How should I budget my money as a student?

Many people use the 50/30/20 rule, which calls for putting 50% of your total after-tax income toward needs, 30% toward wants, and 20% toward savings and other financial goals . This step takes the longest, but getting your finances under control is definitely worth the effort.

How to spend money wisely as a student?

On this page Learn the basics of budgeting. Cook meals for your housemates. Reduce your travel costs. Take advantage of student deals. Don't pay full price for course books. Save money as a household. Sort out your student bank account. Deal with debt as early as possible.

What is the 20 rule for money?

Budget 20% for savings In the 50/30/20 rule, the remaining 20% of your after-tax income should go toward your savings , which is used for heftier long-term goals. You can save for things you want or need, and you might use more than one savings account.

Why is money important for students?

Money is important to college students, but having money as one's chief aim in life is negatively correlated with subjective well-being. Money plays a significant role in a student's life as it influences their spending behavior and affects their ability to manage their finances effectively .

What is the 50/30/20 rule for college students?

What is a good college budget? A good college budget prioritizes needs and savings over wants. A good template to follow when budgeting is the 50-30-20 ratio— 50% of your income covers needs, 30% goes toward wants and 20% is for savings . This format can guide you in creating your next spending plan.

Key Takeaways The 50/30/20 budget rule states that you should spend up to 50% of your after-tax income on needs and obligations that you must have or must do. The remaining half should be split between savings and debt repayment (20%) and everything else that you might want (30%). More items...

How to save money as a 14-year-old?

How to save money as a teenager: Open a savings account. Separate spending and savings money. Keep track of purchases. Think twice before buying. Start budgeting. Do chores to earn more allowance money. Getting a summer or part-time job. Set a savings goal. More items... Jul 10, 2023

How to save money as a 12 year old?

Discuss Wants vs. Needs. Let Them Earn Their Own Money. Set Savings Goals. Provide a Place to Save. Have Them Track Spending. Offer Savings Incentives. Leave Room for Mistakes. Act as Their Creditor. More items...

What is a good monthly budget for a college student?

Simple monthly college student budget example Expense Budgeted Actual cost Housing $550 $550 Utilities $150 $150 Groceries $100 $90 Toiletries $40 $40 9 more rows

How much money should I put into savings as a college student?

If your savings are currently a bit anemic, aim for enough money to cover three to six months of expenses . To put a number to that goal, add up all your regular expenses and multiply the total by at least three. Hopefully, you'll never need to dip into those funds, but if you do, they'll be waiting for you.

How do you afford to live as a student?

If that's the case, it's important to know that there are ways to rent an apartment with — and without — your student loan funds. Consider a private home rather than a complex. Ask a friend or family member to cosign the lease. Pay more upfront. Find a roommate. Sublet an apartment. More items...

5 Essential Money Tips for Students (2024)

Boost My Budget uses affiliate links.

It’s freshers’ week! If you’re a student off to uni or college, great for you! You are going to have an amazing time and see your life change in so many ways over the next few years.

This is also the best time of your life to really get a grip on your money stuff. Whether you’ll be living away from home for the first time, or returning in third year with mountains of debt, it could not be more important to take a few minutes to think about how you’re managing your money.

Seriously – learning how to budget or discovering a few essential money-saving tools now could save you THOUSANDS over the course of your degree!

If you’re wondering how to improve your finances, here are my top 5 money tips for students. Even just one of these will have a massive impact on your bank balance, now and for years to come!

Get a budget

In my first year at uni, I had no idea what I was doing with money.

I remember gettinga student loan at the beginning of the first semester and it felt like I was the richest I’d ever been in my life!I didn’t really think about how I was going to make it last for weeks. It was also the first time I’d been in charge of my own food shopping and generally looking after myself, and I had no concept of how much to spend.

The result? I was in my over

draft by Christmas.

The single best thing you can do for your finances is learn to budget.

No, don’t run away!I’ve only been budgeting for a couple of years but it has changed my life.

