College years might be the most exciting for young adults due to new experiences, challenges, and events. At the same time, it is the period when they also learn how to live independently. An ability of a person to manage finances is an integral part of adult life. Thus, it is better to start thinking about the mindful treatment of money since the first year of college.
In this article, we will discuss some working tips on staying afloat with finances while at college. Financial literacy allows students to spend money reasonably and save some amount of money as well. Having personal funds, they can travel, attend concerts, or even hire a professional paper writer specialist if needed. But before you hire a specialist, you should familiarize yourself with the EssayShark resource, where you can get all the information about the company that will write your work.
Below, we offer several helpful tips that fit young adults with different financial opportunities.
Developing a budget
Many people consider that only those who have a mathematical or analytical mindset can succeed in budget development. Nonetheless, it is not that hard as they can imagine. It takes extra attention to detail, consistency, and patience from students’ sides to develop a budget creation habit.
Many schools do not have a specific subject that will teach children about some general finances. As a result, a freshman has no idea of dealing with new responsibilities related to money issues. It is excellent if a person’s parents made sure to teach their kid about some basic budget stuff; however, parents do not often have time for this. In such cases there are many resources as Study Help on which you can always find useful materials for students!
What we offer is to start from the smallest: trying to make a list of critical things (food, fare, utilities) and those that are optional (movie ticket, buying some to-go coffee). Knowing the sum a person has, he or she can decide on how to spend money wisely. Today, one can find dozens of apps that allow users to plan their budget for a week or month. Looking for the scheme that works, the students can try out different apps.
Avoid the little things
Lashing out on something meaningless or less indispensable to life leads to losing money. And it is not about just being economical all the time, and it is about making the right decisions. Every purchase should face a person with the question, ‘Do I really need this right now, or can it wait?’ With time, one can see how cutting out on small expenses makes a difference to the entire budget.
Let us say you are returning from the lectures and want to eat. On the one hand, you can grab something to eat at a restaurant or food spot. On the other hand, you can spend some time at a supermarket and pay the same amount of money to get lots of different foods. The choice is not that hard, and it is all about making the right decisions.
The emergency sum is essential
There always must be some sum that is ‘untouchable,’ meaning that it can be used only in case of emergency. Having a stash also allows the beginning of saving money. Young adults should not get upset every time their budget does not work. It will take some time to see what is the most suitable solution for every single person.
An emergency sum or fund is a specific amount of money that should just lay aside in the ideal scenario. We never know what may happen to us; therefore, it is a good idea to have some cash just in case. Again, a student is likely to have some limited financial resources; therefore, they should start from some small savings.
The emergency money must be a part of a person’s budget. So, planning the monthly expenses, one should decide on which sum is appropriate to lay aside. It means that this amount of money must not be too big, however, relatively moderate. Also, it should not affect the essential expenses like food, for instance.
Earning money during the summer breaks
Stepping into the adult world, people change their priorities in one or another way. Considering the summer breaks as an opportunity to earn extra money is smart to build a personal budget. Sure, it does not mean that the students should forget about traveling, having fun with friends, or simply resting at home. Yet, who says one cannot unite both?
The modern job market offers many types of jobs for the students. The young people may choose from:
- Seasonal offers
- Part-time jobs
- Some project offers
Other popular options among young adults are the internships or paid volunteering. The best part of having these first working experiences is that one can earn some money and priceless experience that will serve later in life. Do not forget to include it in the CV.
Don’t borrow or borrow a little
At the beginning of all this financial independence trip, there might be cases when the lack of money is especially noticeable. The first thing to learn is to stay calm and avoid any money-related stress or anxiety. Everything that deals with cash and credit cards is accompanied by the particular ins and outs. Therefore, the students should be prepared for this.
Borrowing money is an extreme; therefore, if a person wants to borrow some money, it should be the sum that covers the most critical needs. After a student accumulates experience in budgeting and develops a constant emergency fund, he or she will not have to borrow money. Still, if there is any chance for an adult to stay away from taking someone’s money, it will be better to do so.
The last but not the least
The blogs of financial advisors can be a real treasure for young adults. MyMoneyBlog is, perhaps, one of the oldest websites that open the doors of personal budgeting for young people. If talking about a more specialized site for college students, we recommend looking through The College Investor blog. A person will find lots of priceless hints on budgeting here. There are many sources to deepen knowledge in finances, and the students should take advantage of these.