Saving and Spending for College Students | Chase

[bold music] Hi there, I’m Lynnette Khalfani-Cox, the Money Coach. If you have a child in college, or maybe even two kids in college like I do, it’s important that
you teach them lessons about managing their money. Having an ongoing
dialogue about budgeting will actually help both
you and your child. Your child will gain some
crucial knowledge about how to manage their money
now, and after graduation. And you’ll benefit by getting
fewer emergency calls for cash if your son or daughter runs
out of money while on campus. So how can you begin the
conversation about budgeting, and what should you focus on? Here are a few key topics. First, start by explaining
what a budget is. It’s a tool to help
your child better manage the money they have, and
what they’re spending. Then, try to build a
monthly budget together, so you can answer any
initial questions. This will also help
set expectations about what you’ll pay for and what your child is
responsible for covering. A budget has two sides – an income side, which includes
things like scholarships and money you plan
to give your child, and an expense
side that reflects the money they plan to spend. This includes upfront costs
like tuition, fees and housing, plus all those other
categories that really add up. Make sure to chat about the
importance of establishing realistic limits when
it comes to things that aren’t necessities. Warn your child against
being overly-influenced by what they see
on social media. ‘FOMO,’ the fear of missing out,
is a real thing. Explain, though, that they may
not be able to buy or do all the stuff they
see others doing. We all love our kids and want
them to be happy and to succeed. By having those
important conversations you’ll help your college-age
child do just that. ♪

2 thoughts on “Saving and Spending for College Students | Chase

  • Looking back on when I was a young adolescent preparing for college, I never sat down and had the conversation about budgeting or learning the importance of money. While I learned
    how to manage money later on in life, I made some financial mistakes that I could have avoided, had we had that talk. These are great tips for both parents and students alike on how
    to make college affordable while simultaneously honoring a budget. Certainly something I will revisit in the near future with my son as we begin exploring colleges and financial aid options. Thanks
    for the helpful video!

  • What an invaluable resource for current and prospective college students and their families, especially as they navigate their finances and options to make the most educated and informed decisions when it comes to paying for college. Given that the student loan debt has exceeded $1.5 trillion, it's no surprise that families are relying heavily on the expert advice of industry leaders such as yourselves. Here at – where we sit at the crossroads between scholarships and student loans – we are wholeheartedly aligned with, and particularly appreciative for your reference to scholarships – free money that does not have to be repaid. Thank you for your succinct and insightful college money management tips!

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