4 Financial Hacks for College Students

While it’s important to have a source of income that will help fund daily college expenses, it’s also important to set some of that money aside in an emergency fund account to cover unexpected expenses such as  car repairs or medical bills.

Will Ketchum, an Operational Risk Management intern, has practiced the principle of saving money as a pre-business student at BYU.

“‘A penny saved is a penny earned,’ is a very simple principle, but not a small thing to be ignored,” he says. “When you can save money on a purchase or avoid expenses this is as good as earning that money. You cannot ever have money if you are spending everything you earn.”

Ketchum says he’s benefited from working summer jobs. During the school year, he drives for Uber Eats, where is able to average about $20 an hour before expenses.

Understanding investments and the stock market from a young age can make a huge difference in your future.

Briton Demars is a Fair Banking Data Analyst intern who’s completing his bachelor’s degree in Information Systems at BYU. One of his biggest passions in life is investments and sharing this knowledge with his friends and colleagues.

"Starting a Roth IRA and mutual fund portfolio are now essential parts of young student plans for retiring and buying a home. The earlier, the better,” he says.

Demars says it’s important to have a reliable form of income that doesn’t just cover your personal and educational expenses, but that can also accrue in your savings account, which could be beneficial for long-term educational goals.

One of the most effective financial habits is having a budget. The simplest way of thinking about starting one is by writing down what you are spending your money on. This will help you evaluate the things you purchase and see if they’re worth getting. 

Susma Gurung is a Project Management and Analyst intern who is pursuing a bachelor’s degree in Marketing at the University of Utah. She enjoys giving back and helping people in different ways, and one of these ways is sharing her knowledge.

“Budgeting takes time but at the end of the day, it’s good to know where your money is going and being in charge of it,” she says.

One of Gurung’s best sources of income while going to school is scholarships, which  have helped her focus on her studies without worrying about paying for school and kept her motivated to get good grades in her classes.

“I applied for as many scholarships as I possibly could during my freshman year,” she says. “I continue to apply for scholarships and it’s the best source of income to fund my personal and educational expenses. I could save my sources of income that I get from work.”

Credit cards can help build your credit score, which helps you get loans with lower rates when it’s time to get a new car or buy your first house.

Ethan Smith, a Credit Analyst intern who’s completing his bachelor’s degree in Finance at BYU, has been able to take advantage of credit cards to earn extra money in cash back rewards.  

“Get three credit cards with different rewards programs and use them like a debit card, paying off the balances every month,” Smith said. “Last year I received $500 in cash back from living my life normally.”

He also recommends setting up a Roth IRA with an auto-draft of $50 monthly to begin building an investing habit. Smith says having a source of income is important while being a student.