For illustrations sake imagine 5 empty water glasses. These represent your spending categories. Then in your hand is a pitcher of water which is your paycheck. On payday you pore your pitcher of water into all 5 glasses.
By next payday you have 4 1/2 empty water glasses. The pitcher of water then fills up 4 1/2 glasses but this time you have 1/2 a glass worth of water left? That money now goes into the next months budget. Your “age of money” has increased because it’s further away from payday than then other money.
This is your buffer. You are now saving money for the future instead of spending it all.
Trust me! This is powerful! The more you work in YNAB the more exciting it becomes to save money and be in control of where your money is actually spent.
How do you show proof of being a student?
Does it work with just a Student ID card?
It’s pretty easy as you can see to verify your student information with YNAB. Once they have received this proof you will simple receive a code which you will use at check out.
Just email them at firstname.lastname@example.org to begin the process.
Learning to budget is the first step in a sound financial life. I highly recommend YNAB because I’ve been using it myself. I.LOVE.IT.
As a student you are in an excellent position to continue learning about finances. Much of financial wisdom you will need to learn completely on your own. Books, podcasts and blogs, like this one offer an abundance of advice.
Grade school does not teach personal finances, high school may touch on it some but after that YOU need to invest in your own knowledge on the subject. So I challenge you, do something every single month to continue growing your understanding of investing.
You will never save a million dollars for retirement simple by spending less of your paycheck. Not unless you can manage a really high paying job and save $30,000 a year for 40 years. Which just isn’t possible for most of us.
But investing is how you multiply your money. Whether you want to save for a home, start a business or save for a healthy retirement, investing is the key.
Now that you understand the power of YNAB, start today.
Join 1,876 other Savvy Saver Tribe readers and receive money saving tips directly in your inbox!