Budgeting for Break
With spring break just around the corner, many Texas Tech students are preparing for trips to various destinations.
But, some students may be rudely surprised when they take a glance at their current financial situation.
Josh Mungavin, client advisor for Tech’s financial service program Red to Black, said budgeting is a key factor when it comes to planning for a spring break trip.
Mungavin, a senior personal financial planning major from El Paso, said depending on the cost of a trip, students may need to budget as much as a year in advance.
“It is always a good idea to start budgeting and planning as soon as possible,” Mungavin said. “The longer you have to save, the easier it is to cut finances, and it’s easier to go on a more expensive trip.”
Mungavin said the first step is to create a personal budget that includes records of normal day-to-day expenditures. Once this budget is in tact, a student can create a separate budget to plan for his or her spring break destination.
The spring break budget should include all expenditures of the trip, such as airfare costs, lodging, spending money, etc., Mungavin said. Then, a student can decide how much needs to be saved monthly to accommodate these extra costs.
Mungavin said once both budgets are set up, the student should open a savings account so the decided monthly savings is automatically set aside.
“There are various banks that will set up free student savings accounts,” Mungavin said. “Don’t go to a bank that requires a fee to set up these types of accounts.”
After taking these steps, Mungavin said it is easy to find ways to save the amount needed. Simply foregoing that trip to Starbucks, passing on a drink or two over the weekend or choosing to cook at home are some tricks that save quite a bit of money, Mungavin said.
Using a travel agent can also be helpful, Mungavin said. Local travel agents can help students find cheap airfare rates, negotiate lodging quotes and provide other trip information.
Mungavin said another important tip for spring break is – no credit cards. Using loan money or charging things to a credit card is not worth the outcome of a spring break trip. Budgeting is the way to go, Mungavin said.
If you feel you may not be able to save enough for your ideal spring break, have a second, cheaper destination in mind, Mungavin said.
For help setting up budgets or other financial issues, Mungavin said he invites any student to come by Red to Black.
Red to Black is located in room 153 in the Human Sciences building, or visit the Web site at orgs.ttu.edu/r2b/.
Josh Mungavin can be reached at joshua.d.mungavin@ttu.edu.
Christine Walters, a junior public relations major from Lubbock, said last spring break she chose a more affordable destination – Red River.
Walters said she chose New Mexico because it meant she would not have to save over a long period of time. She and a large group of friends split all the costs and went skiing for just a weekend.
“Enjoying the outdoors and choosing a more affordable trip were my main focuses,” Walters said. “But, if we had decided to go somewhere more expensive, budgeting would have been something I would do.”
Walters said if she were going to budget an expensive trip, she would use Red to Black’s services.
Paige Miller, a junior political science major from Baytown, said she is working during spring break.
But, Miller said budgeting does work. She is currently saving for a summer trip to Las Vegas, and she budgeted for several months to go to Disney World during Christmas break.
Miller said she thinks students would be amazed how much they can save if they just make an effort.
Colt Riley, and exercise and sports science major from Lubbock, said he has currently not made any spring break trips.
But, Riley said he would be interested in going to New Mexico or even a nearby lake because these areas are usually not crowded with college spring-breakers.
Riley said he would have to budget for at least a couple months before going on a trip, and he would use Red to Black to help him if he knew more about their services.
So, as spring break approaches, don’t wait to look through that stack of receipts and bank statements – planning is everything! With a little saving and penny-counting, you can be well on your way to a wonderful spring break destination.
Visit: Red to Black