease per month. Example Entertainment, clothing, coffee, and eating out. The more you spend, the more you'll chip away at your monthly budget.

Subtract your Fixed Expenses from your Total income, you will know how much disposable income you have left over for Variable expenses that are irregular in nature. When you spend carefully, you'll put more money back into your month.

Challenge for college students is not making a budget; it’s sticking to it.

Basic principle of budgeting is to never spend more money than you make, we don’t want to run the risk of getting buried in debt that might be difficult to fill.

Some quick tips to keep an eye on your finances and ensure you don’t overspend?

? Setting up calendar reminders to do routine financial check-ins to steer clear of overspending.

? Student loan debt, minimize the amount of student loan debt. Limit the total amount of borrowing to no more than the starting salary he or she expects to earn after graduation.

? Credit cards, avoid carrying balances and get into the habit of spending only what they can pay off every month.

? Have ongoing conversations about money with your families.

? Using a spending account and debit card mobile app which sends automatic alerts of transactions and account balances. There are many budget templates available online that you can utilise for planning purposes, or you can simply make your own form in a spreadsheet program

? Put into an emergency fund or savings account.

Part time jobs – Nothing wrong in doing part time with Restaurants like Pizza Hut McDonalds as Do we know: Smriti Irani who is a Minister of Textiles in the cabinet of Mr Narendra Modi her very first job was with Mc Donald.

Having said that, the best advice I would like to leave you with grandmother’s lessons valid in today’s world

Write everything down, and take your budget seriously. This is one test that you can’t afford to fail.

Have you done your planning, do share your experience

Look out for our next blog with some more tips

#Cash#finance#collegegirl#Grateful#women