Ola Majekodunmi – The Mind Behind All Things Money
Ola Majekodunmi is the founder of All Things Money, an online platform built to help young adults handle their finances with confidence. Her goal? To give students and young people the tools they need to make smart money decisions in the real world. In this article, she shares her top tips for managing your finances before and during university.
Getting Your Finances Ready for University
Going to university is exciting, but it also means taking control of your money. Without a plan, it’s easy to overspend or run short before the term ends. The good news? There are simple budgeting tricks that can help you stay on track, spend wisely, and still enjoy your time as a student.
Why Budgeting Matters in University
A budget isn’t about restricting yourself—it’s about making sure your money lasts. By tracking what you earn and what you spend, you can avoid nasty surprises and still afford the things that matter most to you.
There are a few popular ways to budget, and each works differently depending on your habits. Let’s break them down:
1. The Traditional Budgeting Method
This is the simplest way to manage your money. Here’s how it works:
- Step 1: Add up all your monthly income—student loans, money from family, part-time job earnings, or scholarships.
- Step 2: Subtract all your regular expenses—rent, bills, groceries, phone contracts, subscriptions, and any debt payments.
- What’s left? That’s your disposable income—the money you can spend freely, save, or invest.
The best part? You decide where the extra cash goes.
2. The 50/30/20 Budgeting Method
This method is great for students who get big loan payments at the start of each term. Instead of guessing how much to spend, you split your money into three clear parts:
- 50% for Needs – Essentials like rent, food, bills, and transport.
- 30% for Wants – Fun stuff like eating out, clothes, concerts, or hobbies.
- 20% for Savings – A safety net for emergencies or future goals.
Since saving is built in, you won’t forget to put money aside.
3. The 80/20 Budgeting Method
If you want something even simpler, try this:
- 20% goes straight to savings.
- 80% covers everything else—needs and wants combined.
No complicated categories—just save first, spend the rest.
4. Envelope (Category) Budgeting
This method helps control overspending by giving every expense a strict limit. Here’s how to do it:
- List your spending categories (groceries, transport, clothes, entertainment, etc.).
- Assign a monthly limit to each (e.g., £150 for food, £30 for fun).
- Track as you spend—once a category’s budget is gone, you stop spending in that area until next month.
Traditionally, people used real cash and envelopes, but now apps like Monzo and Starling let you do the same thing digitally.
Pro Tip: If you have money left in any category at month’s end, move it to savings or let it roll over to next month.
5. Reverse Budgeting
Most budgets focus on spending first, but this one flips the script:
- Step 1: Save a set amount first (start with 10% of your income).
- Step 2: Pay all your essential bills (rent, utilities, etc.).
- Step 3: Whatever’s left is yours to spend however you like.
This way, saving becomes a habit, not an afterthought.
Final Thoughts
Budgeting doesn’t have to be complicated. Whether you prefer strict categories (envelope method) or a simple save-then-spend approach (reverse budgeting), the key is picking a system that fits your lifestyle. Try a few methods, see what works, and adjust as you go.
The sooner you start, the more control you’ll have over your money—and the less stress you’ll face during your university years.
