From meeting new people to figuring out how to navigate your campus and gaining complete independence – The first few months of university can be overwhelming to say the least. Whilst there are a lot of things to keep tabs on, your finances should take upmost priority.
It’s important to get a handle on your finances early on, as learning how to manage your money effectively not only helps you survive financially while at university but also sets you up for financial success in the future.
Learning How To Manage Your Money
It’s important to get into the habit of managing your money from the start. While it is not necessary to be hard on yourself all the time whilst you’re navigating your new-found financial independence, keeping an eye on your finances can reduce stress in the long run. Here are our top tips to manage money for a stress-free student life!
1. Create a budget
Creating weekly or monthly budgets is a great way to keep on top of your finances. Knowing how much you have allocated yourself to spend each week or month can help you make smart financial decisions and in turn you’ll avoid overspending as you learn how to prioritise your expenses.
Start by tracking your income and expenses for a month, then create a budget based on your findings. For example, you may want to budget £1500 a month for expenses such as rent, groceries, and leisure activities. Or, you can set smaller budgets for each category per week or month.
2. Keep your shopping in check
It can be tempting to go on shopping sprees, but controlling your spending is crucial. When possible, stock up on deals, but only buy things you need. It is really easy to lose control of your spending when you spend unintentionally so try to avoid impulse buys and splurging.
It is easy to get carried away whilst shopping so you should always ask yourself if you really need an item or if it sparks joy before making the purchase.
3. Work part-time
Many students choose to work part-time to support their spending habits for extra luxuries during university. Popular part-time jobs for students include retail, hospitality, and tutoring. Consider what skills you have and how you can apply them to a part-time job.
Having an additional income aside from your student loan means that you have more disposable income to treat yourself. Earning for yourself is a great experience although, it’s also important to make sure your part-time job doesn’t interfere with your studies.
4. Get a student bank account
Many banks offer student bank accounts, which come with benefits such as interest-free overdrafts, free travel cards, and discounts on shopping and dining.
When choosing a student bank account, compare the options available to find the best fit for your needs for example, if you are someone who travels or, commutes a lot then Santander’s free 16-25 railcard will save you 1/3 on your travel costs!
5. Make a rainy day money pot
Having some savings for emergencies is always a good idea. Set aside a portion of your income each month for unexpected expenses such as car repairs, medical bills, or unexpected travel expenses.
There are apps, such as Monzo, which rounds up your total when you spend and designates the extra pennies into a “Saving pot” meaning you can subconsciously save when you spend!
Be Savvy With Your Student Accommodation Choice
Accommodation is one of the biggest expenses for students. However, it’s possible to save money on accommodation and keep your living costs low. The Stay Club offers affordable student living for university students and graduates.
Our properties are located in some of the best student areas in London, providing safe and comfortable accommodation with modern amenities with no additional fee. To learn more about The Stay Club and how we can help you save money on accommodation, get in touch with us today.
In summary, managing your money as a student is important for your financial success and overall well-being. Creating a budget, controlling your spending, working part-time, getting a student bank account, and saving for emergencies are all good habits to develop early on.
Additionally, choosing affordable student accommodation, such as The Stay Club, can help keep your living costs low and allow more money for having fun. For more tips on money management, check out our designated Money blogs at https://www.thestayclub.com/blog/money/.