The secret to financial success is cutting back on expensive habits and knowing where you are spending your money, and this is something that in important for college students and all college students should understand. Most college students today are living on a tight budget. Those who fail to keep their expenses in check often fall into a cycle of debt that is difficult to escape from; in fact, some of their debts might follow them even beyond graduation.
Given the new experiences and opportunities available in college, it can be very tempting for students to splurge and depend on their parents for financial help. Some of students spend a lot of money on educational help with the requests: “write my paper”, “help to research”, “translate my text” etc. However, those who learn to manage their finances at this stage in life often gain lessons that help them live a debt-free and financially stable life in the future.
Below are the 10 best budgeting tips for college students to stretch their dollar further:
- Use a Budgeting App
College students often have countless things going on every day, and each day can be very different from the next. This can make it difficult to manage their daily spending, making it almost impossible to stick to their budget. This is where free budgeting apps come to the rescue. In addition to helping people limit their spending, the best budgeting apps also help them find new and better ways to save.
- Create a Financial Cushion
It is important for college students to prepare for unexpected expenses by creating a financial cushion on their budget. A 10% financial cushion, for example, will help them handle unexpected expenses, such as unforeseen repairs, and help reduce their level of anxiety or stress.
- Save your Spare Change
College students need to invest their spare change. Their saved-up spare change may come in handy when they least expect. They can even use investing apps such as Acorns to link their debit or credit cards when they buy something and these apps will round up the purchase amount to the nearest dollar and make it available for them to invest.
- Begin Paying off the Student Loan
It is always smart to start paying off your student loan as soon as possible by including loan payments into your budget. The amount you choose to pay each month does not matter. Getting into this habit will help you pay off your loan faster.
- Use Cash for Discretionary Expenses
If you want to dine out or pay for any other type of fun activity, withdraw some cash to pay for such expenses for a month or even a week and cut yourself off when you spend it all. Avoid withdrawing any more cash for such activities during the period. This will force you to make the most out of every dollar.
- Double your Credit Card Payments
If you have a large credit card debt, the best move you can make is paying it off, which will help you save money. You should double or even triple your payments if possible.
- Take Advantage of Coupons
Using coupons is a great way to save money and stay within your budget. You will find coupons for just about anything you can think of if you try hard enough.
Using coupons is a great way to save money and stay within your budget. You will find coupons for just about anything you can think of if you try hard enough.
- Use your Student ID to get Discounts
Your student ID or email will help you get some amazing discounts on things such as movie tickets, computer software, food, clothing, and much more. You simply need to ask whether a student discount is available before making a purchase.
- Do not Purchase too Many Food Items at the Grocery Store
According to a report in the Washington Post, the average American wastes about one pound of food each day. Wasting food is a terrible shame that will make it harder for you to stick to your college budget. Instead of wasting money on food items you will end up tossing away, buy smaller quantities of food.
- Attend Free Events
Tons of free events are available in most college campuses; therefore, instead of wasting money on an event out in town, attend a free event with your friends and have some fun without breaking your budget. You will also meet new people and build friendships.
Having to stick to a budget is not easy or fun; however, you can always find smarter ways to spend your money. It is also important to understand the difference between being a smart spender and being cheap. Budgeting does not mean you are cheap; rather, it shows you are smart enough to live within your means.
Image Source: BigStock.com (licensed)
Site Disclaimer
The Content in this post and on this site is for informational and entertainment purposes only. You should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on our Site constitutes a solicitation, recommendation, endorsement, or offer by HII or any third party service provider to buy or sell any securities or other financial instruments.
Nothing in this post or on this site constitutes professional and/or financial advice. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this post or on this site.
You recognize that when making investments, an investor may get back less than the amount invested. Information on past performance, where given, is not necessarily a guide to future performance.
Related Categories: Education, Money, Reviews
