I was not the perfect example of stewardship during my college years, but I have learned quite a bit through others. Here are some thoughts to help you through the college years without having to donate blood for money, or eating only Ramen Noodles.
Stewardship matters
1. Know how much you are borrowing, and how much it will cost you when you graduate. Many students don’t know the amount of the loans they are incurring. They also do not know if they are repaying the loans, or if their parents are repaying them. Take the time to discuss with your parents what you owe. Loans are not easy to repay. Find an on-line tool to help you figure out how much your monthly bill will be upon graduation. I had a friend who graduated with close to one hundred thousand in loans before he graduated from seminary. It was only after graduation, he realized what he truly owed resulting in a nervous breakdown. You might need to take time off to earn some money instead of spending it. It took my wife five years to graduate from college, not because she struggled academically, but because she took time off when she couldn’t afford to go. Each time she left school, it broke her heart, but she made a wise decision.
2. Tell your friends no. Just like your friends will affect your spiritual life, your friends will affect your spending habits. The pressure to go out even when you don’t have the money is strong. Be open with your friends, and let them know that you can’t afford to go out every weekend. Be proactive by planning events that don’t cost money. Especially avoid the party crowd. Addictions like tobacco, alcohol, and pot mess up your life, while also draining your pocketbook. Dating can be very expensive, so learn to date cheaply. If that special someone requires you to spend money on them now, think twice because they will also need a lot of money later.
3. Small expenses add up quickly. Even though you may feel as if you don’t have any money, students have more discretionary income (money not accounted for by monthly bills) than many adults. If you bought a meal plan, use it. Ordering pizza on Friday nights tastes great, but your account will take a hit. Coffee each morning from the café might perk you up, but will also weigh you down. If you find yourself in need of snacks, go to a grocery store and stock up on your favorites. The temptation to be up on the current media is strong, but limiting your spending at the movies or at the mall can save you tons of cash. Buy used textbooks, or rent out your old ones. Set a budget for yourself of what you can spend each semester/or month, and live by it.
4. Don’t use Credit Cards, without paying them off monthly. I remember the mobs of people around the credit card tables during the lunch hour at school. My friends would fill out several credit card forms in order to get a free t-shirt or water bottle. That person behind the table is not your friend, but is there to make money (off you). Proverbs is right when it says that, “the borrower is a servant to the lender.” Developing good credit is important; however, most students buy on credit, with no ability to repay. Interest mounts quickly, and that is not a lesson you want to learn through experience. If you want a big purchase, save up for it. Saving money for future purchases is a life-long skill that will put you ahead in the end.
5. Be open with your parents about your spending. Even though you have moved out, your parents want you to learn to be financially wise. Talk to them about your habits and spending. Be open to their suggestions and show them that finances are important to you. If you do, you will discover that your parents know a lot more than you, and they will be more likely to help you in a financial jam.
6. Make time for Work. School is hard, but most students have time to work if they make it a priority. In the wealthy Western world, college has become a time where the privileged learn at ease and party whenever available. This is not the real world, and I believe it does not honor God Just because you can’t pay your tuition bills doesn’t mean you can’t earn money to pay for your food/gas and incidentals. Working will also build your resume with experience which is often more crucial than an education.
7. Do I really need a car? Cars come with expenses like gas, insurance, and repairs. They are handy if you want to go out with friends, or go home for the weekend; however, these expenses add up. Use public transportation, a bike and make friends with ride-share network at your school.
8. Don’t quit looking for grants, scholarships and financial aid. After my first two years of college, I made the mistake of not applying for financial aid. The few scholarships that I had been given had run out, and I wasn’t expecting any new ones. Big mistake. You never know unless you ask. At some institutions, there are scholarships that only become available to upper classmen.
9. Plan your summer employment in the winter! Finding jobs as a college student is tough in a down economy. However, the early bird gets the worms that are available. Begin your interviews when you are home for the weekend, or during spring break.
10. Give back to God. God doesn’t care how much you give; however, He does care that you give. If you cannot be faithful to tithe to God now, you won’t do it later. Giving to God is a struggle, and is a regular exercise of faith. Do you believe God? Then know God can make the 90% left after giving, go farther than you can make 100% on your own.
Through it all, God is Faithful, and He is calling each of us to be faithful.
Feel free to leave your financial tips and practices.
