Budgeting Tips for Students

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Starting university or further education is a big deal. It’s new and exciting and everyone is telling you what a great time you’re going to have; the emphasis is on having fun, while fitting in some studying of course!

But while the image of the ‘poor student’ is a bit of a cliché, the reality is you are suddenly expected to manage bills and rent and food shopping all by yourself, something you may not have had to deal with before, on very little money.

Of all the advice you’re given, nobody ever really tells you how to budget as a student, you’re just expected to get on with it and work it out as you go along.

With 74% of students wishing they’d had better financial education before starting uni, it can all feel a bit overwhelming, but there are things you can do to have a bit more control over your finances.

A lot of us tend to switch off when we hear the word ‘budget’, it’s one of those things that we know we should probably do, but there are much more exciting ways to spend your evening, however, with a bit of careful planning it can make your life a lot easier, as well as saving you money.

And we’re here to help, with our Student Budget Planner and some handy tips to make sure you’ve got enough money left at the end of term.

Why it’s important to have a budget at Uni

If you’ve applied for a student loan, you’ll get it at the start of each term and when that money hits your account you’ll feel really rich.

If it’s your first year it might be the first time you’ve had such a large amount of money appear in your account and it’s very tempting to go out and spend it; a nice meal or two won’t hurt, and that ASOS wish list isn’t going to buy itself!

But that money needs to last until the end of term and the amount of money you have left will have a huge impact on your time at uni, especially at the moment when living costs and energy bills are at an all-time high and we all need our money to stretch a little bit further.

Budgeting might feel like a boring thing to do, but it’s definitely worth taking a bit of time to have a look at your finances; think of it like going to the gym, you don’t really feel like it, but you’ll be glad you did afterwards.

Let’s have a look at where to start.

a couple sitting at a table working out their finances using a mobile phone and a calculator

How to work out your budget

How you do this is up to you; you might be someone who loves a spreadsheet, or, if you use your phone for banking/making notes etc, anyway it might be easier to have it on there so everything’s in one place. You might even want to do it the old-fashioned way with good old paper and pen (the perfect excuse to buy a new notebook). It doesn’t have to be complicated; you basically need three sections:

A: Working out your income

You need to know exactly how much money you have coming in, this will include any student loan you’ve applied for, any grants you might be eligible for, money from part-time jobs, money your family might be giving you and any savings you have. The idea is to make sure you have more money coming in than you have going out.

B: What are your expenses?

It might help to break this into sections:

  • Utilities – gas, electric, water, phone, tv, broadband
  • Accommodation – rent, insurance
  • Travel – public transport, trips back home. Do you have a car? Then include fuel, maintenance, insurance, parking
  • Everyday items – food, toiletries, household items such a toilet rolls, cleaning supplies etc.
  • Personal – clothes, haircuts, beauty treatments
  • Course supplies – books, stationery, printing costs
  • Leisure – nights out, gym membership, clubs, gigs, entertainment (including things like Netflix and Spotify subscriptions)
  • Extras – birthdays, Christmas, holidays
  • Emergencies

C: What’s your weekly & monthly budget?

Once you’ve worked out how much money you have each term it might help to break it down further into a monthly budget, then you can work out how much you need each week. This way you can calculate how much extra cash you have. You can also split things into ‘essential spends’ and ‘flexible spends’.

