10 Money-Saving Tips For College Students

Being a college student is definitely not an easy task. In addition to reviewing lessons and assignments, you also have to manage money in order to live life as a student in peace and quiet. If you failed to manage your money wisely, it can interfere with your concentration and thus have an impact on your study.

Fortunately, good financial management can be initiated only by practicing simple techniques to save money. Securities Industry Development Corporation (SIDC), the training and development arm of the Securities Commission, came up with 10 money-saving guidelines for college students. Having finished reading this article, you can practice the guidelines given and apply it according to your financial situation as a student.

  1. Adopt The 10 Percent Rule

    In general, The 10% Rule means that you have to keep 10% of the money you get each month. For example, if you get RM500 per month, keep RM50. Upon receiving PTPTN, MARA loan money, scholarships or allowances from parents every month, make sure you save at least 10 percent of the amount. This money can be used as savings and investments in the future. This practice will also educate you to be more consistent and disciplined in saving money in the future.

  2. Establish an Emergency Fund

    money saving tips As a student, at times you will be confronted with unexpected events and this can cost a lot. For example, you could get sick and need to be taken to hospital, the vehicle or the computer may be damaged and need to be repaired, as well as other financial issues. If you do not have an emergency fund, you will face many problems. However, with the existence of an emergency fund, you do not need to worry or borrow from other people because you have own savings. But remember: An emergency fund should be used for EMERGENCIES ONLY!

  3. Get into the habit of investing

    Saving money is a good habit but you have to invest the money in order to earn income. Start the habit of investing as soon as possible so you can get the maximum return on investment. Take advantage of the power of compounding to put your money in the right investment products. Before embarking on an investment, you must do adequate research by reading prospectuses, financial reports and annual reports, business magazines and others. For you to be able to select the most suitable investment products with the level of risk, financial goals and budget available, you have to know quite a bit about the concept of investment.

  4. Make price comparison when shopping

    Do compare prices and find the best deals, so you can save money every time you go shopping. Compare prices also teaches us to be more careful and patient when buying goods. As a buyer of patient and careful, you will not be tempted by lust when buying, but will always strive to get the best value for your money!

  5. Cut your credit card

    Studies done by Department of Statistics found that 50% of Malaysians who are declared bankrupt is under 30 years of age. These statistics illustrate that college students and young adults who just started work represent 50% of Malaysians which are declared bankrupt. It does not matter if you have your own credit card or it's given by your parents, ask yourself: "Do I need a credit card?" Remember! Be a responsible credit card user because you (or your parents) will have to pay its debts soon!

  6. Reduce your electric bill

    Not many people care about electricity consumption issues. Leaving the lights on even if no one in a room or at home is a common waste habit. Actually, when you save electricity, you also save money. Among the things that can be put into practice is to keep the fan speed at a moderate level, using energy-efficient lighting, as well as reducing the brightness level of your computer screen.

  7. Be a smart student

    As a brilliant student in school, you also need to spend wisely. Print your assignments on both sides of the paper, buy refills instead of a printer cartridge, borrow reference books from senior students / friends / library, rent house with friends and eat on campus. In general, the services and facilities on campus such as hostels rental, photocopying and others are cheaper, so take advantage of this! Better yet, gather your friends and look for opportunities to get discounts when purchasing items (books, stationery, etc.) in bulk on campus.

  8. Use your student card

    Student cards are one of the instruments is very helpful in your quest to save money. You can use it to get a discount when going to the movies, buy books, take LRT, Internet surfing, vacation, food, sports and so on. Imagine the savings you get!

  9. Use public transport

    Using public transportation usually costs less than driving a car. If public transport is not your thing, then share your car with friends! Think also about buying a motorcycle or bicycle that can save money on petrol. Always plan your trip according to schedule and needs only. For example, if the destination is not far, and weather permitting, why not walk instead of drive?

  10. Guide 10: Use the Internet to make calls

    Instead of spending money to top up your cell phone, why not make your calls over the Internet? Not only can you chat to your hearts content, but you do not have to pay even a single penny (if you visit "wi-fi hotspot" access). If you are desperate or forced to use a cell phone, remember it's cheaper to send a message (SMS) from making a call.

In conclusion, there is more to college life than just seeking knowledge. As a student, you will explore various aspects of life and will be fraught with experiences that can shape your life. You would not want money related problems to burden yourself on campus. With practice the "10 Guidelines" that were given, you should be able to enjoy campus life stress-free, fun, and exciting!

source: Malaysian Investor