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AFIS   We are now getting to the time when new students, in many   parts of the world, are starting university and returners are thinking about the year ahead.  Continuing students will already appreciate the concept of trying to budget their student loans, funds their have saved up or received from very supportive family. However, for the new students it can be a steep learning curve on how to manage a cash budget.


In chapter 9, we discuss the traditional budgets and within that section of the book we look at what are termed ‘functional budgets’.  Functional budgets are “day to day operational budgets which focus on specific functions or aspect of the process or service”.  Well completing your academic year is a process, it involves meeting new people, attending seminars and lectures, socialising, eating and paying bills – to name only a few things!  All of the aspects within the process of being a student involves money; socialising can be costly when you are trying to meet new people, you may have travelling expenses to get to campus, you will (in most countries) have fees to pay to cover the cost of your tuition and all the food and utilities that you use will require paying. Of course there are many more expenses that you will encounter.

Whilst not trying to ruin the fun you will have in your first year of studies, because it can truly be a life changing experience, you have to plan your money and that is what cash budgeting is all about.  You know how much money you will have coming in each term and you have to plan how much you can afford to spend each month.  It can be very tempting to spend too much at the beginning, especially with fresher’s fair but remember you have to eat at the end of term still!