The cost of living is a challenge for many people, especially students, as they focus on studying for exams, working part-time, and managing limited funds.
The cost of purchasing textbooks, tuition fees, managing a student loan, credit card fees, and daily living expenses are overwhelming for college students, though with some planning, and budget tips, you can curb overspending, and find ways to save your money, without sacrificing a night out with friends or treating yourself.
Planning and Evaluating Your Spending Habits
You’ve just been accepted to college and approved for financial aid. Maybe, your parents have college savings, or there’s funding to help you through the next four years. For some students, funding is minimal, and taking on a part-time job, even additional side gigs, is essential to pay for rent, groceries, and transportation.
It’s essential to consider how you manage your money now, while in high school, or working during the summer before your first year of community college.
Do you typically spend as you go, save a little, or budget your expenses carefully? If you spend a lot at once or find it challenging to set a budget, you can start with small changes now, which can help you save during college and in the future.
Set a Budget
Making a budget may seem like it could be more appealing, but it will go a long way to helping you manage your money to avoid getting into debt or behind on your bills. It doesn’t have to be complicated, either!
You can create a spreadsheet, starting with two columns: one for income and another for expenses, then compare both to see which is more significant.
If your income is generally higher than your expenses, you’re on the right track and will have more accessible time-saving money. On the other hand, if you’re in the red or your expenses surpass your income, you’ll need to find ways to reduce the cost of living or find other sources of income or funding.
Use a Budget Planner and Online Resources
Do you need help setting financial goals? Many banks, financial institutions, and credit card companies offer free calculators and budgeting tools to help get you started. You can also buy an inexpensive budget planner to write down the basics and determine how much you need to spend and save throughout the school year.
Needs vs. Wants: Making Better Spending Decisions
When you review grocery store expenses, where you shop for clothing and everyday items, are you getting the best bargain for your budget? Do you buy more food than you consume weekly or spend freely without considering other expenses and financial obligations?
Some things we want are not necessities, which only increases the amount spent, making it challenging to balance the budget at the end of the month.
When you curb your spending on items you don’t need, you’ll be able to save more in the long run and enjoy extra money for entertainment and social activities. You’ll also have greater flexibility in how you save and spend later, especially when you need more funding.
Student Discounts and Promotional Opportunities
Many businesses recognize the importance of higher education and offer college students discounts on bank accounts, credit cards, gym memberships, and other services, which can result in significant savings.
It’s worthwhile to explore the possibilities open to college students and how you can spend less while saving more:
- Your student ID can provide access to discounts at a local grocery store, restaurants, and other vendors on or near your college campus.
- Banks and financial institutions may offer college credit cards and programs with low-interest rates to help students build a good credit score for future lending and investment options.
- Second-hand college textbooks, access to library services, community center programs, and other local options are often free or low cost, which can help students who struggle with living expenses.
- Promotional events hosted by new companies may provide free gift cards, limited discount opportunities, and free items for students as a way to increase their customer base.
While college life is expensive and challenging at times, you’ll find that by actively researching which stores have discounts and incentives for students, the savings will add up over time, giving you access to extra money for a student savings account or low-fee investment.
Community Spaces and Group Outings
When you plan on spending a weekend getaway with friends and need to minimize spending, there are plenty of great low-cost options available, such as camping at a nearby site, a day trip to the beach, or spending time in local parks and forests hiking.
Public spaces like parks and community centers often offer free or low-cost space for students to rehearse or practice performances. They also provide shaded areas with picnic tables, quiet areas, and places to study and relax when you want to avoid spending over your budget at a local cafe or coffee shop.
Track Your Weekly and Monthly Spending
When you track your spending, you’ll begin to notice patterns, which makes you more aware of which expenses are worthwhile, and where you can spend less, or allocate more funding, will help.
You can write down every purchase in a budget planner or use an interactive app, such as Goodbudget or Mint, to identify areas of improvement, so you can increase your potential for savings while limiting spending where it’s not necessary.
