Tips for Living on a Student Budget

The new school year is right around the corner, and hopefully you are excited as me both to be back in State College and for the cooler, crisper days of fall.  Exciting changes are about to be upon us (new friends, new classes, new football season, so many new things), so friends, we better prepare ourselves!  Whether you are living on campus this year, commuting, or living in an apartment, college has a whole new set of expenses than you are probably used to, so it is important to be prepared and have a plan for your money.   Here are some helpful hints as you begin to think through living as a college student

1. Set a budget: Before you start your classes, set a budget for yourself for the year.  The money “in” should be more than the money “out.”  Use a simple formula of “money in” (i.e job, savings, allowance) minus “money out” per week must be greater than zero. Categorize your expenses to help you track where you will spend your money.  Categories could include eating out, entertainment (i.e concert tickets), school supplies, and clothing purchases.
2. Use your online banking tools: If you do not already know, learn how to log into your online banking service. Be diligent about tracking how much money you are actually spending. It is one thing to set a budget, it’s another to actually follow it!
3. Buy used:  Consider purchasing textbooks online from Amazon or similar sites.    Expensive, well made, large ticket items such as rainboots or winter coats can be found slightly worn online or at a second-hand store for half the cost of the new item. For example, last year I bought a $100 pair of rainboots slightly used for $40. They should last me at least 5 years!
4. Use your meal plan: If you are living on campus, your meal plan is food that is already paid for.  Try to save you “downtown, eating out” money for a fun meal with friends rather than spending it on take out during the week.
5. Take advantage of available free resources: Before you pony up big $$$ for private review sessions downtown and note packets (which occasionally are a good option), be sure to extinguish all of the available help that comes FREE with your tuition money on campus.  Check out https://pennstatelearning.psu.edu/ or ask your professors about available resources for their class.
6. Make wise choices about student credit cards: Credit card companies will bombard you with applications to apply to their student card.  Before you apply for a credit card, be sure to discuss the options with a parent or another person who has experience with credit.  What can seem like free money now will cost you A LOT in the future.

So all in all, be smart with your money! As someone way wiser than me once said, “live as a student NOW, so in the future you do not have to.” Most importantly however, remember that the things you learn and memories you make at Penn State are priceless (so cliché, but so true!).  Good luck and enjoy every second of your time as a Penn State Student!

Rachel Schartner is a super-senior in Chemical Engineering and a mentor for WEPO'13! To read more about Rachel visit her WEPO Profile: http://raindancer45.wix.com/ladyengineers#!rachel-schartner/c32f