Save Money as a Student

One of the main issues facing students is money struggles. This is only amplified by the times we live in with an ongoing Cost of Living crisis. With rent costs rising, as well as the cost of essential goods and services while wages stagnate, students are taking on a huge financial burden on top of their already incredibly hefty loans. In 2023, The Office for National Statistics found that 92% of students reported higher living costs compared with the previous year. This is in combination with findings from the Office for Students which discovered that 1 in 5 students had considered dropping out of university or college due to the rising costs of everyday essentials.

With the government increasing Maintenance Loan repayments for students by 2.5% as of September 2024, now is as good a time as any for students to focus on every way they can save money where they can.

Tips to save money as a student

Due to a variety of factors such as reduced loans, poorer background and rising rent costs, it is now more important than ever to be clever and thrifty with finances. To achieve this, students need to understand the core elements of what they can do to save money, and the tips to overcome the pitfall of each pillar.

Food

Learn basic, healthy meals

Moving to a new place and living independently, the temptation to eat quick and easy ready meals and takeaways can be too much to resist. While it may seem like the easiest and most efficient option, it is far less healthy than preparing your own meals from scratch and will cost you more money in the long run. Learning to cook and prepare your own meals is one of the great joys of living alone, but it also means you can plan your meals accordingly and portion them to last for longer. Having ingredients ready to use gives you variety on what you can make and means you can meal prep for the week to come to help save money and maintain a nutritious diet.

Switch to supermarket brands

You might have grown up in a village or small town where there was only one supermarket nearby and this might have created a sort of subconscious brand loyalty to this chain of supermarkets. When you move away from home and begin to live on a student budget, this type of loyalty needs to become a thing of the past. Your current supermarket might be one of the most expensive options out there. Doing a price comparison between supermarkets on the essentials you need and assessing where has the cheapest options while still being convenient and accessible is key to your budgeting. Once you know your financial outlay for groceries and household essentials, you can begin to build out the rest of your budget.

Freeze food

Meal prepping and buying supplies is all well and good, but leaving it to sit in the fridge until it is past its expiry date is the equivalent of throwing money down the drain. Don’t let your food budget go to waste and make sure that you freeze food when you aren’t using it. This might be meat or bread that you aren’t planning on using in the near future, or it could be a meal that you’ve prepped and don’t fancy eating in that moment.

Batch cook meals

Understanding how to cook means understanding how much ingredients you need. Once you begin to grasp this concept, how much you need to remain fed and healthy throughout the day, you can begin to scale up and batch cook meals. Prime examples of this can be batch cooking chilli con carne, bolognaise, pasta bakes, soups, curries, or things that can be stored and even frozen to be used again later. Or, if you have a specific diet plan, you can batch cook meals to use throughout the week or store for the following week so you can effectively budget over the course of a week or longer.

Don’t buy food or coffee out every day

When you are on the go, travelling between home and campus, it can be tempting to stop off, get a quick coffee, meal deal or snack to keep you going or to pick you up throughout the day. Doing this as a treat now and then is fine, but doing it everyday can quickly start to build up and drain your finances. It may seem like £3 here, £2 there, but every day between one student loan to the next can have a huge impact on your remaining finances and leave you struggling.

Housing

Ensure your deposit is protected

When moving away from home, very few students know the intricacies of the rental market, what they need to keep an eye out for and be aware of. While this might not be through any fault of their own, it can end up costing them a significant amount in the near future. One thing that must be double-checked and assured is that the deposit that’s initially put down on the accommodation is protected and that you are aware of the terms of the deposit. The terms of the deposit will be set out in the tenancy agreement, so students need to vigilant and read the document carefully to fully understand the terms. Once agreed, your landlord or letting agency will have a duty to provide you with a copy of the tenancy deposit protection rules. By law, it dictates that the landlord, agent or institution must:

• Deposit amount and the property it relates to • Detail how to get your deposit back and when deductions can be made • Detail the process to follow should a refund be disputed or the landlord/agent/institution does not reply

This agreement ensures that the owner of the property has 30 days to cover your tenancy deposit and must protect the deposit for its entirety. This ensures that should you move out or look for a new property, you will be able to reclaim your full deposit permitting there is no damage to the property or that you have not violated your initial tenancy agreement.

Shop around for next year’s accommodation

When the end of the year rolls around, and your tenancy agreement is coming to an end, it might be time to consider your options. While you might be happy with your current setting, possibly really good friends with house or flatmates, your current tenancy may be heavily impacting your financial stability. It could be that there are cheaper renting options available that suit your needs, or can offset the costs with less bills and transport costs. Whatever it is, it is always best to look around at other options and see what impact it might have on your finances and if it would be beneficial to move into a new accommodation.

