10 Money-Saving Tips for Students

By Janitza Medina.

Despite what most students might think, the first step to saving money is to realize that you don’t need much to start out with.

“The issue with many college students is that they believe they don’t have any money to manage,” said Jumelia Abrahamson, director of the Northwest Bronx Resource Center.

Abrahamson says that money management is more about creating a habit regardless of how much or little of it you have.

In that light, here are a couple of tips to help you increase your cash flow.

1. Create a budget.  This is the first one on the list because it’s the most important. Contrary to the misconceptions, having a spending plan does not imprison you into a frugal lifestyle. It gives you the freedom to spend money guilt free, pay your bills on time and secure your future. Mint.com is a good place to get started for it categorizes your spending so you can keep track of your money.

 

2. Wait 30 days before purchasing any big ticket items.  If you have your eyes on that latest game system or smart phone, do not make that purchase. This is a good time to window shop a bit to ensure this is actually worth the money and waiting also helps you avoid impulse shopping. If in 30 days you still want the item, then give it a go.

 

3. Avoid binge shopping.  While going on a shopping spree looks fun and glamorous on TV, it’s an easy way to end up with a shopping hangover. A couple of ways to avoid this are to:

Make a list and go shopping with a responsible buddy. This way your friends can hold you accountable and guilt trip you away from becoming crazed with consumerism.

Separate your wants from needs. Take a deep breath and a moment to make a conscious decision about whether each item is an impulsive want or a necessity.

Make a budget and only bring the amount of cash that you intend to spend. When you begin to trickle down to that last dollar, you know it’s time to go home. Studies also show that it hurts more to spend cash so leave the debit card behind.

 

4. Buy used if possible.  This applies to books, clothes, and electronics. Before going anywhere to buy new books ask friends or relatives if they have ones to borrow or possibly buy for a reduced price. Also, look for sellers on Half.com, Thriftbooks.com, ecampus.com, Amazon.com, bookfinder.com or Chegg.com who have great prices for used books that are often almost new. There are also many secondhand clothing shops where you can find steals that are often lightly used or new with tags. A few to visit are Goodwill, Buffalo Exchange, and Salvation Army, or check out your local thrift stores, you’d be surprised by what you can find. The same goes for electronics; outlets such as B&H, eBay (when used wisely), and Amazon are smart options for refurbished or used items that have been taken care of. Not only are you saving money but also you’re going green.

 

5. Sell anything new or lightly used.  This is a good time to reduce some of the clutter in your home and put it to good use. Anything from books, electronics, furniture, clothing, shoes, hats, posters, jewelry, you name it, is worthy of selling on the Internet if it’s in good condition. Websites such as eBay.com, craigslist.com, target.com, Walmart.com, usell.com and many more are available for selling and trading items. If you prefer to skip the online experience you can also sell things in person at stores like B&G and consignment shops.

 

6. Pack your own lunch. Bringing your own food to campus is not only  saves  you money, it’s healthy for you. This is great for everyone but especially vital for those of you who want to lose some weight or stay fit. An easy way to do this is to set a day to create a meal plan for the week. Then, do all of the cooking, and refrigerate your money-saving meals. Also, remember to pack snacks to keep you energized between meals and far away from those overpriced vending machines.

 

7. Don’t drink a lot. .  Some students view college as a place to party hard and have fun, but drinking is an easy way to unintentionally bleed out tons of money in one night. Not only is it better for your health and productivity, the results of saving he money for a beer or two a day is about $800 a year. That sounds like vacation money.

 

8. Bring your own coffee, tea, or water.  Why buy drinks from the store? Coffee drinkers, bring out that reliable thermo and fill it up in the morning with your favorite homemade coffee. Tea drinkers can also bring a thermo and a couple of single tea packets. Luckily in most places a cup of hot water is free and so are sweeteners, if you wanted to, you could actually ditch the thermo altogether. For water drinkers, bring a stainless steel or glass bottle with you and refill it as many times as you’d like. The basic equation for the amount of water you need in a day is to take your body weight (pounds) and divide it in half. So if you weigh 200 pounds, you need to drink 100 ounces a day. Now, this may seem like a lot of water for many but there are many benefits of staying hydrated,

 

9. Avoid ATM fees.  Not only are you charged at the ATM machine but if you’re not going to your bank’s ATM they too stick you with non-network ATM usage fee, so you’re charged twice for one withdrawal. Save yourself the frustration of paying money for your money and take out a budgeted amount of spending money for the week in advance. You can also consider banking local, where there will be more branches available for you.

 

10. Put your money to work.  Now that you’ve saved all this money, what do you do with it? For those of you thinking shopping, think again, and reread number three on this list. What you should do is manage wisely and invest it. Utilize financial institutions and open up a savings account. You can apply for a college account that will last for five years and come with the benefits of not having pesky overdraft or minimum balance fees. When left untouched, a savings account can accrue interest over time, making you money without breaking a sweat. All you have to do is NOT tap into it for anything. This will leave you with the security of emergency money if something unexpected and costly comes your way.