By: Edward Lubembe at Regions
For parents preparing to send their children to college this fall, student money management is likely top of mind. Once tuition and fees are covered, many parents are now working to help their students figure out day-to-day living expenses.
The good news? This is the perfect time to share smart saving habits that can last beyond the college years.
BUILD A BUDGET
The best way to save money and minimize spending is to set a budget and stick to it. Students can track all their expenses and income in the initial months at school to see how far ahead or behind their budget they end up each month.
MONITOR EXPENSES
Simply monitoring expenses can change the whole perception about how people spend their money. Students should understand their spending habits to help better organize their needs and wants.
UTILIZE MONEY-SAVING RESOURCES
From fitness centers and dining plans to free concerts and movies, taking advantage of anything that’s already included in school fees can help students reduce spending.
Textbooks are a college expense that may give many students sticker shock; however, students may find that they will only need the book for a short time. If they decide to buy new or used copies, consider whether the book can be sold back at the end of the semester or consider discounted digital, rental, or used copies. Another option is checking with the school or local library to see if books can be borrowed when they are needed for class.
CREATE A SPENDING PLAN
It’s important to plan and consider any expenses you think your student may have and include it in the budget to track costs effectively.
If your student will have a car at school, consider asking them to only use it if they need to, and include parking spaces, gas money, and repairs in the budget. If they plan to travel back home during breaks and on weekends, prepare in advance the expenses associated with the trip.
CONSIDER A PART-TIME JOB
If possible, encourage your student to check out part-time jobs on campus to help make extra money. Most jobs close to universities may offer flexible hours to help accommodate students without conflicting with school. Weekends are an especially good time to squeeze in some work hours while leaving plenty of time for fun. Students can watch their money grow by taking the top 10 to 20 percent of each paycheck and depositing it directly into a student savings account.
GREENPRINT® PLAN
Before starting school, schedule a Regions Greenprint. It is a free, personalized financial roadmap designed to help students track spending, manage student debt, and build savings. Students can complete the assessment online or at a local branch, and a Regions banker can help set financial goals and provide actionable strategies for money management. A Regions Greenprint is available to anyone, regardless of where they bank. Stop by any River Region branch to learn more or visit www.regions.com
