NORTHWESTERN UNIVERSITY EVANSTON OFFICE OF GRADUATE FINANCIAL AID
STUDENT BUDGET WORKSHEET
This worksheet is provided to help you estimate your monthly budget and manage your financial resources. Setting and
following a monthly budget is one of the best financial habits you can develop. We encourage you to live as
conservatively as possible while you are a student so you can graduate with the lowest possible debt. This worksheet will
help you analyze your spending habits. Once aware of those habits, you can decide if you need to make changes in your
spending and/or financial aid.
In order to complete this worksheet, you will either need to view your financial aid award in CAESAR (Financial Aid >
View My Financial Aid) or estimate the amounts. You will first determine your total resources for the year, and then
subtract any fixed educational expenses (see the box below) to determine the resources you have available for your
discretionary living expenses. Finally, you will break down your discretionary resources into monthly amounts. It is
usually easier to calculate an accurate monthly budget than an annual budget, since most living expenses (e.g., rent and
transportation) are monthly expenditures.
Once you have determined the amount of money you have for discretionary expenses, you can look at how you are
spending this money. At the end of the worksheet, you can compare your spending against your resources, and make any
necessary changes. You will then have a flexible budget set up for yourself.
Note: “fixed expenses” are defined as expenses over which you have no control, which must be paid every quarter or
every month. For example, tuition is a fixed expense, because the amount is set and must be paid if you wish to continue
attending classes. However, food is not a fixed expense, because (although you have to eat) it’s up to you how much you
pay for food each month. The amount you spend is discretionary. Rent is also a discretionary expense because you can
choose where to live, and therefore how much to pay in rent, although once you’ve made that choice, it becomes a fixed
expense for the term of your lease.
ANNUAL RESOURCES
In Step (1) list all the resources you expect to receive from any source during the upcoming academic year. Your financial
aid award in CAESAR lists all amounts per quarter and as total annual amounts.
STEP 1: CALCULATE YOUR ANNUAL RESOURCES
Grants/Scholarships $__________
Federal Direct Stafford Loan (net) $__________
Federal Direct GradPlus Loan (net) $__________
Private loans $__________
Parent/Family Contribution $__________
Summer earnings (net) $__________
Academic year income (net) $__________
Investment income $__________
Savings/other income $__________
Spouse’s earnings (net) $__________
____________________________ $__________
____________________________ + $__________
TOTAL ANNUAL RESOURCES $__________ (A)
FIXED EDUCATIONAL EXPENSES
Fixed educational expenses are amounts over which you have no control once you’ve made your choice to attend a
particular school. These expenses (e.g., tuition, books, and fees) are typically paid once per quarter. You can find your
tuition, and estimated books/supplies budget amounts in CAESAR under Financial Aid > Accept/Decline Financial Aid by
clicking on “Estimate of Costs.” (If your award is not available, use the Cost of Attendance Worksheet available at:
http://www.northwestern.edu/sfs/graduate-financial-aid/forms-and-resources.html)
STEP 2: CALCULATE FIXED EDUCATIONAL EXPENSES
Tuition: $__________
Books and Supplies: $__________
_______________________________ $__________
_______________________________ $__________
TOTAL FIXED EXPENSES: $__________ (B)
Now subtract your total fixed educational expenses from your total annual resources to determine the amount of your net
annual resources. This amount is how much you have to spend this year on your living expenses.
STEP 3: CALCULATE NET ANNUAL RESOURCES
Annual Resources: $__________ (A)
Minus
Fixed Educational Expenses: -$__________ (B)
NET ANNUAL RESOURCES $__________ (C)
MONTHLY RESOURCES
You now have determined the net amount you have to spend each year on discretionary living expenses. Since most regular
living expenses must be paid at least once per month (e.g., rent), setting a budget is easier if you determine your monthly
available net resources. So, in Step (4), divide your net annual resources by the number of months in your academic year.
STEP 4: CALCULATE NET RESOURCES PER MONTH
Net annual resources: $__________ (C)
Divided by
Months/Academic Year __________ (D)
NET RESOURCES/MONTH: $__________ (E)
DISCRETIONARY MONTHLY EXPENSES
Your “Net Resources/Month” determined in Step (4) shows the amount of discretionary funds that are available to you. Now
it’s time to list your monthly expenses. Use the “Current Spending” column to list what you are spending now each month
in each of the categories below. Later, if you think you need to alter your spending, you can use the “Budget Goal” column
as a work space to list the target spending amounts that will result in a balanced budget. Before you start, however, please
read the following note regarding how to deal with credit card payments.
