Simply put, a budget is a plan for your money. It is much different than a cash flow plan. A budget is the plan, the cash flow plan is what actually happened. Planning and monitoring your budget will help you identify wasteful spending,
adjust quickly as your financial situation changes, and achieve your financial goals. When you see the breakdown of your expenses, you may be surprised by what you find; this process is essential to fully grasping how things can add up. Creating
a budget will decrease your stress levels because, with a budget, there are no surprises. Unexpected car problems or medical bills? That dream vacation your best friends are planning? With a budget, you don’t have to panic or wonder
if you have the money—you already know. This sense of financial clarity is important not only in college, but throughout life.