Financial Matters: Students on a budget

HAMPTON, Va. (WVBT) - Students may have settled into their college classes, gotten their dorm rooms decorated and have met tons of new friends. But now comes the challenge of living on a budget.

Sylvia Sutherland, BayPort Credit Union's Financial Counselor, came on the show with tips for managing a budget, no matter how limited it may be.

Question:  How can a college student start to plan, especially if they have lived at home, and mom and dad have provided everything?

Answer: 

Develop a game plan. The smaller your budget, the more important that you develop a plan, and it's ok to let your parents be a part of the planning.

Where is your money coming from:

• Parents
• Part-time job
• Student loans

What are your responsibilities? What are your parents willing to pay?

• Tuition
• Books
• Rent
• Parking passes
• Meal ticket

Don't forget to save a little for those unexpected expenses.

Remember to always save something from every source of income you receive. This develops a valuable habit that will build wealth for you later, especially after you start making those big bucks after college.

Question:  How do you budget for college fun?

Answer:  Your budget should include entertainment. But meet your responsibilities first. By meeting your obligations and staying in your budgeted entertainment allotment, you will be able to enjoy yourself more!

Question:  How can college students keep an eye on their budget?

Answer:  Use on-line tools to monitor your expenses. You can sign up for them free (Mint.com). You can also use your cell phone to track expenses (Xpenser and Texthog) where you text the amount that you have spent. Be sure to sign up for services at your financial institution where they will text you when you reach low balances in your account. This feature can help eliminate those expensive overdraft and nsf fees.

For more information, stop by any BayPort Branch for help or visit them on the web at bayportcu.org !