Tag: Like Like a Duck

Money Management Tips For Students Part Two

Money Management
Basic money management skills are essential for students to master in order to be successful during their college years and throughout life. Last month, we shared some budgeting and spending tips for students to follow to help them get a handle on their finances. Here’s a follow up post with more tips to help you get a handle on finances-

Know your Credit Score

Bad credit will haunt you for years to come and limit your options in the future as far as housing, transportation, continuing education and more. To secure a better future and access to lower interest rates, you must maintain a good, clean credit report. Sites like AnnualCreditReport.com will give you one free credit report per year online. You can also check with Consumer Credit Reporting Companies like Experian, Equifax and TransUnion.

With identity theft and other cyber crimes on the rise, knowing your credit score can also help you stay ahead of potential consumer fraud. The Federal Trade Commission is a great resource to help protect yourself and your financial future.

Pay with Cash

Having trouble staying true to your budget? Always pay with cash- and you won’t have a choice. “Withdraw however much cash you plan to spend that week, and don’t use your debit card,” says blogger Jordin Keim in this article. “It’s harder to watch cash go than it is to swipe a card, so you will think twice before making unnecessary purchases.”

Set Aside Emergency Funds

Count on this- you will encounter unanticipated expenses as a student and throughout life. It’s guaranteed. So, be smart and plan for these emergencies. Follow this simple rule and it will set you free from the burden of these unwelcome “surprises”: Live below your means and set aside cash each month for emergency funds. Always have a cushion to get you through times of need.

Utilize Technology to Manage Your Budget

One of the advantages of living in the digital age is the ability to manage your cash on the go. Much of the work can be done right from your phone thanks to banks and their online money management resources like bill pay, budget monitoring, savings account management and more. Free apps like Balance and Mint are very helpful to busy students.

For more tips and ways students can manage their money and get ahead, visit these sites:

Get Rich Slowly – Personal Finance That Makes Cents
CNN Money – Personal Finance

photo credit: 223/365 – my bank sucks via photopin (license)

Essential Money Management Tips for Students

Money Management Tips College

Adjusting to college life is filled with obstacles, but basic financial management is one of the biggest challenges students must overcome to be successful not just in college, but in life. Unless you are living on trust fund, the costs of student life can be overwhelming. However, adopting simple money management habits like smart budgeting and spending can make all the difference in the world.

In order to form a strong foundation for money management, there are two essential steps students need to master:

#1- Know where your money is going.
#2- Create and follow a realistic budget.

Mastering these two steps will take time and patience. But the payoff in the long run is freedom from financial stress, dept and the means to provide for yourself and others.

#1 Know Where Your Money is Going

If you don’t already do this, get into the habit TODAY of keeping a spending log. Knowing where your money is going will allow to to take control of your finances and give you the ability to buy the things you really want in the future. A spending log is a very simple but powerful tool to get started. Click here to learn more and to download a spending log you can begin using today.

#2 Create and follow a realistic budget

Following a budget will ensure that you have enough to provide what you need and allow you to reach goals like saving enough money for Spring Break, buying a new bike etc. For this to be successful, it may take months of practice and patience and a willingness to make sacrifices.

To create a budget you can actually follow, review your spending log to see where your money is currently going and where you can cut back. To do this, you must determine between what you need (food, clothing, rent, gas, textbooks) and what you want (the other stuff). Here’s a great tip from the article, 10 budget tips for college students.

You must learn to balance between needs and wants. Your needs will always come first, and your wants second. You have to live within your means, so if your wants exceed your needs, you must either get another job, or sacrifice those wants. It’s a tough thing, but you can do it! It’s only for a little while. List monthly income sources, including savings, wages and parental allowances, and then write down estimated expenses for the month. It isn’t easy to identify college living expenses in advance, but you should try. Take costs such as school supplies, food outside your meal plan, personal care items and laundry into account. Then, try managing your budget and tracking expenses using an online personal finance management tool like Mint.com, which helps you easily create and stick to a budget.

Resources

Click here for a simple budget worksheet to help get you started. You can also learn more about personal budgeting, visit StudentAid.gov/Budget.

We recommend The Live Like a Duck program for students. This money management program provides tools and tips to help students and their families make sound financial decisions while you attend the UO.

photo credit: $23 lunch/beer/dessert 2009-11-02 12.05.49 via photopin (license)