University fees: student budget tips

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by: bythesea
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Date: Sun, 30 Jan 2011 Time: 5:02 AM
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With university fees set to increase under the current government there are real concerns from students and parents about how they will fund higher education and the resulting financial repercussions. Education does come at a cost but should not be dictated by finances, here's our guide on how to minimise the costs.

Assess your situation
Whilst the threshold for annual tuition fees is set to rise to £9,000, there are also changes to grants - for households earning less than £25,000 maintenance grants will increase from £2,906 to £3,250, the threshold for partial grants will decrease from £50,020 to £42,000. Before you work out the calculations, speak to an advisor and find out exactly where you stand with regard to funding.

Defer your place
Waiting a year or two will not necessarily change the financial implications of going to university, but it does allow time to accumulate some savings that should help with the costs. Taking some time out can also pay dividends for applications and experience - if you've earmarked the industry you're interested in try to get some hands on involvement, this should help affirm your decision and also bolster your CV.

Earn whilst you learn
Lots of students already go down this route and a part-time job can help raise essential living funds - whether you choose to take temporary contracts during the holidays or are lucky enough to land a regular evening job, some additional cash may be essential in meeting bills and fees.

Set a budget
Living away from home for the first time can be both exhilarating and expensive. The concept of establishing a weekly/monthly budget where most of the cash goes on household basics can be a bit of a shock, but establishing where cash is essential allows you to work out what you actually afford to splash on entertainment.

Avoid debt
Perhaps a little contradictory considering the inevitable hike in costs, but avoiding unnecessary credit cards debt and loans can go a long way in reducing overall debts come graduation. If this isn't possible, make sure you shop around for best deals on rates, keep a handle on what you owe to whom and be aware of repayment obligations.

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