Students the world over find it difficult to save money – it’s a known fact, right? The common perception of a student is one who is living hand to mouth, working night shifts and weekend jobs to pay for tuition, and eating toast for dinner. However, it doesn’t have to be this way, and in many cases, students are very financially literate, being able to spend money well and even save money for the future.
Here we look at just some ways this can be achieved:
#1 – It doesn’t matter how much money you bring in, just what you do with it. You don’t need to be earning the big bucks to be financially well off. It really does come down to how well you spend the money.
#2 – Draw up a budget plan – Simple free budget planners can be easily found online (credit to Wonga for this one.) This allows you to list what you need to spend your money on and where you might be able to cut back.
#3 – Think small and it could lead to bigger things – There are many small things you can do to save money, allowing you to put extra away in savings. For instance, consider your electricity and utility use. Could you switch off lights more? Could you unplug the TV when you are not in the house? Could you put the heating or air conditioning on a lower setting? Pennies here can mount up later on.
#4 – Get a savings account – You need to be able to separate your savings from your normal money pot, to allow you to resist the temptation of spending it. Get a savings account that lets you draw on the money if you really do need it, so you are not locked in. Consider one that has decent interest rates so you can really make your money work for you.
#5 – Ask for money over gifts – When it comes to birthdays and other holidays, if people usually buy you gifts, why not consider asking them to give you a small amount of money instead. This might be put to better use, and gives you a chance to boost your savings every now and again.
#6 – Sell old stuff – You probably have accumulated a lot of things you don’t need or rarely wear – Shoes? Clothes? Bags? Technology? Remember that this could all be cash and if it is only hanging around your house collecting dust, why not sell it and bring in a little extra money, that can go right into your savings account? Money Advice Service suggests, “Start small. Don’t charge in with a mega expensive item as your first listing – think cardigans not cars. Build up feedback from successful sales, to get more bidders and higher bids in future.”
#7 – Think before you buy – We all get tempted by shopping trips every now and again, and you can of course treat yourself if you deserve it. But look at what you are spending and consider if you really need this item before you hand over the cash.