Save Money in College
How to Save Money in College:
A Guide for Students
Paying for college is no small feat: The average cost is $36,436 per year, including books, supplies, and daily living expenses, according to the Education Data Initiative. With that sticker price, it can be hard to imagine how you’ll cover your costs, let alone put any money aside in a savings account while you’re in school.
Fortunately, there are a number of (relatively simple) ways to lower the cost of higher education, and save on everything from tuition to textbooks. In fact, with a few smart financial choices, you can reduce how much you spend in college and maybe even build a small nest egg that’ll give you a cushion after graduation.
What follows is a complete guide on how to cut your costs and save money as a college student.
10 Ways to Save on College Costs
One of the best ways to save money in college is to spend less. The less you shell out on tuition and living expenses while you’re in school, the more you can set aside for other financial goals — whether that’s buying a car or going away with friends for spring break.
Saving money in college begins with filling out the Free Application for Federal Student Aid, or FAFSA, every year. Doing so opens doors to a range of financial aid options, including federal and state student grants. However, there are also funding opportunities outside this system. Many community, financial, professional, and religious organizations offer scholarships to college students, and they may be merit- or need-based. You typically need to fill out separate applications for each opportunity. To find “free money,” reach out to your high school counselor or college financial aid office and do your own online research.
Here are some of the best tips for saving money while still enjoying your college years to the fullest.
Get a Great Private Student Loan Rate with SoFi
If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.
FAQ
How many people drop out of college because of money?
Research suggests that financial difficulties are the number one reason why students drop out of college, with as many as 42% of college dropouts citing financial stressors as the main reason for leaving school.
Is it normal to struggle financially in college?
Financial distress is prevalent among undergraduates in the U.S. In fact, nearly three in four students reported financial difficulties in the past year, according to the fall 2022 Student Financial Wellness Survey by Trellis Research. Researching different ways to save money in college can help make the costs associated with higher education more manageable.
What percentage of students cannot afford college?
A full 68% of students say it is a struggle for them or their family members to pay for their education, according to a July 2022 survey of 1,200 students by education technology company Cengage. Students say that tuition is the biggest financial challenge (46%), followed by technology/laptops (21%) and books/course materials (17%).