Help students be financially responsible

4 tips to encourage money smarts

Help students be financially responsible

According to Steven B. Smith, CEO of Finicity, it is not a surprise that many students leaving home are often burdened with financial troubles. “Most common financial mistakes for many students are caused by inexperience and the lack of understanding of basic financial principles,” he says. Here are four tips and principles that will help students avoid financial problems in college.


Create a budget

Students should know how much they are able to spend in a given week or month, and use that number whenever they buy anything. Also, students should know what their necessities are and should be aware of how much those needs will subtract from the budget. “In order for the plan to work you need to measure the plan against real results,” says Smith. 


Save, just in case

Students should be sure to put extra money away for a rainy day or for an emergency. They might need to travel at the last minute or might be looking for a job longer than they expected. Smith says “Be sure to have enough ‘back-up’ money in your savings account to cover that emergency.” Students will be happy they saved in the long run.


Know what everything costs

It is best to know ahead of time what everything will cost, whether it is rent, food or other needs. Being aware of the current costs will make it easier for students to budget and will help them keep track of their overall finances.


Learn how to say no

Everyone has something they want to buy. But the truth is, students can’t get everything they want, especially in college. Smith recommends waiting 30 days before buying any non-necessary purchase. “This will help you develop patience,” he says.


Try this! Buy Delay app

Make informed purchasing decisions by delaying purchases until you’re ready. Use the free web app at

Related articles:


Trending Articles

Your Path College Search



Register Step 1 of 2

* Indicates required fields.
Add Interest

By pressing the continue button, I hereby consent to receive autodialed and/or pre-recorded calls from NextStepU and their partners, regarding their products and services, at the phone number above. I understand that consent is not a condition for attending any school.

  • Oops! Seems there were some errors above..

Login Required

  • Your Path

    Your Path

    Get customized college, life and career planning with step-by-step instruction and resources, all catered specifically to you.

    Register FreeSign In
  • Scholarships

    Scholarship Search

    Find over 2.2 million scholarships catered to a wide variety of your interests and strengths.

    Register FreeSign In
Search for more than 2.2 million scholarships!