Insure your items

In a new environment, possibly moving to a new city, you can never be too safe. You may be staying in a home in an area you don’t know too well. If the worst comes to worst and your possessions are damaged or even stolen, it is important that you have insured these items so that you are financially protected and can reclaim them without having to spend extortionate amounts to replace them entirely.

Split cleaning costs with housemates

The beauty of living with friends and peers your own age is that you are all figuring out your new situations as you go along, discovering how to be responsible for your own home. There is no parent or guardian to clean up after your messes now, it is up to you and your house or flatmates. With this in mind, it is advisable to not only create cleaning rotas in the name or fairness, but also to split the cost of cleaning supplies. This could be for washing up liquid, bathroom cleaner, washing powder, etc. It can’t be underestimated how efficient this will prove to be in saving money on household essentials.

Ensure you’re exempt from council tax

In the case of most students, it is likely they have never had to deal with taxes, especially those associated with property, such as council tax. While it is generally assumed that students are exempt from paying council tax, and this is generally true, there are some stipulations in place they might require a student to pay it, which can be found on the government website. If each tenant in a student household is a full-time student (a course that lasts a year a requires 21 hours of study a week or 3 months and 12 hours of study for those studying for A-Levels), the tenants are not required to pay council tax. However, in the instance that there is a tenant who is not in full-time education, there will be a council tax bill, but it is possible to qualify for a discount. If you aren’t sure about whether or not you qualify for a council tax exemption, you can apply through the government website here.

Travel

Take the coach

It is well documented how expensive train fares have become as of late, with them increasing by 5% in 2024. Travelling by train everyday can become expensive and many students won’t have access or the finances to have a car and keep it insured. That’s why using coaches and buses could be a preferred method of public transport for students. When they are making short trips, local bus services can be a lifesaver and get them from A to B. But for longer journeys, those that involve cross-country travel or returning home, coaches are invaluable. In some cases, the journey might be longer than it might be on a train, but the reduction in costs is significant. An added benefit to travelling by coach is that your seat is guaranteed, so not only can it be beneficial to your student budget, but also your comfort levels whilst travelling.

Get a railcard

If coaches aren’t an option for travelling home and trains are essential to your daily commute, then the most valuable investment you can make is in a railcard. For either £5 for one year or £80 for three years, students between the age of 16-25 can save up to a third off Standard train fares across the country. In the moment for a student, these prices may seem expensive, but after making over three long trips, you will have made the money back in savings. It can be an incredibly valuable investment for the sake of your savings.

Split your tickets

As we have covered, train fares can be very expensive, so sometimes it is worth assessing the most financially viable options for tickets. This is where split ticketing can be an incredibly useful tool. In some cases, it can be cheaper than buying one ticket between two locations. Splitting your ticket might involve travelling from Edinburgh to London, where instead of a direct ticket, you get the ticket from Edinburgh to Newcastle, Newcastle to York and then York to London. This might sound complicated, but often websites such as Trainline can automatically find the best split ticket options for you, including trips that don’t require you to get off the train.

Consider flying

While it might seem outrageous to suggest that flying is a more cost-effective option than driving or taking a train, sometimes, domestic flights can not only be the most cost-effective, but also the most convenient. If you’re campus or institute is across the country, in a more affluent and expensive area, it may be cheaper and more convenient to stay closer to home and pay for flights on the days you have lectures. As they are domestic, they can be quick and cheap, but for those that live away, it can also be effective. With students who have travelled from Ireland or a nearby country for example, a flight may be the best and most-budget friendly option for travel over a ferry or some other form of transportation.

Walk if possible

The act of walking is often underrated and underappreciated. When living in a student city, you may realise all of what you need is typically within walking distance. If you are moving to a new place for the first time, it is good to become familiar with your surroundings and explore. Walking is not only beneficial to your budget, but also to your physical and mental wellbeing. As you are engaging in regular exercise, you will be more energised, sleep better and overall, just feel more content with your mental and physical health.

Save money

Use cashback sites

Little money hacks may seem small in the grand scheme of your loan and a term, but as the saying goes; ‘look after the pennies and the pounds will look after themselves’. Using cashback sites when doing your online shopping or looking for different vouchers and coupons to use in store could contribute to your next shop and save a hefty chunk of change in the long run. In certain instances, your bank may also offer cashback options to help with small purchases with groceries or even bigger items such as subscription services. Using HA | Wisdom Wellbeing’s Student Assistance Programme (SAP), you will also have access to Bright Exchange which provides 1000s of discounts on things such as cinema tickets, flights and a host of other services and items.

