Friday, April 22, 2022

Going to college or university is an exciting new venture. For many young adults, this means living on their own for the first time, making new friends and maybe learning to balance school and a part-time job for the first time. With a number of new responsibilities to worry about, managing one’s finances might not seem possible on such a tight budget. But by planning ahead, you can avoid running into financial setbacks down the road and set yourself up for financial success in the future. So why not start now?

Here are four tips to help you manage your money as a student:

1. Set a Budget

Setting a budget is crucial while living the student life. This allows you to implement smart spending habits early and avoid accumulating debt. The first step is to make a list of all your income sources, including any savings, student loans and cash from your parents. The next step is to make a list of your estimated expenses for each month, such as rent, food and travel. YNCU’s Student Budget Tracker makes this process easy by helping you track your spending and reach your financial goals.

2. Build an Emergency Fund

Leave room for unexpected costs such as car repairs or medical expenses. This will help reduce a lot of stress that comes with these unforeseen events. An emergency fund is a financial safety net that’s set aside for unplanned expenses or financial emergencies. It’s recommended that your emergency fund have enough money to support you for three to six months of potential unemployment. In addition to keeping you afloat in times of need, this also allows you to practice good financial habits and avoid taking on unnecessary debt.

3. Cook Your Own Meals

Eating healthy meals while in school doesn’t have to be expensive. Students can reduce their food costs by shopping smart and cooking their own meals. This doesn’t mean giving up eating out completely, but cooking at home will help you save money and stay healthy. If you’re inexperienced in the kitchen, start with these student-friendly recipes. Once you’ve discovered your favourite recipes, you can start meal prepping for the week ahead.

4. Ask for Help

Don’t be afraid to ask for help. Many students lack the financial knowledge and skills needed to manage their money effectively. Speaking with a financial advisor will help you gain objective insight into your financial situation and learn how to handle important decisions. It’s also a great opportunity to develop a plan to meet your goals and manage obligations such as any student loans.

As a student, there are many opportunities to manage your money to ensure you’ll have a healthy financial future. If you need help getting started, our team is happy to help! Set up a Meeting with one of our experienced financial advisors who will design a custom plan to meet your needs.