Controlling your Finances

You should have your basic funding provision in place at the beginning of each term.  This
means that it is relatively straightforward to manage and budget your resources effectively. If
your circumstances do change, then there are ways to alter your income accordingly.
University can lead to a high degree of impulsive spending. With so much to do and the
independent learning afforded through university, it often seems that the best thing to do
on a night off is to go out and enjoy yourself. This means it is very easy to spend money. This page offers some suggestions for keeping your finances under control.

Are you in control of your finances?

Do you know what your current balance is or do you wait until your bank sends you a statement and hope for the best?

Are you always confident that you will be able to withdraw money when you want to?

Do you find you are using ‘cash-back’ as a way of bridging the gap between one payment into
your account and another?

Do you use a credit card when you are short of money because you think you will have more
next month?

The only way you can be in control of your money is if you are aware of how much you have
and how you are spending it. Although this may seem tedious, in this way you can avoid the
worry of not knowing, and the anxiety that comes when you run out.

Managing your money

It’s important to have a good understanding of where your income comes from and where you
spend it.  There are simple steps you can take to manage your finances:

Make a list of your income and your expenditure.  This should include your Student Loan/grants/awards etc and any paid vacation work.

Deduct all the large one-off payments for the term such as fees, rent and any other important
bills.  These bills won’t go away, so make sure you can pay them.

Take regular bills into account, like those for your mobile phone.

Make sure you have enough money for the vacation.  If you are going home this needs to include transport.  If you are staying in Oxford this needs to include living costs.  You may be
entitled to a vacation grant if you are staying in Oxford.

Check to make sure that you have no other regular bills to pay out.  Divide what is left over
by eight and this will be roughly how much is available to you to spend each week during
term time.  (Obviously you may need to take other weeks like Freshers’ Week into account)

Remember that if you smoke this will add to your living costs, so make sure you budget for
cigarettes.

Some students keep accurate records of how much they have spent in a notebook or on their
computer.  This can be time consuming at times, but it is the best way to keep track of how
much money you have available.

Most students use cash machines to withdraw money.  If you do, check your balance as often
as you can to make sure that you know how much money you have.  It’s a good idea to keep an up-to-date receipt in your purse or wallet at all times, just in case you forget.

Some students choose to withdraw money at the beginning of the week, then put their cards
away so that they cannot take any more money until the next week.  This is a good way of
making sure that you do not overspend, and if you find that you do need to overspend, you
know how often and how much.

Other tips

Do not get a credit card or store card. Though your bank may understand about
you overdrawing on your account, failure to pay credit/store card bills of this sort will
affect your credit rating and may have an impact on you in the future.

A student loan is a highly controlled, sensible form of debt. Do not think that
borrowing an extra £1000 from private resources does not matter because you are
borrowing from SLC. Private loans have a far more rigorous repayment method that
is not income related. This is the type of debt that will be difficult to control once you
graduate.

If you do not have a regular income, then switch your mobile phone to a Pay as You
Go contract. This way, if you cannot afford it, you will not buy it. Let others phone
you.

Don’t spend large sums in bookshops on CDs and convince yourself that it was for
your degree.

Don’t agree to eat out with friends if you cannot afford it. Bills are customarily split
on these occasions, however frugal you have been.

If you drink, drink in the college bar. This does not necessarily have to be followed
by a night out.

Lending money to friends can cause resentment and awkwardness and an Oxford
college can feel too small for that sort of problem.

Think about getting a vacation job. Visit the Careers Service for advice on how
to find employment in the long summer vacation. This makes a huge difference
to your term time fun and earns you valuable CV points. Be realistic though; your
academic work shouldn’t suffer because you have no time to spend on it during the
vacations.

Talk to someone in college, perhaps a senior or moral tutor, if financial worries are getting in
the way of your work; there may be sources of financial help you haven’t thought of!
Be in control of your own spending and finances and then you will avoid worrying about it.