Research Awards, Scholarships, and Free Tuition Opportunities
If you’re a high school student and you plan on applying for student financial aid, it’s worthwhile to explore other options that can reduce your debt and help fund your education.
Bursaries, awards, and scholarships can significantly reduce the amount you’ll pay in tuition costs while providing incentives for higher education. Even if you’re uncertain whether you qualify, most scholarship applications are free and worth the effort.
Take Advantage of Meal Plans and Other Money-Saving Options
Does your college offer discount meal plans, student housing, and other less expensive services? You’ll save significant money by taking advantage of meal plans, refillable water bottles, and other on-campus deals. Some schools have culinary arts programs, where students create delicious meals for a fraction of the cost for students and guests as a part of their curriculum.
If the local fitness center or gym is too expensive, your college might offer a gym, swimming pool, and fitness room for students. Local community centers, farmers’ markets, and promotional events offer low-cost, quality services and items that benefit students.
Buy in Bulk and Cook at Home
Preparing meals at home and buying a case of drinks, food, and items in bulk can save you a lot of money. If you share housing with other students, you can split the costs of purchasing a number of items at once, reducing the overall grocery bill.
Make the most out of leftovers, and bring them to school to heat up during lunch break. You’ll find microwaves around the campus, making this money-saving tip easy.
Buying several containers with sturdy, sealable lids is also helpful, so you can easily divide large portions of food for meals throughout the week. You might also benefit when you shop with family and friends, where you can decide which foods work best for everyone’s budget and dietary needs.
Skip Impulse Shopping
There are always items you’ll want to buy, though, in the long run, even if they’re not affordable and may impact your ability to pay bills and necessities. For this reason, it’s essential to plan your shopping, whether you’re doing a grocery run or buying clothes, shoes, or other household items.
Avoid purchasing impulsively, even if it’s a necessary item. There is a good chance that another retailer or shop can offer the same or similar item at a discount or a lower price.
Shop at Discount and Thrift Stores
One of the best ways to reduce spending as a college student is to find local dollar stores, discount shops, and thrift stores. Many cities have a lot of thrift shops, so you can find a variety of good quality clothing, housewares, and small appliances for your home without breaking the budget.
Some online classifieds offer events where people can meet and barter for items and services (such as tutoring) or sell goods at a meager price. You’ll find many items helpful to students, from bicycles and dining room tables to inexpensive bed frames, lamps, clothing, and electronics.
Socialize at Free or Low-Cost Events
Within your college and the surrounding community, you’ll find many groups and events to join, whether you’re into a specific sport, art, or extracurricular activity.
You’ll often find many great activities you can enjoy alone or with a small group, such as hiking, cycling, birdwatching, sightseeing, and other interactive activities.
Larger cities offer free access to parks, museums, public swimming pools, gardens, and historical sites, which can be a great way to spend the weekend when your budget is tight but you want to get outside and enjoy your day.
Campus attractions, clubs, and programs are great ways to get involved with your school while networking and building a solid strategy for your future.
Many students develop valuable leadership skills in these roles, which can help provide better employment and volunteering opportunities off-campus. It’s also a great way to meet new people in and around your school!
Consider Asking for Help
When you’ve done everything possible to reduce your expenses, and the challenge of day-to-day living remains, seeking help or guidance from family, friends, and financial aid services is essential.
While there may not be as many programs available, depending on where you attend school, your local campus advisor may suggest local charities or organizations that can offer help or provide free services for finding a job, food, or transportation assistance.
Summary
There are many practical, easy, and creative ways to save money as a student. Establishing a solid budget, monitoring your spending habits, and planning to save for your future are all critical milestones in preparing for your life after graduation.
Whether you meet with a financial advisor on your campus, design a plan with your parents, or create one with a budget planner, you’ll find that sticking to a financial plan during your college years will set a strong foundation for future success and money management.
