When you think about going to college, do you think of having more freedom and meeting new people? A ticket to college not only provides benefits for personal growth but also is one avenue for career advancement and increased earning potential. One of the first steps for those on the college path is to plan on how to save money for tuition and related expenses. Fortunately, there are a variety of ways you can start saving money now. NEBAT has put together some smart ways to save money to set you up for success.
How Much Do I Need to Save for College?
Having a plan on how to save money for college early is crucial to limit the amount of student loan debt you will have and the unavoidable interest that comes along with it. One of the first questions you should ask yourself is: “How much do I need to save for college?” This will depend on your individual goals including your desired career path and what college or university you plan to attend. According to the National Center for Education Statistics, the average 2020-2021 tuition and fees for full time students was between $3,900 and $18,000 for 2-year institutions and between $9,400 and $37,600 for 4-year institutions. It is also important to consider additional expenses related to attending college such as the cost of living, textbooks and other school supplies.
How To Save Money for College
While college is an investment in time and money, the result of having a rewarding career will pay off in the long run. Read on for smart ways to save money.
- Take AP or dual-credit classes in high school to potentially earn FREE college credits.
- Apply for scholarships and grants.
- Get a part-time job and set aside a percentage of each paycheck for your college fund.
- Start a side hustle to earn extra cash.
- Save the money you receive as gifts. (Bonus tip: ask for money for your college fund instead of gift cards.)
- Split costs with friends and family members for expenses such as subscriptions and gifts.
- Utilize bank savings accounts. NEBAT’S Steps Savings account is designed for children, teenagers and young adults. Account holders earn a preferential interest rate!
- Earn rewards with your own checking account. NEBAT’s Step-Up Checking accounts rewards you for making good financial choices. Plus, you can make mobile check deposits to access funds received in a paper check by snapping a quick pic.
Going to college is an exciting time to kickoff achieving your educational and professional goals. Learning how to save money for college and implementing saving strategies now can help you put your best foot forward as you enter adulthood. For more information on how to prepare for paying for college and living on your own, check out our additional resources for young adults.