Learn How to Avoid the Most Common Financial Mistakes Made by Students
When you’re a high school kid who used to wear a Letterman jacket, you may not necessarily be familiar with words like budgeting or debt. These letterman patches in high school means that you still get to live off your parents’ financial help, so there is absolutely no need for you to worry about that aspect of your life. But things will definitely take on a different turn as you get to college.
After getting accepted to the college or university of your choice, you are bound to revel in the freedom of living away from the shadow of your parents. It is perfectly fine to bask in this feeling, but you have to be realistic as well, especially when it comes to something as crucial as your finances.
College should be considered as one step away from living your own life as a responsible adult. As such, you can think of it as a financial training for managing your own money once you finally get accepted in that dream job position, or finally start your dream business.
Know Which Financial Pitfalls to Avoid as a College Student
Managing your money for college is all about knowing where your priorities lie. To help you out, here are some of the most common financial mistakes made by college students which you can avoid so that you can have an easier time at handling your money at the university:
· Getting fancy accommodations during your freshman year.
The number one mistake made by most college students – especially those in freshman year – is getting fancy accommodations. Sure, everyone would like to live in a nice house with all the modern trimmings – but college is not the time for you to experience that yet. Even if you take on a part-time job, it would still be difficult for you to maintain a huge, fancy apartment – so always take your budget into account.
· Eating out most of the time, or always buying ‘designer’ coffee.
Another trap that most college students fall into is blowing their money on restaurant meals or designer coffee. Although you do need sustenance in order for you to study your lessons, there’s no need for you to always eat out. Do your grocery shopping once a week and make a budget, as well as a plan for what you’re going to eat. This will not just allow you to save money, but help you eat healthier, too. You should also restrain from buying designer lattes or cappuccinos. If you love coffee, buy a cheap single coffeemaker and brew your own pot at home.
· Blowing your money on brand new books.
A cheaper alternative to buying brand new books is downloading them on a tablet or laptop computer. You can also buy second hand stuff from students who took the same classes that you did last year. Better yet, head to the library.
· Not having a financial backup plan.
College students also make the mistake of treating credit cards or loans as a way to spend, spend, spend. Resist the temptation to go for these debts and simply live off what you can afford to earn.
Again, college is not the time for you to live your dream life yet where you can afford all the luxuries. Instead, you should treat it as that time when you had to work hard to earn extra money for you to spend on the bare necessities. Doing this will give you an entirely new appreciation to how difficult it is to earn money, so you can spend it wisely once you’re already out of college and earning a living.
After getting accepted to the college or university of your choice, you are bound to revel in the freedom of living away from the shadow of your parents. It is perfectly fine to bask in this feeling, but you have to be realistic as well, especially when it comes to something as crucial as your finances.
College should be considered as one step away from living your own life as a responsible adult. As such, you can think of it as a financial training for managing your own money once you finally get accepted in that dream job position, or finally start your dream business.
Know Which Financial Pitfalls to Avoid as a College Student
Managing your money for college is all about knowing where your priorities lie. To help you out, here are some of the most common financial mistakes made by college students which you can avoid so that you can have an easier time at handling your money at the university:
· Getting fancy accommodations during your freshman year.
The number one mistake made by most college students – especially those in freshman year – is getting fancy accommodations. Sure, everyone would like to live in a nice house with all the modern trimmings – but college is not the time for you to experience that yet. Even if you take on a part-time job, it would still be difficult for you to maintain a huge, fancy apartment – so always take your budget into account.
· Eating out most of the time, or always buying ‘designer’ coffee.
Another trap that most college students fall into is blowing their money on restaurant meals or designer coffee. Although you do need sustenance in order for you to study your lessons, there’s no need for you to always eat out. Do your grocery shopping once a week and make a budget, as well as a plan for what you’re going to eat. This will not just allow you to save money, but help you eat healthier, too. You should also restrain from buying designer lattes or cappuccinos. If you love coffee, buy a cheap single coffeemaker and brew your own pot at home.
· Blowing your money on brand new books.
A cheaper alternative to buying brand new books is downloading them on a tablet or laptop computer. You can also buy second hand stuff from students who took the same classes that you did last year. Better yet, head to the library.
· Not having a financial backup plan.
College students also make the mistake of treating credit cards or loans as a way to spend, spend, spend. Resist the temptation to go for these debts and simply live off what you can afford to earn.
Again, college is not the time for you to live your dream life yet where you can afford all the luxuries. Instead, you should treat it as that time when you had to work hard to earn extra money for you to spend on the bare necessities. Doing this will give you an entirely new appreciation to how difficult it is to earn money, so you can spend it wisely once you’re already out of college and earning a living.