The following boxes provide a list of expenses to consider as you prepare to pay for your college education.

Educational Expenses
Listed below are few of the expenses to consider:
Other Expenses
Listed below are a few other expenses to consider:
  • Transportation
  • Clothing
  • Cell Phone
  • Entertainment
  • Savings
  • Other

For further information regarding ways to cut back in expenses check out the article What Your Child Will Need on Campus and Making a Budget for College

Label Your Expenses
Needs vs. Wants:

Expenses can be separated between NEEDS and WANTS. Finances should be allocated to the “needs” first. Then whatever is left over can be used on “wants”. Ask yourself, “What is essential? What is nonessential?”

Fixed vs. Variable:

It is also helpful to sort between your fixed expenses and variable expenses. Fixed expenses are a set amount that you must pay; this amount does not change from month to month. These are payments such as rent, insurance, bills, etc. Variable expenses are expenses that can be controlled by your actions; the amount you pay can be lowered or raised according to what you do. These costs are things such as transportation, food, utilities, clothing, etc. This type of separation can help you see what expenses you can reduce by changing your behavior, and which ones you can't.

If, after writing down all of your sources of income and expenses, you come out with a negative number, reevaluate the items on your budget and see what can be adjusted. Get into the positive numbers and stick to it!