Budgets

Talking about money is one of the few things many college students want to hear. Even while in school, having a proper student budget will help ease stress and reduce overall spending. Before you break out the accounting journal or Excel sheet, you may want to go over any details you may have missed. Talking to a parent, guardian, or partner will offer some additional insight to help you finance your education and get a full understanding of all expectations.

Things to Consider:

• Who is going to pay for the college, and how? Have this conversation before the start of every school year. This will give you the information you need to see if you need to get a job, apply for extra financial aid (Federal or Private), or combine both of these.
• What expenses should you expect? Besides the usual tuition and textbooks, there are additional college fees, school supplies, transportation, food, etc. Make a list, estimate any costs, and agree on who is paying for these.
• Will you open a bank or credit account? Credit cards will need a cosigner if you’re under 21 and don’t work a full-time job. Be cautious about adding additional debt and look for a banking account that offers low or no fees. Try a credit union as they may be a better choice.

Planning Ahead

When it comes to a student budget, anticipating any expenses will make budgeting easier.

• School supplies and textbooks can take a large amount of your budget. Look for alternatives to buying your books from the college, along with computer equipment and notebooks.
• Will you be living on or off-campus? The costs for each of these varies, and there’s also food to consider. After all, a student needs to eat.
• Transportation and clothing will also impact your budget. Consider how you’ll get to and from class and what season you’ll be going to college and job-fair clothing for interviews.
• Discretionary spending should be considered. After all, you’ll need a break from studying. Entertainment is a must.

Budget Tips: You won’t need to be doing this daily, but keeping track of what goes out and what comes in will make you more aware of your finances. You can use a budgeting app or your online banking account to give you some insights into your spending. Check these weekly or monthly as you’ll have enough homework to keep you busy daily.

Creating a Budget

• Talk it out: Who is going to pay for everything? You or your parents?
• List all your expenses. Anticipate future needs. This includes tuition and student fees, school supplies, etc.
• Track spending. Use a free budget app or even an excel sheet so you can get a visual of where your money is going.
• Create an emergency fund after your semester starts if you’re financially stable.

Having a budget will significantly reduce your stress so you can focus on what’s important. Studying and getting to graduation is your ultimate goal, and you want to make it as comfortable as possible to get there. Creating and living by your budget will not only help you and your family but will help you shrug off the burden and worry that comes with school.

Best Budget Apps for Students