Yes, students, the struggle is real. Being broke is hard. Student life is not a great financial phase for anyone unless you’re a millionaire’s offspring, in which case this article is not for you. On the other hand, if you’re a "regular Joe" student, you’ll surely agree that life would be better if you faced fewer days broke, right?
Being a student is all about learning and experiencing new things, making friends, trying to make sense of voluminous textbooks on random subjects, and generally enjoying the best years of your life. Usually, as a student who hasn’t yet embarked on a full-fledged career, money isn’t something you constantly think about since your parents take care of all that financial stuff. You might rarely think about your financial future or what you need to do to attain a certain level of financial freedom and comfort as you grow older.
Well, here’s our effort to help you deal with finances a little better… scan through our definitive list of money-saving hacks. You may thank us at the end of the semester!
Start saving:
You're probably wondering why you need to start saving money at a young age. Well, it isn't so much about saving money but developing the habit of saving. Whether you're putting it aside to buy something you want or just accumulating it for a rainy day, it's vital that you realize the virtues of saving money at a young age.
This will certainly hold you in good stead once you get older. Saving money early on in life is excellent but doing it consistently every month will help you build a sizeable amount. It could prove to be a solid financial safety net to fall back on should the need ever arise.
Find a no-fee student bank account:
Several Canadian banks offer student packages. They can waive monthly and transaction fees, which can add up over time.
We also offer a No-Fee Bank Account that doesn't charge fees for daily banking, even for people who aren't students. This means you won’t have to switch accounts or start paying bank fees when you’re done school.
Check out free activities on campus:
Love to pack your calendar with extra-curricular activities? Check out what your campus facilities offer. Instead of spending $600 on a hockey season, consider joining your campus intramural teams for much less or even free.
Apply for scholarships:
Scholarships are excellent opportunities for students in Canada to save money on tuition. All you have to do is fill out an application.
And on top of that, plenty of school-based scholarships are open to all types of students. You’ll be able to find opportunities for:
- mature students,
- mid-career students,
- part-time students, and
- students from specific geographical areas.
Scholarships can work in different ways. Some will help with your tuition; others will help with transportation and living expenses; some will help with technology needs, etc.
Be sure to check out our scholarship program to earn more for your living expenses.
Get a job on campus as a student:
Whether or not you receive help from a scholarship or any other source, it can be challenging to make ends meet. Luckily, most schools have plenty of job opportunities open to only their students to apply. Most colleges and universities will have job listings on their websites for students to peruse and apply for.
International students in Canada are also eligible for these positions, usually. There are a few guidelines you have to adhere to, though, as outlined by the government here. You need to:
- be a full-time post-secondary student,
- have a valid study permit,
- and a Social Insurance Number (SIN).
The nice part is working “on campus” doesn’t simply mean working in one of the school’s buildings. You can work directly for a faculty member, a student organization, a private business that operates on the campus, and others. You can even work for yourself by running a private business.
It’s also important to note that any on-campus jobs you have must be given up once:
- your education is finished,
- your study permit expires,
- you take an authorized leave from school, or
- you switch schools.
Try student budgeting apps:
Budgeting should be the cornerstone on which your entire financial future should ideally be built on. Learn how to split your expenses into needs and wants. In fact, you could ask your parents or older relatives to explain how they budget household expenses or allocate their monthly income towards different types of expenditures.
Once you get the hang of budgeting, you will learn to appreciate the value of the money when you get a regular job and not give in to the temptation of overspending on things you can do without. Budgeting instils a strong sense of financial balance that can keep you firmly on the right track to becoming financially independent.
Tracking your spending has become easier than ever, thanks to various budgeting apps for your smartphone. For instance, apps such as Mint® are comprehensive systems that allow you to pull data from your bank accounts, so you have everything at a moment's glance. Regardless of your choice, budgeting apps can be proactive tools, helping you control your finances before they take control of you.
Pay off debt:
For many, higher education can also represent the first encounter with significant personal debt. Student assistance programs may put you on their standard repayment plan. It's best to make a plan of your own and pay off your debt as quickly as possible to avoid any additional interest. By making a repayment plan specific to your financial situation, you can potentially pay off your student loan faster, ensuring that your money is paying off the initial principle loaned to you, as opposed to the interest on the loan. This can save you anywhere from a few hundred to a few thousand dollars, depending on the size of your loan.
Don't let this exciting time in your life overwhelm you. Not only are you starting your post-secondary career, but you're also forming financial habits that will last a lifetime.
Find student discounts:
As a student, you may be able to save money on admission to events or entertainment venues. Some restaurants, especially near campus, may offer student specials. These can be worth looking into.
Buy used, borrow, or go virtual:
You may be tempted to buy every book on your list brand new. You can save by buying them used, borrowing them from a friend, or downloading virtual versions. For instance, you can save with sites such as VitalSource®.
Save more on daily expenses:
There are various ways that students can save more on groceries, food, and shopping.
Here are a couple of tips to save when it comes to food:
- Avoid over-spending on expensive restaurant meals.
- If you want to dine out, try to do it with a few friends so you can split the bill.
- Keep an eye out for free food at the college, such as Multicultural Lunch Days.
Keep track of your expenses:
Keeping track of your daily, monthly, and yearly expenses will help greatly in making decisions on budgeting and having a grasp of where your money is going.
You can use a budgeting app, make a worksheet of your expenses, or use the Government of Canada's Budget Planner free online tool.
Try your best to fill your expense sheet out every month. After three to four months, look at the changes in numbers in each section. If some expenses are incredibly high in one month, consider why and whether you can avoid them. If some expenses are low in one month, consider why and whether the saving can be replicated.
We hope you found this article useful and wish you a great future ahead. Don't let this exciting time in your life overwhelm you. Not only are you starting your post-secondary career, but you're also forming financial habits that will last a lifetime.
Oh, and if you or your friends are looking for great free financial products, contact one of our financial advisors today!