College is an exciting, rewarding time in a young adult’s life, but for most people, it’s hardly the most financially stable or lucrative period. College students are famously cash-strapped, and in fact, you could argue that that’s part of the whole experience.
Still, anything that can help to unburden the financial challenges is welcome. Happily, with so many students having money issues over the past few decades, society has gotten pretty good at figuring out ways to improve the financial side of one’s time in college.
If you’re planning to attend college soon, or you’re just looking to pass on some wisdom to the younger members of your family, then the following tips should help.
Consider Attending an In-State College
Moving away from home is part of the fun of attending college, but keep in mind that you don’t need to go to the other side of the country to get that experience — and from a financial standpoint, it’ll probably be better if you stay nearby. Most people are aware that in-state tuition is cheaper than out-of-state tuition, but not everyone is aware of how much cheaper.
You’ll likely pay significantly less (around a third less) by going to a college within your own state borders. Of course, that alone shouldn’t decide where you choose to attend college. If you have your heart set on a college in another state, then explore the option — it can sometimes be worth paying more to get a college experience that you really want rather than less to have one that’s just fine.
Get the Money You Need
Even if you do attend an in-state college, there’s still no avoiding the fact that pursuing a college degree can be expensive. It’s not just the cost of tuition itself that’s a factor, but also all those everyday living expenses such as rent, groceries, and other daily needs. Those costs can quickly add up, so it’s important to think in advance about how you’ll pay for them. Even if you’ve taken out a federal college loan to pay for tuition, it can be worthwhile looking at student loans from private lenders as a way to help meet your other costs. The process of securing the loan can be surprisingly straightforward, yet it can have a huge impact on making your college experience much more stress-free.
Live With Flatmates
Living with flatmates (rather than on your own) isn’t just a smart financial decision. It’s also a smart social decision. You’ll likely be looking for friends when you land at college. Your flatmates will provide an in-built social group.
But let’s focus on the money side of things. Renting a room in a house/flat can be much cheaper than renting out the whole thing, and you’ll also save in other ways, too. There’s no need for everyone to buy their own spices, household supplies, and subscription services. You can divide the cost by however many people live there. While it might not sound like a lot now, you’ll be surprised at how much money this approach saves you over the course of a year.
Choose a Place You Like Spending Time In
We’re going to add an important caveat to the above point. While living with other people can save you money, it’s not recommended to live simply anywhere because other people are there, nor is it wise to live with as many people as possible.
That can be tempting because it’ll bring your rent costs down, especially if the place is lower-than-average quality. However, if you don’t like spending time there, then you’ll likely find that you spend more time than you’d like outside in the expensive real world. That’s fine in the summer, when lying in the park and other free activities are on the table, but during the winter months, you might find yourself paying for cinema tickets and other attractions just so you’re not sitting in the rental property you don’t enjoy.
Get Comfortable in the Kitchen
You’ll need plenty of food to keep you going. How you choose to get that food will have a big impact on your budget. If you hate cooking, then you’ll spend a small fortune — or even a big fortune — in restaurants and cafes. One study found that students spent a whopping $410 on eating meals out per month, which equals thousands of dollars a year. It’s not unrealistic to think that you could cut that figure by ¾, though only if you learn your way around a kitchen. Even learning how to make a few simple meals can provide a big boost to your bank balance.
Consider a Part-Time Job
A big part of the reason why students are so cash-strapped is that they have plenty of money going out, not so much coming in. In fact, apart from loans or gifts from parents, it’s possible to have zero source of income.
That’s something that could be changed. Getting a part-time job, even 10 – 15 hours a week, can provide you with a little more money to play with. Plus, it’s a good way to get to know other people, and can even make a difference when you leave college and get your career underway.
Buy Second-Hand/Use/Sell/Repeat
Most student budgeting lists focus on the essentials, like eating food, transport to campus, and rent. But you’ll also need/want other things, too, such as clothes and textbooks. One smart approach is to buy second-hand, use the items for as long as you need them, then sell them to the next owner. You’ll find that you can save a lot of money this way — and in fact, if you get really good at thrifting, you might even be able to generate a profit by buying low and selling high.
Sell unused items
As an extension to the point above, it can be really beneficial for students to regularly declutter their items and sell off anything they don’t want, need, or use anymore. Not only can this clear up your living space for better focus, but it can help you build your own fund on money in addition to a part time job. Being a student is hard enough, so this can help you to make it as simple as possible.
Be smart about it. Use Facebook Market and Vinted for selling some items, but also look up specialist services where you can get good money for your items, such as bullion hub, who buy and sell gold and silver.
Keep Track of Your Expenses
Finally, perhaps the most important tip — keep track of your expenses! It’s easy to spend more money than you think you’re spending. Keeping a record will highlight exactly where your money is going.