Ronica,
I am currently taking out loans to pay for my college education. I also work a part-time job to help pay for my day-to-day needs, like food and clothes. I try to be responsible with my spending, but there never seems to be enough money to go around. Can you help me find ways to save money and stick to a budget?

Thanks,

Empty Pockets

Empty Pockets,

No matter what your financial situation, it is always good to maintain sound spending habits. Reducing your spending may seem impossible right now. You already buy your clothes on sale, you buy generic brand products at the supermarket, you started using public transportation to save on gas … but alas … you are still feeling the pinch … Oh, and if you’re not doing those things, you better start! Here are some simple tips to help you reduce your spending, and even find money at the end of the month to start saving.

On Spending

While building credit certainly has its advantages, if you find yourself overspending each month it might be best to leave the credit cards at home. Every two weeks (or month) take out the amount of cash you can comfortably spend without going over your budget. You’ll notice how fast you are spending much more than with that shiny piece of plastic. (Be sure not to take all of your cash out with you though - if you happen to lose your wallet with all of your cash that certainly wouldn’t be a good thing!)

Also, if you leave your credit cards at home, you’ll be forced to think over expensive purchases and go back to the store if you decide that the purchase is necessary. This will reduce impulse spending and guarantee that most of your purchases are something you need, rather than something you just want.

On Clothes
When on a budget and trying to save, limit your purchase of trendy clothes. They can often be expensive and may be out of style by the end of the season. Create a wardrobe of classics and solids. With these pieces, you can spend a little more because they will be in your closet for a long time.

Then, zest up your style with trendy accessories and a few trendy pieces of clothing from less expensive stores, like H&M. When the trends go out of style, you won’t be forced to by a new wardrobe and you can simply replace a few important accessories that will keep your look updated and affordable.

On Coffee
If you are one of the many college students addicted to coffee and paying for it at the local coffee shop, I highly recommend you stop. No need to stop drinking caffeine, but rather where you buy that cup. Your average cup will probably cost just under $2. This small cost adds up over the days and weeks, giving your budget a brutal spanking. Consider making coffee at home. Your investment in a coffee pot will be worth it after the first few weeks of making a cup at home.

And don’t feel as if you have to give up your favorite brews either. From Dunkin’ Donuts to Starbucks, many coffee stores are now offering their beans for home brewing. Need more incentive to brew at home? Think of all of the waste we create simply from coffee cups. By using our own reusable coffee mugs, we’re also doing a little something for mother earth.

I hope these simple tips help you move in the right direction towards responsible spending.

Have some tips I didn’t mention? Feel free to email me at AskRonica@Gmail.com.