Well, I’m all moved in to college, and even in my first week, it’s clear to me that most college students are oblivious to their finances in general. For example, I’m willing to bet that most of the people on my floor blow most of their free cash on beer, not even thinking twice about it. When they run out of cash, it’s just a quick call home to Ma and Pa to put some more in the checking account. While students are supposed to be learning how to live and thrive in the real world, this pattern surely doesn’t help at all.

    So what are parents and students to do? I’m guessing most students worked at least part time or did something to earn some income during the summer. However, how much does the average college student-to-be save up from the summer to use during the year? Probably not very much. They are moochers who are completely at the mercy of their parents to provide some cash. Even if they do have some savings in the bank, it will be lucky to last until Thanksgiving break.

    How is a student supposed to make their money last during school? Here is what I did. Before moving into school, tally up how much you have in savings that will be used for school spending money. Next, approximate how much income you will need each month during school. This might be a rough estimate, but at least you will have a number to work with. Be sure to add up everything: gas, cell phone bill, fun and recreation, certain beverages you might need..anything. Don’t underestimate your monthly expenses; if anything, add a little bit for those nice little surprises life throws your way, such as a bad starter in the old beater. If you are working part time during school or have some other income source, you can easily figure that in as well.

    Now it’s simple- take your total summer savings divided by your monthly expenses, and you will know almost exactly how long your savings will last. You will be able to make a decision about what you will do for money when your school spending account is running on empty.

In my first week here, I have also noticed many, many ways for students to earn some cash on campus, and I will be writing about those sometime in the near future.