“Ignorance is not the lack of intelligence, it is the lack of knowledge on a particular subject”. – Dave Ramsey, “Financial Peace“
College Students are studying calculus, history and statistics but most are not learning the fundamental money lessons needed in the real world.
Here are some money lessons every college student should know and apply in their life.
- Spend less than you make.
There are three major sources of income for students: parents, a job and financial aid. Whatever your income is always spend less than what you make. Calculate your income, then your expenses, (gas, food, insurance, etc.) and always make sure your expenses are not higher than your income.
- Wants and needs
We live in a society where we want things now. You have to set priorities. Your necessities your should be a priority, so pay for them first. Then, after you pay for your needs, you can buy your wants.
- Budget and keep track
Have a budget, a budget is not as bad as it sounds. Always make sure you keep track of all your expenses so you know where all your money is going.
It is very important for college students to be financially literate. Make sure you know how you make money, how you spend it and invest it. Do not be ignorant about your money.