Budgeting Tips for Students

  • Set a weekly budget.
  • When travelling by train, as well as using your Railcard, have a look at splitting tickets; this means instead of buying one ticket for the whole journey, you split it into two. For example, on a journey from York to London you could buy a ticket from York to Peterborough, then another from Peterborough to London. It won’t mean changing trains, as long as your train stops at that station on the way. Have a look on the Trainline app, it will tell you if SplitSave tickets are available when you search for tickets, look out for the icon.
  • Open a separate savings account – you can use this for ‘extra’ money that’s not accounted for in your income section; such as birthday/Christmas money, or money you might get from selling things on sites like eBay, Vinted and Depop.
  • Shop clever – make a plan for meals through the week and stick to it. Buy things like rice and pasta in bulk if you have the room. Swap to own brands. Go shopping later in the day, supermarkets often reduce things then, and don’t go shopping when you’re hungry!
  • Batch cook – freeze leftovers, pasta dishes, for example, then you can have it for lunch. It’s amazing how much money you can save by swapping bought sandwiches for homemade lunches.
  • Have a look at insurance – insurance is maybe quite far down your list of priorities, and we all like to think that we won’t ever need it. But when you imagine the extra expense and hassle of having to replace things if something does happen, it’s worth paying what is often not much more than the price of an average cup of coffee each month, for the peace of mind that student insurance can give you.
  • See if your account lets you split money into different ‘pots’ so you can allocate different pots to different bills. Lots of online banking apps do this, Monzo, Starling etc. and they also let you know when you’re about to go over budget. Don’t forget to ensure that any app you choose to use is right for you.
  • Try a Money Mantra – Skint? Then ask: Do I need it? Can I afford it? Not skint? Then ask: Will I use it? Is it worth it?
  • Save money on extras like haircuts, which aren’t essential but are still important. Check out the local college, lots of them have hair and beauty training salons, which are all fully supervised but a lot cheaper.
  • Try not to see an overdraft as extra money for you to spend and think of it just for emergencies
a young female student with long red hair texting on her silver mobile phone

Apps to Help You Budget

If this all feels a bit like too much hard work, a great way to set up a budget is to use an app, especially if you use your phone a lot anyway.

Most of them link to your bank account and they do all the hard work for you. There are plenty out there but here are some of the free ones we’ve found:

  • Money Lover – lets you record your transactions and gives you an overview of your income/outgoings. You get a notification before a regular bill goes out.
  • Cleo – helps you check your spending and analyses your spending habits. Helps set up a budget. It can be used via the app or through Facebook.
  • Money Dashboard – separates your money into categories so you can see what you’re spending the most on.
  • Hyperjar – lets you divide your money into ‘jars’, it also has a group function so you can have any number of people share a jar which is useful when splitting bills with housemates.
  • Wally – tracks what you spend, it lets you share with other people so it’s handy for splitting bills and sends you bill reminders, it also lets you scan in physical receipts when paying with cash.
  • Chip – particularly good if you want to save, it analyses your spending and autosaves money into your Chip account and tweaks it depending on your spending habits.
  • Moneyhub – looks at your spending habits and helps you set goals. It categorises your transactions and sends reminders throughout the month so you can adjust your spending.

Remember to read the Terms and Conditions before signing up to any apps to make sure they are right for you.

Student Budget Planner

To help you get started, we’ve put together a Student Budget Planner so you can plan for what you need and make the most of your time at uni.

Where to go if you need help

If you’re struggling to pay your bills, or just want some help working out a budget, there are plenty of people to talk to.

Most universities have support services, they’ll let you know what other help is available and give you information about hardship funds. You can get the number from your students’ union or on the uni website or app.

There are also plenty of websites out there. Money Helper gives free, independent advice, as do plenty of charities such as Save the Student, Student Space, Student Minds and Citizen’s Advice.

It’s always good to talk to family and friends too, money worries can make you feel very isolated, but chances are someone else you know is going through similar issues and you might be able to swap ideas. The sooner you ask for help, the sooner you can get on top of things and stay in control.


You don’t have to be ‘good with numbers’ to make a budget, it can be as complex or as simple as you choose, and it doesn’t have to be perfect. Having some kind of system can help you feel in control and it’s a good skill to learn for later in life.

You can set yourself goals and even see how creative you can be when trying to save money, spending £60 on Deliveroo every month? Try cutting it down to £30. And it helps to have something to save for, because after all that budgeting, you’ve definitely earned some treats.

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