The independence of college life requires students to be financially responsible by strategically managing their various financial resources, which includes carefully budgeting expenses throughout the academic year.
The materials below are offered to assist you with developing, implementing, and monitoring your budget. Additional information is provided on banking, credit, consumer debt, savings, and identity theft.
Establishing a Budget: Choices and Adjustments
If you’re just starting school or have been away from school for a while, it is critical that you review your particular lifestyle and financial resources. Going to school may require an adjustment to your spending habits. A more frugal lifestyle may seem like a difficult sacrifice, but it should be viewed as a temporary measure that will be well worth the short- term inconvenience. For every dollar you can reduce your current borrowing, you'll experience substantial savings in loan repayments. Consider the following suggestions for reducing expenses.
Housing
Share the cost of rent with a roommate(s), as it is less expensive than living alone. Consider campus housing, if available. Get a sublet clause in your lease if you plan to leave for the summer.
Transportation
Do not buy a car: financial aid cannot cover the costs of car payments. Car-pool or use university/public transportation. Bicycle or walk whenever possible. Take a higher deductible on your auto insurance. Consider dropping collision insurance coverage on older cars that are paid in full.
Shopping
Watch for sales. Never buy on impulse, even if it is a good buy. Buy non-perishable items in bulk. Avoid vending machines, fast food, and convenience stores. Store brands or generic products may be cheaper than the name brand with a coupon. Acquire inexpensive clothing at local second hand clothing stores and discount stores.
