One of the challenges for out-of-town students, especially first-time students, is the proper management of money. Between fixed costs, compulsory payments and hanging out with friends, it can be difficult to save money or even to make it to the end of the month with something left in your pocket.

Although most expenses are still borne by parents, or perhaps because of that, students have a limited budget. If you too are in this situation, it is important that you learn how to manage your money from an early stage in order to cover all your needs, or almost all.

In addition, it will be very useful when you find or if you already have an occasional job, because if you manage your income in the right way and plan your budget you will always have more money at your disposal to treat yourself.

In short, you are entering the adult world and, as you will have understood, it is made up of joys and sorrows. But don't worry that if you tackle it step by step it is not as difficult as it might seem.

Budgeting money for students

As long as you live under the same roof as your parents, you have no real sense of how many monthly expenses you have to bear. Housing, food, bills, university books, public transport, dinners and evenings with friends that cannot be missed... the bill goes up quickly.

Managing your budget is not always easy, especially if you are not used to it, but it is not impossible either. All you need to do is develop some skills and get started right away by following our tips. Think of them as your student survival kit for managing money and saving but without giving up too much.

1. Consider your monthly budget

The first thing to do in order to manage your finances is to know what your fixed expenses are, have an idea of your variable expenses, take into account contingencies or exceptions, and know what your income is.

If you are an out-of-town student your regular expenses could be:

• rent;
• bills;
• university fees;
• transport subscription.

Variable expenses:

• books;
• shopping;
• others to be assessed against your needs.

Extras:

• lunches and dinners;
• fun with friends;
• shopping;
• unforeseen but obligatory expenses, e.g., new school supplies or something needed around the house.

Your income could be just money or earnings from a part-time job. Surely your parents’ budget for fixed expenses, so the remainder you have to learn to manage for your variable and extra expenses.

2. Choice of accommodation

Budget management starts with an assessment of fixed expenses, first and foremost rent. One way to save on accommodation is to choose a shared flat with flatmates, which is advantageous for several reasons. Certainly, to spend less, but also to start your adventure in a new city with other boys or girls who, like you, have moved to start university or are looking for work.

Knowing where to live can be complicated in a city you don't know. Luckily, you can rely on experts in the field of real estate and short- and long-term rentals. Why ask for help? Certainly, to get advice on the best areas to live in but also to find the flat that suits you and meets your needs without going over your budget.

3. Controlling Expenses

To control your spending, therefore, make a total count of the money you need to pay all your fixed expenses so that you have something left over for variable ones as well. With your remaining budget, estimate how much you can spend on your leisure and pleasures so that you still have some money left over for the unexpected.

A quick and easy way to keep these tallies under control is to use a budgeting app that helps you keep track of your expenses but also understand what you spend your money on. This way you realise whether you can give up something to put some money aside or whether, on the contrary, you can even afford a few extra treats once in a while.

4. Saving

Saving money is not that difficult if you know when and how to do it. For example, you can try to save money at the supermarket: if you make a list of what you need and think carefully about how to organise your meals for the week, you will avoid buying things that you do not consume and might have to throw away.

Also, do a price comparison. Sometimes the same products cost different prices depending on where you buy them, so by paying a little attention you will be able to save money without having to give up your favourite products.

Consider that sometimes family packs cost proportionately less than smaller packs. Get together with your housemates and try to buy some things in larger packs so you can save on quantity.

There are plenty of ways to save money: again, for example, bring your lunch from home instead of going to a café or restaurant every day. Beware of self-service machines that with small quantities at a time risk making you overspend at the end of the week, and so on.

5. Transportation

Public transport for a student or, in general, for city dwellers is a fixed expense because you need it to get everywhere without a car.

For young people and students, there are always subsidised rates for transport passes and this is already a way to keep your monthly budget under control. In addition, you can consider walking or cycling in the warmer months to save even more money.

Furthermore, bike or car sharing services are now available in cities, which is a great way to avoid taking a taxi if you cannot share it with a friend.

6.  Books and materials

For a student, textbooks or similar, such as photocopies or handouts, are indispensable, which is why they should be considered variable but mandatory expenses.

But even in these cases one can save money. For example, by buying second-hand books, school bookshops also provide this service, or study with a fellow student and buy books half for one and then exchange them. Also consider taking some books from the library.

Second-hand books are also worth the reverse, i.e., you can resell the books you no longer use and earn back some of the money you spent.

7. Extra and fun

So far, we have seen budget management for more or less compulsory expenses, now we enter the world of leisure and pleasure.

Since you can't give up everything, even when you have a tight budget, the only way to have fun but not overspend is to make good estimates.

Here is how to save on leisure:

• look for free events, there are always many in the city;
• keep in mind that museums have free admission days or reductions for students;
• benefit from discounts and concessions as a university student, there are usually active ones for cinemas, theatres and more;
• go out for dinner at popular places, they are also the most fun to go to with friends;
• organise dinners at home where everyone brings something;
• limit shopping when it is not essential.

The golden rule is balance and judgment.

8. Extra income

If you are a university student, your priority must be your commitment to study, but having a part-time job could help you manage your monthly budget.

It is best to find a flexible job that allows you to attend classes and study for exams. Also, having a job teaches you responsibility and how to manage your time, just like a real adult.

Remember that being away from home is also an opportunity to learn to manage your independence, so it is normal to make initial mistakes. The important thing is to keep progressing and improving day by day.