Money certainly makes the world go ‘round, and we all need to be mindful of how much we have and where it’s going. This is especially true for college students. College expenses can be high with tuition, books, room and board, rent, gas, beer money, movie rentals, etc. Effective money management is made easier with these tips.

First, track your spending for two to four weeks to find out where your money is going. Is four trips to Starbucks a week really necessary?  You probably don’t realize how much money you spend on little things like snacks and poker antes. Often, just by tracking expenses, you’ll start to curb your expenses and spend your money wisely.
 
The best way to manage your money over the course of a semester is to sit down and map out a budget. List sources of income such as scholarships, loans, money from summer jobs, and cash from your parents. Then list your expenses, such as tuition, books and groceries. If your income is larger than your outgo, you’re on the right track!
 
If you know you need to buy a new CD or go to concert or a party every week, make room for that in your budget.
You do need some entertainment. You’ll get burned out if you don’t have any fun. But be mindful of your entertainment expenses so that they don’t get out of hand.

If you spend, spend, spend at the beginning of the semester, you could be tapped out later. Give yourself a spending limit for each week. Stick to it and you won't have to eat macaroni-and-cheese every day in December.

Be careful with credit card use. Having a credit card is a good idea in case of emergencies, but having that little piece of plastic can make your spending get way out of control, very, very quick. One quick way to spend beyond your means is to charge it. Use credit cards sparingly. Once you get into the habit of reaching for a Visa, it can be hard to stop.

Keep only one credit card. You’ll probably be barraged with offers from credit card companies wanting to give you a $5,000 credit limit at only 25% interest to celebrate your induction into the “real world”. Find a card with a low interest rate and use it as little as possible. And don’t charge small purchases!  If you need a bag of chips, search the couch cushions for spare change before you plunk down the Master Card. You don’t want to be paying interest on a bag of chips!

You can set your own credit limit instead of letting the credit card company set it for you. Just because you have a credit card with a $2,000 credit line doesn't mean you have to spend $2,000. If you know you can only pay back $500, then just spend that.

If you’re afraid you'll keep spending as long as there's room on the card? Call your credit card company and request your credit limit be lowered. Keep at it. Card companies will try boost up your credit lines so you spend more. Tell them "no" each time they try.

Be realistic about your spending habits. You can do what you want, but you can't do everything you want. You're going to have to make some choices. Whatever you choose is going to cost some money. You need to understand you can't have everything and you have to understand there's consequences. At some point there needs to be a reality check in terms of what things cost. Most students have no idea.

If you bust your budget on something you really, really want to do this week, make up for it next week.
If you find that you must go out to dinner and a movie one week, spend the money; be satisfied with the decision, and commit to staying home, eating at home, and not making any other purchases the following week.

Plan ahead for big expenses. Whether it's a road trip with friends or a car insurance bill, if you knowa big expense is coming, start putting some money aside to pay for it. It's a lot easier to set aside $50 every month than to come up with $300 when the bill is due.

When it comes to dorm or apartment expenses, contact your roommate before the semester starts and divvy up expenses. Decide who will bring a refrigerator and who will bring a microwave, etc. This way you avoid duplicating purchases and excess spending but will still have all the conveniences to make college life easier.
 
Most of the big expenses are at the beginning of the school year. Buy books as you need them. That will spread out expenses. Don't forget to check out prices from online bookstores. They may give you a better deal than the campus bookstore. Buy used books whenever possible. Check e-bay or half.com with the ISBN number of the textbooks you need. You can usually get this number from your college bookstore, and the prices are usually a lot lower than what the bookstore will charge.

Don’t forget, too, that when the semester is over, if you have a book you don’t think you’ll use ever again – Thermonuclear Physics, The History of the Doughnut, etc. – sell them back to the school or list them online. This can be a really easy way to make a little cash at the end of the year.
 
It's very difficult to say 'I'm in trouble and I need $2,000' or 'I spent my student loan money'. Screw up some courage and phone home. The longer you put it off, the worse things get. While your parents might not be thrilled that you’ve been so careless with your money, we’re willing to bet that they’ll probably be ready to help out – after a few moments of lecturing, of course!

Remember that money management is really about resource management. Also, know that money usually operates with us on at least two different levels. There is the practical dimension from which we make purchases. There is also the symbolic level. Money can buy us pleasure, friendships, or give us the feeling of power. We need to be careful not to let money substitute for emotional needs we need to address in other ways.

If money is a little tight, there are some easy things you can do every day to save and avoid the money crunch.

• Don’t eat fast food every day. Look into the meal plans offered by the school’s cafeteria. Buy quick, convenient things to make in your room like soup or Easy Mac.
  
  
• Use coupons for things you frequently buy; keep them in your car so that they are handy for the store, fast food or restaurants
  
  
• Rent a movie instead of going out to a theater
  
  
• Consolidate errands to cut down on extra gasoline expenses. When you do buy gas, do it in the middle of the week and at a gas station that has competition close by to get the lowest prices.
  
  
• Stock up at holiday and back-to-school sales for things you know you will need
  
  
• Use email for long distance communication instead of the phone. Consider a new cell phone plan or even switching companies if you can save money by doing so.
  
  
• Use a shopping list when at the store; do not deviate from your list whenever possible
  
  
• Keep your eye on the register when checking out at stores, purchases can easily be rung up wrong

One final note, as crazy as it may seem, because college is a time of money shortages, consider the idea of putting a little money away on a weekly basis. One dollar a week at the end of the year is still fifty-two dollars. Then do something extraordinarily nice for yourself or with someone else.

Saving is really a part of spending too. See if these brief money-managing tips might not help you achieve your goals and objectives in college. We often say, "If you manage your time, you manage your life. If you waste your time, you waste your life." With money, perhaps we are saying, "Manage it, don't let it manage you."

Now let’s move on to the fun stuff – enjoying yourself, making time for fun, and getting the most out of college life!

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