Higher education has always been a journey filled with new experiences and challenges. However, as you work your way towards your future career, effectively managing your finances on a student budget can at times be daunting.
There’s tuition, textbooks, and other materials to consider that directly impact your studies, but we’re also living in a time of rampant inflation and rising housing costs that further make budgeting a challenge.
Thankfully, there are some practical strategies for making the best of our budgets while we’re in college. Together, we’ll navigate through some of these challenges as well as opportunities below.
Why Is a College Student Budget Important?
Going to college has always been something of a lifestyle change, but students in Ontario are likely feeling the crunch more nowadays than in years past. The prices of food, utilities, transportation, and lodging are often through the roof, so becoming a college student often requires careful budget planning in order to avoid racking up significant student debt.
It’s highly recommended that if you are supporting yourself through your education that you create a budget beforehand. When planning, be sure to consider:
- Total Income: Includes financial aid, family contributions, and earnings from part-time jobs.
- Monthly Income: Recurring funds that support your day-to-day expenses.
- Fixed Expenses: Essential costs like rent, utilities, and tuition that remain consistent.
- Variable Expenses: Costs like groceries, transportation, and entertainment that fluctuate month to month.
- Emergency Fund: Savings set aside for unexpected expenses, providing financial security during challenging times.
The Importance of Funding and Financial Aid for college
While we’ll be getting into some budgeting tips shortly, it’s also worth taking stock before you enroll in a college program as to how your studies might impact your overall finances. It might not be something you immediately consider, but not all colleges and programs require the same expenses and commitments which may or may not impact your ability to also work while you study.
Two additional things to consider are program length and financial aid.
Program length: The length of your program affects your budget in ways that are not immediately visible. For one, the longer you’re in college, the longer you’ll have to live on your college budget. Additionally, longer programs also mean that it will take before you reach your career.
This isn’t necessarily a bad thing – some careers require extensive training programs that can last months or even years before you see the other end. However, numerous programs also come in accelerated forms, such as those offered at CTS Canadian Career College.
Accelerated college programs are designed to get you job ready sooner – often requiring no more than a year to complete. So, if you’re looking to get out of the college lifestyle faster, accelerated programs might be a top choice to consider.
Availability of financial aid: Even if Ontario is one of the top provinces for securing funding for your education, with tons of initiatives available, not all schools approach financial aid in the same manner.
When selecting a program and college, you’ll want to make sure that the admissions team on the other end takes financial aid seriously, and that their teams will help you secure as much funding as possible to alleviate any financial burdens you might have.
That’s one reason why here at CTS Canadian Career College we have a dedicated financial aid office that ensures every student who enrolls is given the resources and guidance they need to secure valuable financial aid options like the Ontario Student Assistance Program (OSAP) and the Ontario Learn and Stay Grant.
Tips to Better Thrive on a College Budget
Now, we’re going to dive into some budgeting tips which, when paired with strong financial aid offerings from your college, can go a long way to making your studies more affordable.
1. Utilize your student ID for discounts
Your student ID isn’t just a campus pass. It can also be a ticket to plenty of savings around town! Various businesses ranging from restaurants, to vehicle rentals, to libraries can offer you a steady discount on your purchases. Be sure to check for signage or ask your customer service representatives if they accept student IDs for discounts!
2. Learn to use credit cards effectively
Credit cards are incredibly convenient, but they can also be dangerous if we don’t regularly track our expenses with them. It’s pretty easy to pay and forget, and this has the tendency of leading to nasty surprises the next time we load up our online banking!
The rule of thumb for credit cards is to never use it to buy anything you couldn’t also afford with cash. However, that’s often easier said than done, and credit cards do come in handy when we’re low on funds at the end of the month or need to make an emergency purchase. Nevertheless, keeping the card in reserve and paying for more regular expenses in cash can help lead to small savings each month.
3. Regularly check and categorize your expenses
If you’re the kind of person who likes to pay and forget, without checking your receipts at restaurants or the like, there’s a good chance you’re spending more than you realize.
Try to check your expenses at least once a month. That will give you a better understanding of your overall financial situation as well as what makes up most of your regular expenditures. You might spot areas where you can cut back, or even the odd bizarre charge that you might want to look into.
4. Learn how to cook (and love doing it too)
Dining out or picking up takeout is certainly convenient, but it’s not that feasible to do so all the time anymore. Restaurant prices have steadily been rising since the pandemic, including the expectations for gratuity.
The most budget-friendly way to eat well is to take up cooking. You don’t have to become a master chef overnight, but even just having the skills to prepare basic things at home. Pastas, sandwiches, chilies, or big soups can keep you fed over the course of a couple of meals while you enjoy big savings and possibly discover doing something you love.
5. Consider your living arrangements
It’s no secret that housing costs have gone through the roof over these past few years. The days of being able to easily afford a one-bedroom apartment on our own isn’t as feasible as it used to be unless you have a partner bringing home a moderate income while you study.
As such, living with roommates or a family member is often the way to go during college. Doubling up in a place will effectively halve your rent and utility bills, making it all that much easier to stick to your budget and manage your expenses.
Final thoughts
Making it through college without racking up debt can be difficult, especially in the times we live in. Fortunately, there are practical strategies to keeping your expenses down – and more importantly, having your bigger expenses like tuition and books covered by grants, scholarships, and other forms of financial aid can go a long way towards making your college dreams a reality.
Are you considering going to college but having second thoughts about the costs, budgeting, and other financial matters? At CTS Canadian Career College we have a dedicated financial aid office whose purpose is to ensure every student who enrolls with us is able to pursue the maximum funding available for them. We have hundreds of success stories acquiring provincial funding such as OSAP and the Ontario Learn and Stay Grant for your students.
If you’d like to know more, reach out using our online inquiry form on the right of this page or send us an email to [email protected].