The average cost of college today is $38,720 per student per year. While it can be a great investment in your future, the cost of college can make it very hard to meet your savings goals today. Even if you have personal loans to cover your living expenses, most students have to keep a strict budget if they want to save money for when they graduate.
It might feel impossible, but you can still save money while you’re getting an education. Here are some tips to help you save in college to set yourself up for a brighter financial future.
Create a Budget With Savings Goals
Budgeting is an important skill for everybody, not just college students. Learning how to do it while in school could be a great asset for the rest of your life. To create a budget:
- Calculate your income and expenses over a few months.
- Set some short- and long-term savings goals, such as paying for a study abroad program or even buying a house.
- Use your bank or credit card statements to calculate how much you’re spending each month and sort your expenses by needs, wants, and savings.
- Determine how much you need to save each month to reach your goals by the time you want.
- Based on your savings goals, budget what you need for needs and wants to understand how much you have to spend each month on different categories.
Whether you have a small income from a part-time job or an allowance from your parents, budgeting will help you use that money more effectively.
Get a Part-Time Job
Many people work part-time jobs or side hustles while getting an education. Universities often have many student jobs or work-study programs available to help you pay tuition or earn some extra money. Depending on your financial situation, you could also qualify for the Federal Work-Study Program that helps connect students to on-campus job opportunities.
The gig economy is also full of potential side hustles like ride share driving, tutoring, or freelance writing.
The more income you can generate, the more you’ll have to save (or have fun with) after you pay your essential expenses. Just remember to prioritize your classes!
Look for Student Discounts
Believe it or not, simply carrying your student ID can be a great way to save money. Especially in college towns, you never know when a student ID might get you a discount on food, textbooks, museums, public transit, and more. Ask your college’s office of student services if they have a list of the local and national businesses that offer student discounts.
Buy (and Sell) Used Textbooks
Textbooks are expensive. Fortunately, most students don’t take their textbooks with them when they graduate. Not only can you save some money by buying your textbooks used, but you could also even make a little money by selling them to incoming students after you complete a class.
Textbooks can have an economy of their own, so look for used books that have been taken care of, be kind to them yourself, and use social media platforms, online marketplaces or school message boards to recoup some of your costs.
Reduce Your Housing Costs
Outside of tuition, room and board is usually the biggest cost for students, clocking in at an average of $12,986 annually. Some schools may require you to live on campus for a few years, but if you’re able, compare off-campus housing costs to see if it’s more cost-effective to live in a different neighborhood. Just remember to factor in the time and money you’ll spend commuting to and from campus.
Even if you’re required to live on campus, you can still reduce housing costs by working as a resident assistant (RA). Some schools may offer free housing or a stipend in exchange for building community and enforcing safety in dorms.
Cook for Yourself
It’s nice to have a cafeteria with food ready for you to eat when you’re exhausted from school and work. However, the average campus meal plan costs $672 per month. There’s a good chance you can make your own meals for less than that. If your dorm has a kitchen or you’re living off-campus, doing your own shopping and cooking can help you save money.
That said, there is an opportunity cost in the time and energy it takes to shop and cook for yourself. If it’s going to impact your success in school, consider getting a partial meal plan or exploring other on-campus dining options.
Apply for Scholarships and Grants
You don’t have to be a first-year student to get a scholarship or grant. Universities and private organizations both offer need- or merit-based scholarships and grants for returning students. You can check out online resources or reach out to your school counselor to help you find scholarships and grants you may be eligible for.
Start Saving Today
The earlier you start working towards your savings goals, the sooner you’re likely to achieve them. It may feel difficult to save in college, but you can do it with some careful planning. These ways to save in college can help you start building good money habits that will serve you well into the real world.
Notice: Information provided in this article is for information purposes only and does not necessarily reflect the views of collegenews.com or its employees. Please be sure to consult your financial advisor about your financial circumstances and options. This site may receive compensation from advertisers for links to third-party websites.
