Housing Hacks
Check out our other articles in the Housing Hacks series
News_
Housing Hacks: how to create and stick to a budget
2 April 2024
Know where your money goes
Developing a budget will help you keep track of your spending, plan for your financial future and ensure you always have enough money for essentials like rent, food and bills.
Figuring how much money you should spend on living expenses and leisure while ensuring you have enough left over to add to your savings can feel like a chore.
But learning how to manage your money is important. Plus, discovering creative ways to live on a budget can be both fun and satisfying.
From using a rent-to-income ratio to making the most of your student discounts, here's our guide for creating a realistic budget and sticking to it.
If you need emergency or short-term housing, please contact Accommodation Services on +61 2 9351 3322, 9 am to 5 pm Monday to Friday, or by email at accommodation.info@sydney.edu.au.
If you think you've been impacted by a rental scam, cease communication with the person or company and report it to Scamwatch. For more information on scams and how to avoid them, visit our scams webpage.
If you are experiencing financial difficulties that are impacting your studies, you may be able to apply for financial support.
Create a budget
The first step to creating a budget is to work out what your average outgoing expenses are. These expenses could include living expenses such as rent and groceries, as well as additional costs like gym memberships, streaming and entertainment subscriptions and paying for a night out with friends.
Next, work out your average income. This may include your salary from your job and government allowances. Make sure you focus on your net income, which is the actual amount you receive in your bank account after your tax and other expenses like super and HECS-HELP have been deducted.
Crunch the numbers so you can create a realistic budget to follow.
It's also important to decide early on whether you want your budget to be weekly, fortnightly or monthly. It's important to choose a time frame that's easiest for you to follow and that fits your lifestyle or pay cycle, so you're more likely to engage with and maintain your budget in the long term.
You might like to keep track of your incoming and outgoing expenses by using a spreadsheet. This allows you to keep track of where your money is going and see where you can reduce spending.
It's also important to make budget adjustments where necessary. For example, if you have unexpectedly had to purchase a new fridge, you might choose to skip your regular movie night for that week to keep on top of your budget.
Need help planning your budget? Use MoneySmart's budget planner tool to work out where your money's going.
While there are no set rules for how much of your income you should spend on rent, it's recommended to spend no more than 30 percent. So, if you earn $1,000 a week, you should ensure you're not spending well above $300 a week on rent.
If you find you’re spending more than 30 percent of your income on rent alone, you could be experiencing rental stress. If your financial situation is impacting your studies, University financial support may be available to you.
It’s important to save if you can. You can work out your potential savings by subtracting your average spending from your average income on a weekly, fortnightly or monthly basis.
In the current cost-of-living crisis you may find it hard to save at the moment, and that's okay. While it's important to save if you can, it's more important to ensure you have enough money to cover essential living expenses, such as food, rent and bills.
If saving is an option for you, set a goal that's achieveable and integrate it into your regular budget as an outgoing expense.
You can also try the 50/30/20 rule for savings, where you allocate 50 percent of your income to essential costs like rent, food and bills, 30 percent for extra expenses like going out for dinner or your gym membership and 20 percent for your savings.
If the difference between your spending and earnings is slim, consider ways you can cut back on variable costs to ensure you can stick to your budget.
When saving, every dollar counts.
Stick to your budget
To avoid a budget blowout, consistency is key. It's important to understand your expenditure, save what you can in case you need to access additional funds and grasp opportunities to reduce unnecessary spending.
Get money smart
The Australian government website MoneySmart has lots of information and advice about a range of financial topics, including a section for students on how to live on a budget while studying.
Share costs
If you live with flatmates, it's a good idea to discuss where you can share living costs. Beyond splitting rent and bills, you may want to share everyday expenses too, such as streaming and entertainment subscriptions, groceries and fun events like group game nights.
It's important to have an open and honest conversation with your flatmates about how you'll all contibute to shared living expenses, and what role each person will take to ensure expenses are paid on time.
Applications like Splitwise and Beem It can help you manage shared funds and divvy up expenses like bills, groceries and entertainment services.
