Many college students are opting to study abroad nowadays. However, because they are studying in a foreign nation, adjusting to and understanding the new financial market can be a challenge which can lead to facing financial difficulties during their college years. All international students must manage their own funds by keeping track of bills, paying fees, and keeping their money safe and secure from scams and theft.
Fortunately, with some practice and assistance, students can minimize their total spending.
Here are some financial management recommendations for students studying abroad:
Create a budget
Budget creation is one of the most important steps in the money management process. Students should have an understanding of how much money they have and what is the smartest way to spend it. It is vital for them to understand their necessary expenses like rent, and utilities and always set money aside for them. Once monthly expenses have been calculated it would be easier to gauge the amount left for entertainment and social activities.
Having a clear understanding of what is needed and what is wanted can help students make better decisions.
Understand basic banking
Transferring money regularly from an Indian bank account to a foreign one can be an expensive affair. Start by opening a bank account in a local bank and monitoring the exchange rate to figure out the best time to transfer money. Also using Online banking allows for a transfer without any additional fees involved.
Intelligently manage social activities
It is prudent to manage social activities in a smart way so as to not overspend. As plans made amongst friends can be spontaneous and unpredictable there exists a possibility for spending beyond one's true capabilities. Hence, one should plan out their activities in advance and set aside a suitable amount. Students should also look into planning activities at their homes instead of going out every time.
Set up an income source
Students can work part-time abroad in various roles like a virtual assistant, Bookkeeper, etc. Many universities also offer on-campus jobs and have partnerships with potential employers and recruiting portals, so make sure to enquire in the university office.
The money you earn can help you pay off student loans and pay tuition fees. It can also support your lifestyle in a foreign country.
Use student discounts
Students in every country get amazing deals and discounts. Many countries provide discounted travel tickets and allow students to travel for free. A lot of entertainment platforms like Netflix, Spotify and Amazon Prime offer students discounted rates.
Spend Locally
It takes a while to understand the market and how business is carried out in a new country. For example; it is easy to bargain and haggle in middle eastern and Asian countries. Whereas, this is quite impossible in the western countries where commodities have a fixed price. Contact locals to find where to get the best deals and explore flea markets for discounts on various products.
Takeaway
It is hence evident that handling finances are one of the most important steps for an international student and should not be overlooked. Therefore, we hope that these tips help you handle your money in a better way and not face any financial troubles during your studies abroad.