It was hard to save during BC (before COVID) and it only got harder when the pandemic really moved in on the world. With unemployment checks and slow openings at certain places over time, financial struggles still existed! Throughout this pandemic, I lost my job, received unemployment, but eventually got my job back. I had to adjust and build a budgeting guide for myself to survive these hard times. Like anything, it takes patience and commitment to build upon habits. These are some of the budgeting habits that Miss Rona has taught me:
Realizing Money Matters
Everyone has things to pay! As amazing as it would be to make six figures as a college student, realization matters most. Tuition fees, books, rent, and all the things that cost a lot matter more than adding something to your closet. Realization is key to building budgeting habits because it’s the concept of realizing where your money should go and not where you want it to go. When I began building a budget, I realized how much money went to food and entertainment and not towards important things I actually needed to pay. This is just the start!
Establishing Rules
Starbucks runs, clearance racks, and all those small temptations you invest in add up over time. The first thing I told myself to really think over was the amount of small purchases I’d make to put that money towards my savings account, so what I started doing was getting creative. I started buying my own bottle of cold brew and oatmilk which saved me from spending more at Starbucks. I also cleaned out my closet and got money back from giving my clothes to a thrift store in my city. It’s challenging, but worth the effort!
Finding A Match
For starters, the match I’m talking about is not a romantic one! Finding a match financially means finding a budget plan that works for you. We all have our own finances, so don’t be so hard on yourself when you’re learning how to save. Different fractions and percentages are what make our budgets unique. I did my research and I find that the 50/30/20 rule works perfect for me! There’s also a 70/20/10 rule and a lot of saving schedules you can find on Pinterest that can be a great place to start.
Creating A “Save” Space
I’m the type where I want different places to put certain amounts of money towards. Referring back to the 50/30/20 rule, I’d put my money into different accounts. What I would do would put 50% of my paycheck into my checking for things I need like gas, food, and other necessities. The other 30% I’d transfer into one of my saving accounts for anything I’m planning such as a trip, a project, etc. Finally, I’d put 20% into another savings account that is for the future. It seems complicated, but it gets easier over time.
It’s Okay to Cheat… Sometimes!
There came to a point where I felt like I couldn’t spend any of my money on myself. I learned that it’s okay to cheat and not follow my budget, but in a healthy way. I would reward myself every few weeks with a new shirt or a pair of shoes or something I really wanted if I followed my schedule for a consecutive amount of time and still managed to have my accounts rise. Budgeting is like a diet! It’s okay to have a cheat day.
Overall, this pandemic has shown me that saving is hard and it takes discipline to spend wisely.