Below are ten important benefits college students and other young adults will gain if they create a personal monthly budget worksheet. By the way, if you need assistance creating a monthly budget, we have created an easy to follow budget template as part of our Money Skills DVD.
1. … creates a useful historical record of your spending habits from which you can identify favorable and unfavorable trends.
2. … can help confirm whether or not you will be able to pay your bills on time or be forced to miss a payment.
3. … can be a useful tool for maintaining a solid credit rating (see bill paying above).
4. … can clearly illustrate your inflows and outflows of funds.
5. … provides a useful tool to help control day-to-day expenses.
6. … helps you save for big ticket items.
7. … will help you develop spending discipline and avoid wasteful spending.
8. … helps you establish a cushion for unexpected or emergency expenses.
9. … helps you prioritize what you’re choosing to spend your money on and can highlight expenses that you should attempt to reduce.
10. … helps identify if you need to adjust your income level (i.e. work more hours) to adequately cover your expenses.
As mentioned above, if you need assistance creating a personal budget, or just need someone to clearly explain basic money skills, please consider getting our Money Skills DVD. It is specifically designed for college students and other young adults.