Get the best student deals

One of the joys of shopping as a student is having access to student discounts. Typically, your institute will make you aware of the websites, stores, services and local amenities that offer student discounts. But you can use websites such as StudentBeans and UNIDAYS to access a variety of student discounts to help you with your budgeting and save you a pretty penny.

Set budgets for everything

Budgeting is key to surviving as a student. Understanding how much you need for rent, how much you spend on food, travel costs, resources for university or college and socialising enables you to work out just how long your money will last for. If you know that you spend too much on socialising after reviewing your bank account, you can begin to adjust accordingly and plan to suit your needs.

Discover if you are exempt from NHS prescription payments

The cost of prescriptions can often be overlooked; however, they can begin to build up. It is recommended that you find out if you are exempt from NHS prescription payments. If you are a student between the age of 16 – 18 and in full-time education, you will be automatically entitled to free prescriptions and dental treatments. If you are 19+, you will unfortunately have to pay for prescriptions in most instances. However, it is worth reviewing as there are instances of students being exempt over the age of 18 including:

• Have been pregnant or had a baby in the last 12 months (maternity exemption)

• Specific medical condition or physical disability which comes with a medical exemption certificate

• If you are an NHS inpatient

Consider an overdraft if necessary

When you’re young and exploring the world for the first time, in the process of finding yourself, you are bound to make mistakes. It is no different with finances. It can be difficult to figure it all out and juggle all the moving parts of life. For this very reason, some students may opt to have an overdraft. It is recommended that you don’t dive headfirst into a student overdraft as it can be hard to pull yourself out of. However, one valuable thing to note with student discounts is that they are typically interest-free and specific limits can be set-up to ensure you don’t get yourself into a situation where it is impossible to pay off.

Once again, an overdraft should be used as a last resort, a safety net of sorts, but it can keep you safe when needs must. If you find yourself truly struggling and unable to pay off your overdraft, you can seek advice from your institute to assist you with debt and money issues, signpost you to helpful charities such as Debt Advice Foundation. You can use our Student Assistance Programme and speak to qualified counsellors who can give expert financial advice and guidance to assist you with your concerns and worries.

Don’t pay full price for study materials

You will be in college or university for one reason in the end. To receive an education and get a qualification. This is not possible without the right resources and information. This might mean additional reading materials, specific tools and resources, or even trips away. Regardless of what it is, unfortunately, certain things might be key to your education, and they can be costly. But many of these things can not only be provided by your institute, but they can be found pre-owned for a cut price from students who have graduated. Resources may be essential to your education, but they can be found without inflated price tag.

Deal with debt

There is so much to juggle as a student, so much to learn and so much work involved with keeping your head above water. If you aren’t careful, you can very quickly and easily fall into debt without realising. Our advice in this instance is to keep a close eye on your finances, budget, know your limits and understand the pitfalls. In the instances you do fall into debt, whether that be your overdraft or with rent, dedicate your focus to addressing this as it could be hugely detrimental to your mental wellbeing. While it may seem embarrassing, if you are truly struggling with debt, speak to someone, ideally, somebody who understands finances. It might be your parent or guardian, a financial expert, a counsellor, or simply someone that you trust. There is no shame in seeking advice or support, it is a common issue that affects students of all ages across the country.

How a Student Assistance Programme can help you save money as a student

Using HA | Wisdom Wellbeing’s Student Assistance Programme (SAP), managing your finances and saving as a student is a less daunting and lonesome prospect as you can contact our 24/7 helpline, 365-days a year and connect with one of our qualified counsellors who can provide expert financial advice, guidance and support. Financial woes can weigh heavily on a person and have a significant impact on their mental health. Using our SAP, you will not only have access to counsellors who can support and guide you with financial struggles, you can access a host of resources that can comfort and help you focus on improving your wellbeing to improve your circumstances.

Conclusion

Saving money as a student isn’t always the easiest thing to do. It isn’t the easiest thing to learn. And with costs rising, it isn’t getting any easier. Unfortunately, there is little that can be done to impact rising costs. But what you can do is focus on yourself, your habits, understand what fits you. That could be budgeting, lifestyle choices and overall assess the smartest options for your financial and mental wellbeing.