The Cost of College Living
One of the many mysteries of college, especially going into freshman year, is what the cost of college living is actually going to be. Sure, you know there’s tuition. But how much money will you need to make it through the first semester? The first year?
When it comes to the cost of college living, the first things you should plan for are the “start-up costs” of college.
Start-up Costs
Typical college start-up costs include a lot of different things, but a good place to start is school supplies—consider the following:
- A laptop or tablet
- Textbooks
- Class, lab, and studio fees
- General school supplies like notebooks and pencils.
Most of these items are important purchases if you're moving into a dorm or apartment for the first time:
- Bedding and towels
- Furniture such as a desk, bed, dresser, couch, or dining room table
- Dishes, cutlery, pots, and pans
- Small appliances, like a blender or toaster
- Groceries
If you already have some of these things, like a laptop or bedding, consider that a bonus! Utilizing things that you already own will reduce the cost of pre-school shopping.
To help make the initial cost a little easier it's wise to focus on the essentials first and then build up to luxury items as you go. That way you'll have enough to get started, but won't be stuck with the bill for everything at once.
Everyday Costs
If you’ve never lived on your own before you might be amazed at how fast cash can disappear. The sheer amount of things that you're suddenly responsible to pay for can be overwhelming. Making a budget will help you spend your money mindfully. Consider starting your budget by splitting your income into three sections: needs, wants, and savings.
A need includes the everyday or vital things that you need to survive like food, utilities, toiletries, and laundry. Your wants are the other things that can make your college life fun but can be cut in a pinch. Things like event tickets, eating out, and other entertainment options often fall into the wants category. Finally, it's wise to dedicate part of your budget to an emergency fund and long-term savings every month. Opening a couple of savings accounts dedicated to emergency funds and long-term savings is a great way to get started saving.
Fixed Costs VS Variable Costs
Some costs are fixed by the contracts you sign—like your phone bill or rent. It works in your favor that these costs are the same amount every month, because you can plan for them. But if you don’t pay them in full, you’ll eventually find yourself without a phone, or much worse, with no place to stay.
There are often ways to reduce fixed costs. For example, staying on your family’s phone plan may be cheaper than having your own account, provided the service is good in both locations. If space allows, finding another roommate will reduce your rent.
Other costs are variable and change from month to month. You’ve got a little more flexibility with these costs—like food and clothing—since you can always cut back if you’re running short of cash. One solid way to reduce costs is to get serious about sustainability. Refilling a water bottle is cheaper than buying bottled water and way better for the environment.
Coordinating with Roommates
Colleges often give new roommates each other’s contact information before school starts. If you have the chance, be in touch and figure out how you can share expenses—and avoid duplicating efforts. That can help you avoid ending up with two mini-fridges and no coffee maker.
Save Your Receipts!
You splurged and bought a new microwave for your dorm room. But when you arrive to school on the first day, you learn that you are not allowed to have a microwave in your dorm room. And, you didn’t keep the receipt, so there’s no way to return it and get your money back.
Receipts may seem like a waste of time—another scrap of paper in your pocket or another email clogging up your inbox. But it’s important to keep all your receipts for new purchases until you’re fully moved in and know what you’ll really need. Otherwise, you’ve spent part of your precious budget on things you can’t use.
Being a college student often requires working on a tight budget, but thoughtful budgeting choices can make it much easier to cover your expenses and enjoy this unforgettable experience. Monson Savings Bank is here to help you with your college banking needs. We offer Student Checking accounts for students and we are always here to answer your banking questions.
