Your Budget

Everyone says it, and it's true: Budgets are crucial. But few of us do it. We don't plan ahead; we don't even know where most of our money goes.

Budgets help take worry, fear and shame out of debt.

If you hide your debts from yourself because you just hate looking at them, they can loom huge and cause severe anxiety. But if you face them by writing them down honestly in a budget, you'll know that they're manageable. You can plan your repayment and see how you can pay debts off steadily; it's just a matter of time. You can stop worrying, knowing you've got debt under control.

How do I get started?

CCCS has a useful budgeting sheet here. You can also call on-campus financial counselors for a one-on-one tutorial on how to budget. They can walk you through the budget sheet, and if you can use a hand figuring out how to repay debt, they can handle that too.

"Why do I need a budget? I'm not in debt."

If you don't budget, you probably spend far more than you realize on "little things." Coffee, candy, bottled water, ATM fees, eating out. They can easily add up to a few hundred dollars a month.

Budgeting shows you what you're spending on these items. Once you see it in black and white, you can make conscious choices: Do you want to keep spending that much on little things?

Maybe you do; maybe these things are enjoyable enough to make them worthwhile. Or you might decide you want to save up for something big instead. Either way, by budgeting you control the decision, instead of letting thousands each year slip away on whims.

Training for life after college

Learning to budget now is also critical for your life after school. Many adults get into serious trouble with debt simply because they're not used to budgeting. They buy houses and cars they can barely afford, and leave themselves no money for emergencies. Or they kid themselves about how much pay they take home, and run up massive credit-card debt to make up the difference between wishful thinking and reality. Often a two-income family will have a child and then be surprised to find that they can't afford either day care or a stay-home parent. Budgeting is the simplest, cheapest way of predicting and avoiding major financial trouble.

Contact Info.

Student Credit & Money Management Services
Iowa Memorial Union
Room 203
Iowa City, IA 52242

319-335-3239

E-mail

money-management
@uiowa.edu