Managing Your Money as a College Student: Top 22 Tips

After this workshop, you will be able to: Create a plan to reach your financial goals Maximize financial aid Cut expenses without pain Build good credit Make savings a habit

Why Take Charge? “He who fails to plan, plans to fail.” —Proverb “Planning is bringing the future into the present so that you can do something about it now.” —Alan Lakein “Let our advance worrying become advance thinking and planning.” —Winston Churchill “Organizing is what you do before you do something, so that when you do it, it is not all mixed up.” —Winnie the Pooh

Financial Planning Step 1: Define your financial goals. Step 2: Make a plan to reach your goals. Step 3: Take action until your goals become reality.

Your Financial Plan

Maximizing Financial Aid Read the fine print Keep looking for aid dollars Watch out for scholarship scams Use private loans as a last resort Understand your student loan obligations Submit a new FAFSA every year Talk to a financial aid officer about any changes in your situation

Are We Having Fun Yet? Snack attacks The combo: roommates & money Peer pre$$ure Student discounts

Reality Check

Stuff I have the money for Needs and Wants Stuff I want Stuff I need Stuff I have the money for

Ways to Stretch a Dollar Cut out/cut back costly habits Shop thrift stores, garage sales Avoid money traps (rent-to-own, pawnshops, check-cashing outlets) Make and stick with a shopping list, clip coupons Use bike or public transportation vs. car Limit downloads Go to free on-campus events

Working the Plan Step 1: Identify Income Step 2: List Expenses Step 3: Compare Income and Expenses Step 4: Set Priorities and Make Changes Place CashCourse URL Here in Master Slide | 11

5 Steps to Building Good Credit Pay basic expenses and utilities on time Make loan payments on time Pay loans BEFORE you spend money on other things Apply only for the credit you need and can afford to repay Do not bounce checks or overdraw your account

Taking Control of Your Credit Card Use only one credit card Shop for the best credit card Consider a secured card Don’t charge anything you can’t pay for Pay your monthly bill on time

Taking Control Pay balance in full; if not possible, pay more than the minimum Think of your credit card as a loan Subtract credit card purchases from checking account Do not get a cash advance

Signs of Debt Trouble You don’t know how much you owe You use credit cards to pay bills You borrow from one credit card to pay another You make only the minimum payment You miss payments or pay late Creditors have you on speed dial You get a job just to pay off your credit cards

How to PYF Make savings a line item on your budget Payroll deduction Automatic electronic funds transfer Put “extra” money in savings vs. spending Put $1 + loose change in a jar daily Set a goal

Saving and Investing, Oh My! Low Risk Options Savings accounts Money market accounts U.S. savings bonds Certificates of deposit Medium Risk Options Stocks Bonds Mutual funds

Protecting Your Identity Do not carry your Social Security card Do not carry your PINs Buy a shredder and use it Check your credit card statements, bank statements, and phone bills for unauthorized activity Keep credit card, debit card, and ATM receipts in a safe place Use secure sites for e-commerce

Recap Create a plan to reach your financial goals Maximize financial aid Cut expenses without pain Build good credit Make savings a habit

What Are You Going To Do? Set financial goals Review financial aid package Create a budget and track your spending Use credit wisely Pay yourself first Protect your personal information

Thank for Attending our Workshop! These materials are for noncommercial educational use only. Portions of the content © 2015 National Endowment for Financial Education®. All rights reserved. CashCourse® is a trademark of the National Endowment for Financial Education www.nefe.org www.CashCourse.org