People often think budgets will be restrictive and boring, but I’ve found the complete opposite. My budget gives me freedom because I know exactly how much I can spend onthingsguilt-free(yes, you’re allowed to budget for fun stuff too!)

It also takes away so much stress when you know exactly how much money you have and have a plan for spending it.

I use a budgeting tool called YNAB (You Need A Budget) and I honestly cannot recommend them highly enough! The system is designed to be completely flexible, so no worries about overspending one month. There’s a desktop software and a corresponding app, which makes it super easy to record expenses on the go.

Get a side hustle

Saving money is good, but making money is even better!

Depending on your course, you probably have more free time now than ever. Why not put it to good use and start investigating ways to earn extra money online? Whether you need money to supplement your living expenses, pay for nights out or save for a holiday, we could all use a bit of extra cash.

Of course, there are always the student staples like getting a job in a bar or a coffee shop, but I’m (obviously!) a huge fan of making money online! If you start now, you could even be earning enough to put off getting a job in the real world by the time you graduate.

Luckily for you, I’ve published a master post of over 29 Legit Online Jobs For Students.

It contains loads of ideas for earning extra cash. All of these are great for students because they’re completely flexible, meaning you can work any time of day or night, or take a break altogether during exam period or holidays.

If you don’t want to read the full post, here are some of my top picks:

Matched betting (verylucrative side hustle for residents of the UK and Ireland only)
Make money with surveys
Learn how to make money on Pinterest with affiliate marketing
Set up a money-making website based around your hobbies or interests (no tech knowledge required)
Test websites from home
Set up a home business selling on Amazon

If you’re not 18 yet, your options are a little more limited, but I have plenty of ideas in my post on online jobs for teenagers.

Learn to say no

Look, I know how it is.

In the build up to uni, the focus is more on the going out than the studies. In your first few days you will pick up hundreds of flyers and hear about dozens of parties. The pressure is intense.

But you need to learn to conquer the FOMO.

Saying yes to everything will not only rinse out your bank account, it’s also just not good for your physical or mental health.

Don’t think that you have to say yes to every invitation because these are ‘once in a lifetime experiences’ or ‘how you make connections’ or something.

They’re not. There are plenty of cheaper and more effective ways to bond with new friends than going out getting drunk.There are loads offun things to do without spending moneyat all.

Having a cup of tea in halls or cooking a meal with your new flatmates is where the real connections happen. Look after your bank balance and yourself, and have a night in once in a while.

Get a student card ASAP

As soon as you register at university, you should send off for an NUS Extra card (if you’re in the UK). The NUS card costs just £12 per year and gives you discounts at hundreds of places from restaurants and shops to coach tickets. This could save you HUNDREDS over the length of your course.

Also, if you’re planning to do some travelling, look into theInternational Student Identity Card(ISIC), for similar deals all over the world. You get one year free with your NUS Extra membership. The ISIC is especially handy for flights, hostels and hotels. You can also use it as proof of student status to get reduced entry to museums and other attractions.

Psst…not a student, but still want to take advantage of the savings? Money bloggerAndy at Be Clever With Your Cash has an awesome hack which will shows how anyone can get a student card for as little as £17.50.

Read at least one moneybook

Honestly, I know you already have a reading list as long as your arm, and more reading is the last thing you want to do.

But seriously – reading just one book on personal finances could be more valuable than hours of lectures.

Youneedto know the basics of money management. Starting now can make the difference between a secure, wealthy life or years of stress and worry.

And don’t think you have to commit to hundreds of pages of droning about the stock market. There are lots of excellent books now aimed at people like you, which will tell you exactly what you need to know in a concise and easy-to-understand way.

My top two picks are Broke Millennial: Stop Scraping By and Get Your Financial Life Together by Erin Lowry and I Will Teach You To Be Rich: No guilt, no excuses - just a 6-week programme that works. Both will take you through the absolute basics of everything from budgeting to bank accounts to credit cards to investing.