Rich by Thirty. Lesley-Anne Scorgie
have money set aside for it. If they do, great! Find out how much, to determine if it’s enough. If they don’t, you’ll need to start saving up or brace yourself to take on student debt.
When I was about 13 years old, my parents sat me down and told me that they would not be able to help me pay for university because they simply didn’t have the savings. Thankfully, my grandmother had set aside some money to help pay my way, but the majority of the costs for my program, living expenses, and supplies would have to be paid by me. It didn’t take me very long to kick into savings “high gear.” I babysat as often as I could and got a job at the local library at age 14. Whatever I earned, I saved at least half, if not a little more.
Wondering how you can start saving up for school? In chapter 6 you’ll learn how.
Working hard to achieve your best marks and top performance in extracurricular activities will also help you compete for awards, scholarships, and bursaries, which can be worth thousands of FREE dollars. And great marks combined with volunteer efforts, sports, or musical training will help support your application to whatever educational program you choose to apply for. When you’re finally accepted into your post-secondary program, you can apply for additional awards, grants, bursaries, and more through your campus registrar’s office or library.
It’s School, Not a Fashion Show
Feeling stressed about back-to-school shopping? You’re not alone! According to a survey conducted by Visa, North Americans feel frazzled by the crowds and gouged at the till for books, school supplies, and back-to-school paraphernalia.[4]
Save money on back-to-school shopping by slicing your budget in half, starting early, and getting creatively frugal.
Before hitting the shopping centre, take inventory of what you already have: pens, paper, notebooks, binders, computer, software, backpacks, et cetera. Don’t buy new supplies just because you want them. This is financially unwise and environmentally wasteful. You can also shop for necessary supplies throughout the year when stores have sales. Many stores will blow out inventory at clearance prices throughout the year to stimulate sales volumes. Get there early before the quality supplies have been picked over.
Hit up thrift shops, garage sales, neighbourhood clothing exchanges, and websites like eBay or Craigslist. See if you can pick up gently used supplies, computers, furniture, or clothing. Stores like Costco and other wholesalers carry a wide variety of back-to-school inventory at affordable prices. If you’ve outgrown clothes or no longer need old textbooks, sell them on consignment or exchange them with friends.
Though it’s convenient to buy lunches, try to avoid doing so. Plan packed lunches for yourself while at school. You’ll save loads of money and can ensure your meals are nutritious.
You don’t need to spend hundreds of dollars on back-to-school shopping. School is a place of learning, not a fashion show. Focus on purchasing essential items.
Start Working. Start Budgeting. Start Filing Taxes.
Besides saving up in advance for school, if you’re struggling to cover your tuition tab, get a job.
Apply for a paid co-op, internship, or a work-experience program related to your field of study. These opportunities are posted on employer and career-centre websites. Aim for full-time work in the summer and a part-time arrangement while you’re in school.
If this doesn’t appeal to you, spice it up with an overseas work term. When my brother finished his first year of college he applied to an online request for English teachers in China. He vetted the hiring institution through the college he attended, arranged a Skype interview, and won the competition for the position. He spent the next eight months working abroad, travelling and experiencing a new culture. Guidance counselling or career offices at your school will post opportunities for overseas work terms on their online job board. You can also check out online international job boards through a quick Google search. If you find a nifty opportunity, get a reference or two about the organization to ensure it’s a legitimate employer, prior to jetting off. Be aware that most international employers will not pay for your flight or accommodation (at least in the long term), so you’ll need to work that into your budget.
While classes are in session, work on or near campus. Your faculty, libraries, restaurants, stores, and fitness centres all need staff. If you’re feeling entrepreneurial, turn your hobbies into money: photography, writing, web design, et cetera.
Student debt is often unavoidable. But by working throughout and saving up your income, you can significantly offset the costs of tuition. This will give you greater financial flexibility after graduation. Plus, working is a great way to meet friends and grow your professional experience. Whatever you do, ensure you’ve got sufficient time to focus on your studies.
Draw up a budget the moment you’ve settled into your new routine. Using a spreadsheet or online banking budget-tracking tool, list income and expenses (big and small). Apply “financial bootstrapping” techniques to live financially lean and frugal: reduce cell phone bills and dinners out; live with family if it is geographically feasible, if not, live off campus with roommates; and negotiate for better rental rates or move to a smaller and cheaper place. Buy textbooks, laptops, desks, and furniture second-hand. (There are more budget tips in chapter 4.)
You should also file a tax return. Even though you’re not making significant income, by filing a tax return you’ll be entitled to receive government credits, which can amount to hundreds of dollars in cash every year. Plus, you can claim valuable tuition credits. Unused credits can be carried forward into the future when you’ll be earning more income. In certain circumstances, moving expenses can be claimed, along with credits for using public transportation. If you’re using student loans, you can claim federal and provincial tax credits for the interest you pay throughout the year. Use the free tax services offered by your school to ensure you’re benefiting from all the credits and deductions available to you.
What Every Student Should Know Before Signing a Lease
The countdown is on: you’re about to fly the nest! It’ll be just you, your roommates, books, essays, late-night study sessions, and maybe the odd party (okay, make that lots of parties). But what about that all-important roof over your head?
You need a game plan when it comes to your pad. Before you commit to forking over cash on the first cool place you see, ask yourself these questions:
Budget: What’s your budget? If you don’t know how to budget, we’re going to show you in a few short chapters. You know better than anyone what your cash flow can handle each month, so stay within it. Otherwise you’ll add a layer of distracting financial stress to your already full school schedule.
Location: Is the place close enough to school, the grocery store, and other amenities so you can keep your commuting time and costs to a minimum? Is public transit nearby? If not, do you save enough money by living further away that it outweighs these costs?
Roommates: Have you found the right roommates? No, this isn’t just about saving money on rent and utilities. It’s about ensuring your personalities are compatible. If not, you’ll spend way too much time worrying about the things that irritate you, like dirty dishes and smelly clothes, and not nearly enough energy on your studies. You’ll also want to make sure the people you live with know the importance of paying their share of the rent on time — you don’t want to be on the hook for covering for them. Hash out these tough issues before you decide to become roomies.
Legal Responsibility: If you’re dabbling in the roommate realm, you’ll need to determine who will ultimately sign the lease and take legal responsibility for the place. If it’s possible, have all the roommates listed on the lease. Some landlords will ask to look up your credit score to see if you’re a safe bet for paying your rent on time. Many students don’t have much in the way of credit and may need a parent to co-sign a lease. Talk about this possibility with your folks ahead of time.
If you’ve done your research and you’re ready to rent, here are some practical considerations, most of which are negotiable with your landlord:
Cost: