Record what you spend. It isn’t a time waster but the basis of a budget and helps you identify needed adjustments. Your budget means nothing without accurate accounting.
Don’t be suckered. Spending $300 on a $400 coat doesn’t save $100 – it costs you. If you doubt it, put the money you’ve “saved” in your bank. DO shop price. When shopping, don’t ignore coupons. Many businesses offer student discounts to build loyalty. Seek out deals on everything and compare prices against multiple sources. And remember indulgences add up. If you feel thrifty because you spend only $20 weekly on beer, do the math: that’s $800 a year. Make similar calculations for pizzas, movies and stuff. Don’t let luxury spending overwhelm your school expenses.
Dorkiness pays. If your school has a meal plan, use it. If you don’t participate, avoid eating regularly at restaurants and fast-food joints because they will simultaneously flatten your bank account and pad your gut. Pack a lunch to save money, no matter how uncool. When shopping, buy grocery house brands to increase savings. You were expecting gourmet swill?
Make payment deadlines. Avoid late charges and high interest rates by paying the balance on your credit card in full and on time each month. Don’t use a credit card for routine living expenses unless you know how to pay off your card in full, monthly. Anyone who runs an unpaid card balance – even for a month – is a financial sucker.
Keep banking simple. Deal with your parents’ bank to make transfers easy. If that’s not possible, shop around. Ask about fees — including ATM. Ask if overdraft protection is part of the student package. If not, see if you can cover possible mistakes by transferring overdrafts to a bank-issued credit card. Keep such transactions few, as banks charge for the convenience.
Earn your way. Jobs with tips generally exceed hourly pay. If you’re a part-timer, grab a job offering tips (waiting tables, delivering pizza, parking cars or bartending). Hustle and you’ll boost earnings. Don’t be bashful about odd jobs such as delivering roses on Valentine’s Day .
Cars eat money. Insurance, gas and routine maintenance quickly punch a hole in your budget. Most college towns have everything you need within walking distance of campus. If some friends have a car – chip in for gas and let them cover expenses.
Mom would say “bohemian,” but it means “go downscale.” Buy used books, furniture and clothes. It might be hard to believe, but “stuff” at your age will have no value six years from now. So remember financial success at school is simple – organize your time and money. Accumulating savings and asset planning are the hard parts.
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