Some people think they are too young to think about investments, but there’s no better time than right now. Who knows what will happen tomorrow? Despite one’s youthful exuberance, accidents may happen, sickness (even life-threatening ones) can strike, a death in the family and more responsibilities. College students don’t have to wait too long to plan ahead and think of possible investments.
Here are ways to save money for possible investments while you’re still a college student.
Try to Get a Scholarship
Save money as a college student by applying for a scholarship. This can come in different forms such as academic, sports or financial. If you were an honor student in high school or in college, you can apply for an academic scholarship at your college. In this case, you’ll need to maintain a certain grade and meet the criteria the school sets. Doing well in an entrance exam can also provide you an opportunity to become a scholar. Athletes that do well and maintain a grade are also eligible for scholarships. If your family is having financial difficulties, you can ask if you can get a scholarship, schools have their own criteria regarding this matter.
Hang Out at Free Places or Activities
Just because you are saving money it doesn’t mean you can’t have fun. Have a good time with friends by hanging at places that are free and doing things that cost little to no money. Have a picnic at a park, visit free museums (or those with a minimal fee), and other similar activities. You can watch movies, play video games or go out, but always remain within your budget.
Stay within a Budget
The ideal way to avoid overspending is to create a budget and stick to it. Have a plan written in a notebook, your phone or computer. Track your spending by inputting the numbers in your plan. Identify which parts of your habits need attention. Once you figure these out, adjust your spending to stay within your budget.
Smoking and excessive drinking are habits that some people carry over until late adulthood. A box of cigarettes can turn to two a day or more. Going out daily will also hurt your budget and savings. Avoid vices as much as possible, especially smoking. It is not only bad for your health, but it drains your money too. If you are going to drink, do so moderately and within a set budget.
Avoid Studying in a Cafe
Reading and studying in Starbucks, Coffee Bean and others are cool, but it is noisy during different times of the day and costly. You can’t squat in one and not buy anything. You’ll have to buy a drink or something to eat during your stay. There are also plenty of distractions when you study in a café.
Reduce Spending on Unnecessary Items
As a college student, you’ll need to be careful about what things you spend on. Shopping for new clothes and accessories will quickly drain your savings. Avoid buying things that you don’t need until you have a steady flow of income.
These are some of the ways you can build your savings for investments as a college student. Implement these to prepare for your future despite your young age.