Savings Tips for College Students

With rising tuition costs and insufficient financial aid, many college students are forced to pay out of pocket while pursuing their education. For many first-time college students, managing money independently can feel overwhelming. Tuition payments, student loans, and everyday expenses like groceries, school supplies, and even the occasional coffee run can add up quickly. Without a clear plan, financial stress can make it harder to stay focused and succeed academically. While the task might seem intimidating, adopting a few smart habits can make a significant difference over time.

As a recent graduate from California State University, Monterey Bay, I understand these challenges firsthand. During my time as a student, I made many of the common financial mistakes that come from not yet knowing how to manage money independently. Now, as a financial wellness peer educator at CSU Monterey Bay, I meet with students one-on-one to provide financial guidance and budget support. Many students struggle with stretching their financial aid throughout the semester and covering unexpected expenses, which can lead to food and housing insecurity. Seeing these patterns inspired me to share simple but valuable budgeting and saving strategies so that students can avoid some of these common mistakes.

Establish a Plan

Budgeting is a great tool for understanding exactly where your money goes and can help you identify where you can adjust your spending to stay on track with your financial goals.  To build a budget, start by reviewing your monthly bank statements to understand how much money you earn (income) and how much you spend (expenses).

Your expenses should then be grouped into two categories:

• Non-discretionary spending refers to essential costs required for basic living needs (groceries, rent, gas, personal necessities, etc.)
• Discretionary spending consists of costs that are non-essential (dining out, entertainment, subscriptions, etc.)

Do The Math

Subtract your total expenses from your total income to find the remaining balance. If your remaining balance is positive, great job! This means you have a budget surplus, where you can put the extra money towards savings, an emergency fund, or paying down debt.  If your remaining balance is negative, this means you have a budget deficit where your expenses exceed your income. When this occurs, it is a good idea to identify areas in your budget where you can reduce spending.

Do The Work

A good place to start is by reviewing your non-essential expenses. For example, you may be dining out too often or spending too much money on clothing. Cooking at home and shopping at thrift stores are great alternatives that can help you save some money to avoid accumulating debt. Other than cutting back on spending, increasing your income and taking advantage of available resources can also help. If your schedule allows, consider working part-time. Most colleges have career advising services that can help you build a resume and apply for job opportunities. You might also look into programs that can lower your expenses. Many students qualify for CalFresh to help with groceries, and your financial aid office may have additional grants or scholarships you haven’t used yet.

Stay on Track

The most difficult - yet most important part of budgeting is keeping track of your spending and updating your budget regularly. Research shows that forming a new habit takes an average of about 66 days, which is why following through can feel so challenging. If not daily, try to update your budget at least weekly to ensure you are on track to meet your financial goals. A simple way to stay consistent is to set a weekly reminder on your phone or calendar to review and update your budget. Using an Excel sheet or a budgeting app can also streamline the process and make it easier to track your progress.

Building strong financial habits doesn’t happen overnight, but with consistency and a clear plan, you can reduce stress, stay focused on your education, and set yourself up for long‑term financial success.

The information provided herein is for educational purposes only, and should not be construed as advice, including, but not limited to tax, legal, insurance, investment, or retirement advice. For your specific planning needs, please seek the advice of Integris Wealth Management, your tax accountant, attorney, insurance agent, or other professional as appropriate. Investing involves the risk of loss.