New Year’s Resolution

(photo by me)

Since I’m in graduate school, I’ve mainly been living off of my student loans.  That means that I get most of my money in a big chunk in the beginning of the semester.  This has revealed some of my poor money habits to me.  It’s very easy when you have $4000 of your student loan left to justify lots of shopping (I need nice clothes for when I enter the work world, right?).  But then when it gets to the end of the semester, I suddenly realize that I’ve used up all my loan, and still have to wait til mid-January before I get my next one.  All this has helped me to see that I am somewhat addicted to shopping, and that I need to come up with a plan for next semester so that I will actually be in control of my money while still purchasing a few choice items that I may actually need.

Here’s my resolution plan:

Step 1: Use a list of basic essentials to keep my shopping focused.  I’m using Sally’s list as a starting point, then customizing it to my own needs.  This way, I’m buying things that will be more versatile than say, a crazy printed dress that goes with nothing else in my wardrobe.

Step 2: Create a budget.  This is also re-learning basic money management for me.  The plan right now is to immediately budget the necessities that occur regularly, and then determine what I have left per month for non-necessities and stick to that limit.  So I will have a set amount each month that I can spend on non-essentials.  If I find a $100 pair of shoes one month, then I have to cut back in other areas of spending, like cosmetics and entertainment.  If I get my hair cut and colored, then I might have to buy less clothing.  Etc, etc.  I’m still continuing  my Fluevog plan as well to encourage sewing and crafting to earn more towards clothes.  However, I have to make sure that what I spend stays within my budget.

I realize that this might not be enough structure for me, so at the end of each month I will re-evaluate my budget and figure out what I can do to improve it.

Fluevog Update:  I have “earned” enough money for the Fluevogs, but I’m waiting a little longer (probably til my birthday in February, which is when the next Fluevog sale should happen) before I actually purchase them.  I want to be a bit more responsible with my money before shelling out $250 on a pair of shoes.

Step 3: Buy items because you really love them, not because you have a coupon/ it’s on sale.  I have a bad habit of buying things that I’m not really crazy about simply because I have a coupon for the store.  If it’s not something that I totally love, why should I be spending my money on it?

Hopefully, with these strategies, I can be a bit more responsible with my money, and a bit more prepared for entering the “real world” of full time work come next August.