What’s more funner than the adrenaline rush you get as the clock ticks and that assignment is due any minute now? All because you could not miss the wildest party of the semester? Attending College/University can be one of the most amazing experiences that a young person goes through, on the flip side it can also be one of the most expensive experiences. Tuition fees along with all of the other costs associated with pursuing your educational goals (shelter, transportation, food, etc.) are putting young people in record amounts of debt that takes many years to pay off. Of course there are many student whose parents will cover their tuition costs, rent, and even buy them a car, and all I can say for these people is that this article is most likely not for you. This article is aimed at young people who receive minimal or no assistance, and as a result must learn how to budget in order to make it through school without being in debt until your 30s. The following tips are crucial for students who care about their finances and want to budget themselves properly while getting the most out of their school experience.
1. Choose the right school. Going to a school in a different city or area can be fun but is it really necessary? I know that some schools offer exclusive programs, but many young people just look for an excuse to leave their parents home. My advice is to exploit living at home as long as you possibly can, living on your own may be fun but it is definitely expensive. Also I know that most people will want to go to the most prestigious school possible but this is not always the right decision. Go to the school that offers the program that you are most interested in, whether it be a University, Community College, or Private College.
2. Enjoy cheap entertainment. Let’s be honest no one is going to stay in on the weekends while in school, it is not realistic. So when you do go out just be smart about it, do not go to the fanciest clubs because chances are the people in them buying expensive drinks already have careers while you are still in school. Try to take advantage of all of the free concerts and lounges at school because you will not only save money but you will get to meet more people with similar interests. Bulletin boards around the student union office are usually the best places to find out about all of the cheap entertainment on campus. If you plan on getting completely wasted then maybe you should look into the bars and frat houses around campus, as they tend to have cheaper prices.
3. Beware of the evil credit card. For most young people when they begin their post secondary education, it will be their first exposure to credit card companies literally throwing credit cards at you around campus. Even though most companies will only offer a $500 credit, there are many companies that are willing to give you more than that. I will let you in on a secret, the credit card companies will give ANYONE a credit card. Everyone should be given a fair chance at building their credit, but many young people will treat it as free money. Let me tell you it is the furthest thing from free money, you DO have to pay it back. I would generally tell most people to avoid credit cards, but if you insist on getting one you must practise strong self discipline, if not then good luck with credit cards when you are older and receiving much more credit. If you do choose to use your credit card on foolish purchases (which we all have done) then you must pay it off as soon as your statement comes in the mail, do not under any circumstances pay the minimum amount. If you choose to pay the minimum amount every month then may God bless your soul because it will take you forever to even pay off $500 at that rate.
4. Apply for free money. Yes, believe it or not there are ways to get free money while in school. There are generally 3 options; scholarships, bursaries, and grants. Personally, I have met many more people that have received bursaries because they usually do not depend on your grades and they are available for everyone. All of these 3 methods only require a few minutes of your time and a simple application to fill out. You have nothing to lose, as long as you provide valid information and do not lie.
5. Start a Savings Account. Everyone will argue saying it is difficult to start saving with very little money, but a little money is better than no money. I urge everyone to open up a savings account at the financial institution they already belong to. Even if you add as little as $5-20 a week it is still something and over time it will add up. The key here is that it is beneficial to get into the habit of saving as early as possible so that when you have graduated you have some strong personal finance traits to build on.
