4 EASY TIPS TO INCREASE YOUR FINANCIAL INTELLIGENCE

1. Create a Budget

Few things will cause more financial difficulties than spending money recklessly. Creating a realistic budget based on your income will help you avoid financial pitfalls. First, identify your income. How much money do you make in a month? Next, write down your expenses (phone bill, fuel, food, etc.). Round down just to be safe.

As you look at your budget, look for items you can cut out as they relate to your spending. Instead of going to the movies every week, just go once a month. Rather than eating out frequently, put some money in an envelope that is specifically for a night on the town. Once you’ve created your budget, stick to it, and mark down your spending so you know exactly where you are when it comes to your money. 

2. Save - No Matter What

Chances are you’re probably not making much money, if any, as a student. Your primary goals in life at this time are to get an education and develop skills to use when you eventually set out on your career path. If you do work, you may not log too many hours, which may make you think saving any of it is out of the question. Wrong! Save, regardless of how much money you’re bringing in. Even if you can only put away $10 each time you receive a check or stipend, your savings will add up over time and come in handy when you need it.

Identify ways that you can save more. Do you eat out frequently? Plan out your meals for the week and use a shopping list when you go to the store. Eating out is expensive and only lasts for one meal. Instead of splurging on a nice dinner, use the money you would have spent on your breakfast items for the week. You can save more money than you think this way.

3. Buy Used

There are plenty of gently used items out there available for a bargain. Instead of shopping at a department store on clothes that are brand new, consider going to a secondhand store. The same goes for household appliances or furniture. Online auctions are another way to save, especially on textbooks and other necessary school materials.

If you can’t find what you’re looking for used, try using coupons. Also, many retail stores and websites will honor competitor’s discount prices, so be on the lookout for the best possible deal for all of your purchases.

4. Use Public Transportation

If available, public transportation is one of the easiest ways to save money. Having a vehicle of your own is certainly convenient, but the expenses add up quick. If you take the bus or subway, you don’t have to worry about paying for gas, insurance, parking, or maintenance costs.

In addition to public transportation, consider riding your bike. A used bicycle can be purchased relatively cheap and it’s a great way to get exercise and travel efficiently, especially around your campus.