4 Unconventional Tips for Saving Money as a Student

Most people will tell you that when you graduate from college, you start from zero.

However, most people will never tell you that most of us start from the negative, especially if you are a student living in the USA.

Don’t believe me?

A study shows that more than half of the students who graduate had student loans. So, while the rest of the world starts their race from zero, most of the students in the USA start from negative. This means that most of us have no fighting chance to own a house, a car, or pay off our bills without worrying about the next paycheck.

The only way out is if you become financially savvy before entering college and adopt some frugal habits. Unfortunately, this is not something you will learn in school. This is the reason most students sign up for credit cards and loans recklessly, which only adds to the already piling debt.

As a student, here are some habits that can help you save money while studying.

But before we get straight to the list, keep in mind that frugal habits do not mean you need to compromise on the quality of life. Instead, the goal is to seek cheaper alternatives to the things that you are using already.

Save Money on Utility Bills

For most students, the biggest monthly expense is utility bills, which is something you cannot avoid. While avoiding might not be possible, you can still figure out ways to cut the overall expense to nearly half.

A good strategy is to list down your utility bills and prioritize them. This will help you understand where you are spending a major chunk of your budget and which utility bill comes first. Apart from this, it will help you set a baseline so you can know if there is a possibility of saving any money by the end of the month.

For instance, I spend a large portion of my money on rent, power, heating, internet, etc. To save money, I share my apartment with four other students. Similarly, I save money on internet bills by opting for the most affordable satellite internet near me, as its comparatively cheaper in general. This helps me save a lot of money without compromising on the quality of life.

Invest in a Money-Making Skill

Most students do not want to admit that they are studying without a promise of employment.

Study shows that more than half of the student stay underemployed by the end of their 4-year degree program. While most people think that it shows a gap in the employment plan, others blame it on the unrecruitable degree programs.

For instance, a degree in linguistics, communication, music, arts, and acting might seem interesting, but there is a high chance that you will never get to use it in real life. Moreover, if you are on a student loan program, this could lead you to bankruptcy.

So, how do you solve this issue?

Well, a simple solution is to invest in a moneymaking skill. This will help you create a financial cushion, in case you fail to land a job right after college.

Moreover, you will be able to earn money and polish your skills even during your college years. Your money-making skills can be day trading, forex, tech business, website development, graphic designing, video editing, or anything you are interested in.

Utilize Food Tickets and Vouchers

If you are spending most of your money on dining out and coffee, you are digging yourself into a hole.

I know you might be thinking that there is no way avoiding a $10 coffee and daily meal can land you financial freedom. However, that is what most financial consultants will tell you.

Sowhat do you do instead?

The answer is simple, eat at the university mess, or at least get food tickets from your college. Most colleges in the USA offer food vouchers, meal tickets, or food points. The student can simply swipe their student card and eat at the university café.

Moreover, if your university offers monthly meal points, you can use these points to buy snacks anytime.

Avoid ‘Buy Now, Pay Later’ Schemes

There is no doubt that Buy Now,Pay Later (BNPL) is a tempting scheme.However, this can bury you in a pile of debt. Financial experts believe that relying on credit cards and BNPL options makes youngstersfinancially irresponsible.

The Buy Now,Pay Later system works on the gamification principle. This means that by buying instantly, the buyer does not feel the financial burden right away. This delay in the financial repercussions eventually convinces people to buy things that they might not need.

Moreover, opting for this scheme automates the bill payment process, and the user loses track of their spending.

While the tips mentioned above only cover the tip of the iceberg, they still offer a great start to anyone aiming for financial freedom. As a student, it is always better to diversify the income streams and plan before making a big purchase.