Hey there, Bella here.
I work at Tannery Company and am a college student, and Financial Literacy is essential.
Please take two minutes to read this; it could change your financial future.
Happy Friday.
As you pack up your stuff and head back to campus, let’s talk money—the stuff that makes the world go round.
Understanding money, or financial literacy, as it’s often called, is a powerful tool that you can start honing during your college years. It’s not just a fancy term; it’s the key to taking control of your financial future.
Here’s a quick guide to help you master your finances like a pro.
Budgeting: Your Financial GPS
Budgeting might sound as fun as watching paint dry, but it’s your financial GPS.
Start by tracking what’s coming in (hello, student loans, and part-time job money) and what’s going out (textbooks, rent, late-night pizza). You can use apps or just a plain old spreadsheet- I use Rocket Money (https://www.rocketmoney.com).
The key is making sure you don’t spend more than you have. Prioritize essentials first and stash away some savings for a rainy day.
Credit Cards: Friend or Foe?
Credit cards can be your best friend or your worst enemy. Handle them right, and you’ll build a sweet credit score to help you later in life.
Keep your balances low, pay off what you owe monthly, and avoid late fees.
It’s all about showing that you’re responsible with borrowed money.
Saving: Future You Will Thank You
Saving might seem like a drag now, but you will be grateful in the future.
Aim to save at least 10% of your income. Got a part-time job? Good- put a chunk of that away. It adds up.
A high-yield savings account, which typically offers a higher interest rate than a regular savings account, can help your money grow a bit faster.
Finding Income: Jobs That Fit Your Life
No job yet? No problem! There are plenty of ways to earn some cash while in school.
On-campus jobs are super convenient—think library gigs, cafeteria shifts, or being an RA. Off-campus, you can look into serving at restaurants, babysitting, or even freelance gigs if you have a marketable skill.
Flexible hours are necessary to juggle work and classes without going wild.
Student Loans: Handle With Care
Student loans are a part of life for many, but be smart about them.
Only borrow what you need and know your loan terms inside out. Hunt down scholarships, grants, and work-study programs to keep your debt in check.
After you graduate, make a repayment plan that doesn’t kill your budget.
Savvy Spending: Stretch Those Dollars
College life is a minefield of potential spending traps. But with a bit of mindfulness, you can navigate these and make your money go further. It’s all about being resourceful and efficient with your spending.
Use student discounts, buy used textbooks, and cook your meals instead of dining out.
Little changes in your spending habits can make a big difference in your wallet.
Keep Learning: Financial Education Never Stops
Remember, financial literacy is not a one-time lesson. It’s a journey of continuous learning. The more you know, the better equipped you’ll be to make intelligent financial decisions.
So, keep learning, keep growing, and keep making smart financial choices.
A Note for Parents: Mama Bear Documents
Parents, as your child heads off to college, ensure you’ve got those essential legal documents sorted. Medical power of attorney, HIPAA authorization, and a durable power of attorney are crucial. They’ll allow you to make important decisions if your child can’t.
Check out our blog about this.
By following these tips, you’ll be on your way to mastering your finances and making the most of your college experience. Financial literacy is a superpower that’ll serve you well for life. Start now, and in the future, you will be giving high-fives all around.
Happy studying and intelligent saving!
Best,
Bella