Contribute to a kitty
You may also decide to have a 'house kitty' - and no, we don’t mean a pet cat! A house kitty is a pool of money used for shared expenses like groceries or to cover irregular expenses like buying new appliances.
You can commit an amount to collectively contribute to the kitty weekly or you can add to it when needed, like if you sell a piece of household furniture or get money back from a bill provider.
Power up your savings by comparing the market and choosing the best priced competitor.
Compare the market
When searching for a new service provider, such as internet, electricity or entertainment, it's important to compare quotes from a range of companies to ensure you're getting the best price possible.
Buy second-hand
Buying second-hand is kind to the environment and your wallet. It also gives you the chance to score vintage or one-of-a-kind items at a bargain price.
Online marketplaces like Freecycle, Gumtree and Facebook Marketplace are good for acquiring and selling second-hand items. But, it's important to beware of scams on these platforms. Never give out any personal information, like your credit card details, or arrange to meet with the seller alone.
To find second-hand items in-person, check out charity stores like Vinnies, Salvos and Red Cross.
Spot great deals at the supermarket
Find out what’s on special at your supermarket before doing your shop. Specials can be found online, in catalogs or in store.
When comparing prices between similar items or different supermarket chains, look for the unit price per 100 grams so you know exactly how much you're saving. The unit price is usually found on the sale tag in smaller font under the primary price.
Embrace student savings
As a university student, you’re eligible for discounts for a range of products and services. Check out UNiDAYS for discounts on technology, health, fitness and food, and StudentVIP for discounts on textbooks and study resources.
Looking for free study resources and a quiet place to work? Check out our library locations across our campuses.
Make the most of a USU free membership. Members can sign up for clubs and societies, participate in USU programs and services, sit on committees, apply for student employment roles and grants, and take advantage of paid job or volunteering opportunities.
For an additional $45 a year you can join USU Rewards, giving you a 10 percent discount at food and retail outlets all over campus, as well as free coffee perks and happy hours.
Access broad coverage of local and international stories and content that is relevant to your fields of study with a free digital news subscription. The University offers students unrestricted digital access to The Daily Telegraph, The Australian and metro publications including the Courier-Mail, Herald Sun, The Advertiser and NT News.
While you’re enrolled at the University, you’ll have free access to a variety of online applications such as Microsoft Office.
Save money by cooking at home.
Be your own chef
Buying food at a café, resturant or via food delivery services can be expensive and can quickly eat into your budget. Cooking at home is an easy way to reduce your food expenses.
Check out our food hacks article to help you save money, eat well and improve your skills in the kitchen.
If you're looking to buy food on campus, there are a range of cheap food options on offer. From free coffee Fridays to free breakfast, lunch and dinner, head to the USU Student Savers website to find out more.
If you're experiencing food insecurity, you can register to receive free food and other essential items at FoodHub. FoodHub is located on Level 3 of the Wentworth Building and is open Monday to Friday, 11 am–2 pm.
- If you need to move urgently, contact Accommodation Services on +61 2 9351 3322, 9 am to 5 pm Monday to Friday, or by email at accommodation.info@sydney.edu.au for help with moving or more information about emergency and short-term housing.
- Students’ Representative Council caseworkers provide free, independent and confidential advice to undergraduate students. They may be able to help you find temporary and emergency accommodation. Make an appointment by calling 9660 5222.
- The Sydney University Postgraduate Research Association Postgraduate Advocacy Service provides postgraduate students with free advice and assistance with tenancy matters.
- Financial Support Services can help enrolled students with essential living costs.
- Student life, wellbeing and support offers a range of health and wellbeing, financial and personal support to students, with services available 24/7.
- If you’re experiencing domestic violence, please contact the Safer Communities Office via phone on +61 2 8627 6808, 8:30 am to 5:30 pm Monday to Friday, or by email at safer-communities.officer@sydney.edu.au. If you need domestic violence after hours support, call 1800RESPECT. For emergencies, call 000.