You’ve got the applications filled out and you have a list of your favorite schools \u2014 but what about your financial plan? While it\u2019s easy for money management to slip your mind, planning for college financial management now can save you money-related stress later (like, during finals). Get these essentials covered and you’ll be in good shape to ace your budgeting all year.<\/p>\n
Budgeting With Lump-Sum Payments<\/strong><\/p>\n Your first step to staying financially stable in college is to figure out how much cash you’ll have coming in. Chances are a significant chunk of your income will come from financial aid, scholarships and\/or private or federal loans. That could mean you’ll get “paid” only once a semester, which can make monthly planning difficult.<\/p>\n \u201cOne of the biggest mistakes students can make is to put their entire loan amount in their checking account without a plan,\u201d says Yohance Harrison, Chartered Retirement Planning Counselor and wealth advisor based in Florida. \u201cI encourage students to think about their money in weekly, biweekly or monthly chunks. Put large payments into a savings account, then set up automatic deposits into a checking account you use to pay your expenses,” Harrison advises.<\/p>\n Spending Your Money Wisely<\/strong><\/p>\n Planning how to cover your costs becomes a bit easier to manage once you\u2019ve determined your monthly income. Build fixed essential costs, like rent, utilities, phone and transportation into your budget first. From there, determine how much you’ll have left to cover food, extracurricular expenses and other discretionary spending.<\/p>\n