Advice on budget

It’s great that you’re reflecting on your spending and seeking advice to improve your financial habits. Here’s a structured approach to help you stick to a budget, plan for a low-buy year, and make better financial decisions moving forward:

1. Understand Your Current Situation

You’ve identified the key elements of your financial life:

Income: Limited as a college student with hours being cut soon.
Expenses: Rent ($500), groceries ($250), and bills (~$100), totaling ~$850/month for fixed costs.
Savings: A cushion that allows you to cover overspending, which can lead to complacency.

This self-awareness is a solid starting point.

2. Set Clear Goals

Define what you want to achieve with your budget and low-buy year. Examples:

Short-term goal: Save $X by the end of next semester for emergencies or a future big expense.
Long-term goal: Build habits that align with your values and financial goals, such as limiting unnecessary purchases.

Tying your budgeting efforts to specific outcomes can help motivate you.

3. Create a Realistic Budget

Rather than using a rigid spreadsheet, try categorizing your expenses into essential (rent, groceries, bills) and discretionary (clothing, hobbies, entertainment). Set limits for discretionary spending that align with your income.

Example Monthly Budget:

Rent: $500
Groceries: $250
Bills: $100
Discretionary Spending: $150–$200 (e.g., clothing, hobbies)
Savings Goal: $50–$100 (adjust based on what’s realistic)

4. Use Budgeting Tools That Keep You Accountable

Consider switching from a spreadsheet to a tool that actively tracks and alerts you when you’re nearing your limits, such as:

Apps: Mint, YNAB (You Need a Budget), or PocketGuard.
Envelope Method: Physically or digitally allocate money for each category. Once the “envelope” is empty, no more spending.

5. Build a Plan for Your Low-Buy Year

Rules for a Low-Buy Year:

Essentials Only: Commit to only spending on necessary items.
Wish List Rule: If you want something non-essential, write it down and wait 30 days. After that time, assess if it’s still important.
Set Exceptions: Allow yourself a small budget for occasional treats or upgrades so you don’t feel deprived (e.g., $50/month for hobbies or entertainment).

Prepare Now:

Review your past spending and identify categories to reduce or eliminate (e.g., clothing or eating out).
Stock up on any true essentials you know you’ll need (e.g., toiletries, school supplies) before the no-buy year begins.
Engage in hobbies or free activities that don’t involve spending (like your homemade gift idea, which is fantastic).

6. Overcome Impulse Spending

Impulse spending is common, especially when savings create a safety net. To combat it:

Track Every Expense: Write down every purchase. Seeing where your money goes can help curb unnecessary spending.
Delay Purchases: Implement a mandatory waiting period (e.g., 7 days) before buying anything over a certain amount ($50+).
Limit Temptation: Avoid browsing stores or websites that trigger impulse buys, like online sales.

7. Automate Savings

Set up automatic transfers to a savings account each month. This removes the temptation to spend “extra” money:

If possible, allocate a percentage of your income (even 5–10%) to savings first before budgeting for other categories.

8. Reflect on Purchases

For large purchases (like your $700 keyboard), reflect on their value. Ask yourself:

Does this item truly enhance my life?
Could I have waited or spent less for a similar benefit?

The keyboard, for example, sounds like something you love and use often, so it may be worth it. Use this mindset to differentiate between meaningful and impulsive spending.

9. Build a Support System

Share your goals with a trusted friend, partner, or online community (e.g., r/personalfinance or low-buy groups). Having someone to encourage and hold you accountable can make a big difference.

10. Celebrate Progress

Budgeting and a low-buy year aren’t about depriving yourself—they’re about aligning your spending with your priorities. Reward yourself for milestones, like sticking to your budget for a month, with a small, planned treat.

Final Thoughts

You’re already ahead by taking proactive steps to control your finances. With some preparation, realistic goals, and tools to track your progress, you can make budgeting and a low-buy year both achievable and rewarding. Keep experimenting with what works for you, and remember to focus on progress, not perfection.