Financially, life as a student can be challenging. You will quickly come to find that even if you are lucky enough to have a part-time job, you still need to keep a close eye on your money in order to find and maintain financial wellness. But what is financial wellness, exactly? And how can you achieve it? We investigate below.
What is financial wellness?
Financial wellness refers to being in a comfortable position with regard to your finances. In short, it means maintaining a stable income that effectively covers all of your expenses. It also refers to the process of learning how to manage your money. In many ways, financial wellness is an extension of personal wellness – just think about how much stress and how many sleepless nights money woes can cause you, after all!
How can I achieve financial wellness?
Financial wellness always starts with budgeting! It is vital to know how much is coming in and how much is going out every month in order to ensure that your expenses do not exceed your income. A good place to start is to follow the 50/20/30 budgeting rule which dictates that 50% of your income should be used to cover necessities (rent, food, varsity fees, etc.), 20% should be stashed away in a savings account, and 30% should be used to pay for your wants and lifestyle extras (entertainment, gym membership fees, etc.).
Along with budgeting, it also pays to do some research into companies that offer access to worthwhile student discounts. You can get a discount on most things, including internet, entertainment, holiday accommodation, gym fees, etc. if you know where to look!
It is also important to sniff out and identify financial issues before they get bigger and more challenging to manage. For example, if you find yourself spending hundreds of rand on booze every month, it might be a good idea to start trying to cut down, or to seek help if you think that you might have a bit of a drinking problem.
Ultimately, financial wellness takes work and dedication – but it is well worth the effort! Do you have any financial management tips to share with your fellow students? Tell us on our Facebook page using the hashtag #FinancialWellness