College lesson #1: Rent + Tuition + Groceries = $$$$
College is one of the most carefree
times of our lives. Most of us
have moved away from home for
the first time, and are experiencing
new friendships and freedoms at a
rate that we will probably never see
again. But, after the parties and fun
... we really do have a lot on our
plates. Besides final exams and culminating
assignment stress, the cost
of groceries, rent and tuition fees
are never far from a starving student's
mind.
Tom Hazma is the president of Investment Education Fund, an organization that teaches students how to manage their money. Hazma feels our pain when it comes to student debt.
"If you take a long view of the type of debt that we would have had even 15 years ago, it has increased significantly ... because we made a decision as a society that tuition should reflect the benefit to the student, and those costs have been put on the student, but at the same time they haven't given any more education to help them actually manage that debt," he explained.
The website that Investment Education Fund has developed, GetSmarterAboutMoney.ca, is a public education website that offers resources and information, including blogs, videos and interactive tools, relating to money management, and saving and investing. It also features the blogs of three Canadian students who share how they save money while in school. And, as much as everyone loves to be nagged about how much they spend, these tips are pretty easy and practical. For example; one student, Christine Sirois from Carleton University, blogged about how she saves about $100 per month just by brewing her own coffee. Timmies stops a few times a week add up.
Hazma had some useful insight on a student's most worrisome financial problem: debt.
OSAP, or any student loan, can make the lives of any Fanshawe student easier ... temporarily. However, as fun as a sudden boost to the bank account can be, the OSAP bill following graduation won't be so enjoyable. According to Hazma, you don't need to spend the entirety of college dreading the terrifying train at the end of the tunnel.
OSAP or a student loan may be the best option, and it can work perfectly as long as there is a financial plan in place. Even on a strict budget, you may even be able to justify splurging on a trip, or other expense "as long as you have thought of the context of it ... it's not about eradicating all pleasure in your life. It's about planning for, and making a responsible decision," he said.
On the subject of debt, I thought it may be wise to ask about a 19- year-old girl's best friend and worst enemy: the credit card. "Credit cards are simply a tool. Just as you can use a hammer and hurt your thumb, you can also use a hammer to stick a nail in a board. A credit card is a tool that can make your life easier, but as soon as you don't understand the rules ... that's when it can cost you a lot of money," he said.
The Get Smarter About Money website has some useful tools to help create a financial plan to manage student debt, build a budget and, most importantly, follow it. It is definitely worth a read through, from one stingy student to another.
Tom Hazma is the president of Investment Education Fund, an organization that teaches students how to manage their money. Hazma feels our pain when it comes to student debt.
"If you take a long view of the type of debt that we would have had even 15 years ago, it has increased significantly ... because we made a decision as a society that tuition should reflect the benefit to the student, and those costs have been put on the student, but at the same time they haven't given any more education to help them actually manage that debt," he explained.
The website that Investment Education Fund has developed, GetSmarterAboutMoney.ca, is a public education website that offers resources and information, including blogs, videos and interactive tools, relating to money management, and saving and investing. It also features the blogs of three Canadian students who share how they save money while in school. And, as much as everyone loves to be nagged about how much they spend, these tips are pretty easy and practical. For example; one student, Christine Sirois from Carleton University, blogged about how she saves about $100 per month just by brewing her own coffee. Timmies stops a few times a week add up.
Hazma had some useful insight on a student's most worrisome financial problem: debt.
OSAP, or any student loan, can make the lives of any Fanshawe student easier ... temporarily. However, as fun as a sudden boost to the bank account can be, the OSAP bill following graduation won't be so enjoyable. According to Hazma, you don't need to spend the entirety of college dreading the terrifying train at the end of the tunnel.
OSAP or a student loan may be the best option, and it can work perfectly as long as there is a financial plan in place. Even on a strict budget, you may even be able to justify splurging on a trip, or other expense "as long as you have thought of the context of it ... it's not about eradicating all pleasure in your life. It's about planning for, and making a responsible decision," he said.
On the subject of debt, I thought it may be wise to ask about a 19- year-old girl's best friend and worst enemy: the credit card. "Credit cards are simply a tool. Just as you can use a hammer and hurt your thumb, you can also use a hammer to stick a nail in a board. A credit card is a tool that can make your life easier, but as soon as you don't understand the rules ... that's when it can cost you a lot of money," he said.
The Get Smarter About Money website has some useful tools to help create a financial plan to manage student debt, build a budget and, most importantly, follow it. It is definitely worth a read through, from one stingy student to another.