STEP 5: LIST YOUR DISCRETIONARY EXPENSES PER MONTH
EXPENSE
Rent/mortgage
Utilities (electric, gas, cable TV, etc.)
Telephone (local/long distance)
Credit card interest/fees
Insurance (health, renter’s, car, etc.)
Groceries:
Food
Personal supplies (aspirin, hairspray, etc)
Household supplies (laundry, dish soap, etc.)
Laundry/dry cleaning
Local/public transportation (cab, bus, el, etc.)
Car/motorcycle payment
Car/motorcycle maintenance (gas, oil, etc.)
Parking
Medical/dental/medication
Childcare/babysitting
Pet care
Health club memberships
Haircuts/hair care
Clothes/shoes
Eating out
Music
Magazine/newspaper subscriptions
Cigarettes/beer/wine/etc.
Entertainment (movies, concerts, bar-hopping, etc.)
Travel/vacation expenses
__________________________________________
__________________________________________
TOTAL DISCRETIONARY EXPENSES/MO.:
CURRENT SPENDING
$_______________
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$_______________ (F)
BUDGET GOAL
$ _______________
_______________
_______________
_______________
_______________
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$_______________ (F)
CREDIT CARD PAYMENTS
• Credit card payments are discretionary, because the amount you charge is under your control. When you use a credit card,
you choose not to pay with cash and therefore to pay the credit card company. If you let the balance carry over from
month to month, you choose to pay the interest that accrues as a result.
• Be careful not to double-count items. For example: your “Eating Out” budget is $50/month. When you pay for meals
with your credit card, make sure you include the $50 in your “Eating Out” expense, not as a credit card payment.
• We recommend that you list credit card payments in the following manner:
1) When you use your credit card, count the amount of the charge in the category of whatever you bought; for
example, if you buy clothing with your credit card, count that expense in the “Clothes/Shoes” category.
2) If you do not pay off your card every month, count the interest that accrues in the “Credit Card Interest/Fees”
category, since the interest is an additional expense.
BUDGET SURPLUS/SHORTFALL
STEP 6: CALCULATE YOUR SURPLUS/SHORTFALL
NET RESOURCES/MONTH: $________________ (E) $_______________ (E)
minus
DISCRETIONARY EXPENSES/MONTH: -$________________ (F) -$_______________ (F)
MONTHLY SURPLUS/SHORTFALL: $________________ (G) $_______________ (G)
times Months/Academic Year (from Step 4): X _________ (D) X ________ (D)
ANNUAL SURPLUS/SHORTFALL: $________________ (H) $_______________ (H)
If your budget is balanced, your annual surplus/shortfall is zero, and you can go to Step (7). If it’s not zero, you’re not done.
If you have an ANNUAL SURPLUS (amount in line H is GREATER THAN zero):
Based on your current spending figures, you have more resources than you need. If you are borrowing loans, this means
that you should be able to decrease the amount of your educational borrowing for this year. This will decrease your
educational debt, and put you in a stronger financial position after you graduate. To decrease your educational debt for
this year, make your request in writing to gradfinaid@northwestern.edu.
If you have an ANNUAL SHORTFALL (amount in line H is LESS THAN zero):
One or both of the following statements apply to you: 1) Your spending is too high. 2) You need additional resources. In
order to balance your budget, you must cut spending and/or find additional financial resources. It is to your advantage to
cut spending or to obtain funds from your family or another source (if possible) before borrowing additional educational
loans. You should only increase your educational debt as a last resort. The less you borrow while in school, the stronger
your financial position after you graduate. Here’s what you can do.
• First, go back through Step (5) to see if there are areas in which you could reduce your spending and so balance your
budget. If so, you are done! Go on to Step (7).
• If you still have a budget shortfall once you have cut back spending wherever possible, you need to research ways to
increase your resources. We will assume at this point that you will maximize your funds from sources that you don’t
have to pay back (or that you have to pay back at a very low interest rate).
• If you have rejected financial aid that you were previously offered, you can accept it now by making your request in
writing to [email protected].
STEP 7: STICK TO YOUR BUDGET
This may be the toughest part. Keep a copy of your Budget Worksheet with your financial aid records, and keep track of your
actual spending in each category. You may need to modify your budget later in the year. Please do not hesitate to contact the
Evanston Office of Graduate Financial Aid if you have any questions regarding this worksheet or your budget. Our contact
information is at the top of this worksheet.
NAME: _________________________________________ DEGREE/PROGRAM: ______________________
STUDENT ID: ___________________________________ DATE: ______________________________
