Many
teenagers today are studying away from home, locally or in other countries. How are they managing
themselves financially? Are they able to
budget and handle their money wisely? Many realize
they are “BROKE” only when they get the “funds not available” flashed on the
screen at the teller machines. Shocking but it is happening.
My
son is organized and very thrifty in his ways of spending. However being one from
the science stream, money management is not taught or a part of their
curriculum. Hah! Some figures scribbled in his notebooks, some
entries forgotten and most often, left wondering where all his money goes!
Remember!
that lump sums you get at the beginning of the term or year have to be spread
out to last you till the next one. It is important that you start early learning basics of book-keeping.
This
help keep track;
- of
your income (money coming in),
- spending
& expenses (money going out) and
- your daily balances
- and allow you to come up with estimates or budget.
Here are some tips on how to maintain a simple Cash or Petty
Cash book
STAGE
ONE
For
beginners or those with no basic accounting background, practice using the
simplest format – “Cash In” and “Cash
Out” entries. You can get this
pre-printed format Cash book (sample pic) from any bookstore.
You may first want to familiarise these simple steps by making daily entries for 30days? From
this simple record you are able to check;
- Details
of each transaction (date, details and amount)
- Total
cash received (total debits) and total cash spent (total credits)
- Total
cash received less total cash
spent = BALANCE
STAGE
TWO
As
you progress to your 2nd month, (with increased daily entries) you may
now want to know the breakdown of
these sources of income and how these funds are being spent.
Group entries into
categories/headings and record each
entry into the respective column for
example;
1.
IN (Source of
Income - Receipt)
|
Loan
|
Home
|
Job
|
Misc
|
(Add columns
and headings according to your priorities)
2.
OUT (Spending &
Expenses - Expenditure)
|
Fees
|
Rent
|
Transport
|
Com
|
Self
|
Misc
|
NOTES
|
(Add
columns and headings according to your priorities)
3. Now let us format the columns into a
spreadsheet;
S A M P L E
4. Let us practice with some simple entries;
Use Windows Excel to format
your spreadsheet and the formula tools available to (automatically) help with your calculations. Go here and here and here for online basic Excel tutorials.
5. Sometimes you may find balances in your Cash book and your Bank do not tally. You will need to keep additional
records to reconcile these differences. However, generally these differences may be due
to;
- Amounts/remittance
made direct into your account that you are not aware of (‘+’ to your Cash book
balance)
- Bank interests (‘+’ to your Cash book Balance)
- Bank charges (‘-‘ from your Cash book Balance)
- Withdrawals
made that you forgot to record (‘-‘ from your Cash Book Balances)
6. You can get free simple Cashbook Templates downloads
(Pre-set columns with basic headings and formulas/ computations) ready for use from
the Internet, some sites allow you to modify to your requirements. Go here
for more information.
Some packages offer many other basic accounting
records (forms and formats) that you will find very helpful for your
future use.
STAGE
THREE
ESTIMATES AND BUDGETS
Making
a budget is the most important step in controlling your money. You can see how much money you expect to have for the month and plan for how
much you can spend.
Let us assume you are
now familiar with the basic recordings of your cash-petty cash entries. Close
the cash-petty cash record at the end of the month (say 2months records). From these figures you are now able to come up
with a simple estimate/ projection on your income and spending;
(SAMPLE)
ESTIMATED INCOME
|
DETAILS
|
TOTAL
|
1
|
AAA & Co sends every
semester (6months)
|
10,000.00
|
2
|
January from your parents
|
1,200.00
|
3
|
Feb –Jun parents will
give monthly allowance
|
1,000.00
|
4
|
From Mac 2011 you will
start a part-time job (weekends) with a basic salary of $240.00 per month
|
240.00
|
ESTIMATED EXPENDITURE
|
DETAILS
|
TOTAL
|
1
|
1st Semester
Fees
|
7,000.00
|
2
|
Rent to Mr XY; (Payments in advance to Mr XY)
Rental Deposit @ $350
Rental @6months = $350 x
6 = $2,100
Maintainance @$50 = $50 x 6 = $300
Water/Elect/Gas @$75 =
$75 x 6 = $450
|
3,200.00
|
3
|
Transportation
Petrol per week @$30 x
4weeks = $120
Maintainance/repairs/Tol approx = $30 per month
|
150.00
|
4
|
Communication
Top-up @$30 x 4weeks =
$120
Internet charges = $30
per month
|
150.00
|
5
|
Self – clothes-wears/toiletries/medicines/sundries
|
150.00
|
6
|
Food – Breakfast $3, Lunch $6 Dinner $6 = $15 daily
@$15 x 30days
|
450.00
|
7
|
Misc – Study materials & outings
|
100.00
|
Based on your estimates
above let us record the figures into a worksheet and prepare a simple
budget for the months of January 2011 to June 2011;
Budgeted income and expenditure
For the period January 2011 to June 2011
|
|
TOTAL
|
JAN
|
FEB
|
MAC
|
APR
|
MAY
|
JUN
|
|
INCOME
|
|
|
|
|
|
|
|
|
Loan for AAA & Co
|
10000
|
10000
|
|
|
|
|
|
|
Home Allowances
|
6200
|
1200
|
1000
|
1000
|
1000
|
1000
|
1000
|
|
Job - Part time
|
960
|
|
|
240
|
240
|
240
|
240
|
|
Misc
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL INCOME
|
17160
|
11200
|
1000
|
1240
|
1240
|
1240
|
1240
|
|
EXPENDITURE
|
|
|
|
|
|
|
|
|
Fees
|
7000
|
7000
|
|
|
|
|
|
|
Rent
|
3200
|
3200
|
|
|
|
|
|
|
Transport
|
900
|
150
|
150
|
150
|
150
|
150
|
150
|
|
Communications
|
1200
|
200
|
200
|
200
|
200
|
200
|
200
|
|
Self
|
900
|
150
|
150
|
150
|
150
|
150
|
150
|
|
Food
|
2700
|
450
|
450
|
450
|
450
|
450
|
450
|
|
Misc
|
600
|
100
|
100
|
100
|
100
|
100
|
100
|
|
TOTAL EXPENDITURE
|
16500
|
11250
|
1050
|
1050
|
1050
|
1050
|
1050
|
|
INCOME - EXPENDITURE
|
660
|
-50
|
-50
|
190
|
190
|
190
|
190
|
|
|
|
|
|
|
|
|
|
From this Budget you will be able to plan and monitor your spending
accordingly;
- Strictly sticking to your Budget, you will notice a deficit in January and February by $50 each month. Adjust your spending - reduce where necessary.
- From March to June you will have excess $190. This is because you will be having income from working part-time. Will work take your time away from studies? If you
decide to stop, which part of your unnecessary spendings should be reduced?
Discuss your budget with your parents.
Some
sources claim that Columbus
sighted the island in 1493, while others state that the island was first
discovered by the French in 1564 or 1565. According to tradition, Christopher
Columbus gave the small, narrow island its name in 1493 because from the
distance it resembled an eel, or in Italian, anguilla. It is also possible
that French navigator Pierre Laudonnière gave the island its name from the
French anguille. 
The
territory consists of the main island of Anguilla itself, approximately
26 km (16 mi) long by 5 km (3.1 mi) wide at its widest
point, together with a number of much smaller islands and cays with no
permanent population. 
