The Irish League of Credit Unions (ILCU) recently published their 2015 ‘Third Level Education Survey'. They asked parents and students about how they plan to meet the costs of third level education.
The results show that 59% of parents expect to get into debt to cover college costs, with €5,030 the average debt per child per college year. The research also shows that parents contribute an average of €453 per child per month, up on last year. With money worries being a big concern for parents and students, we at Skibbereen CU have come up with several tips to help new students to manage their financial needs in this new stage of their lives.
Tip 1: Work out all the new expenses you will have. For many of you, this is your first time living away from home, your first time buying your own groceries, preparing your own meals, paying bills. Without a clear plan in place, you may overspend. It is a good idea to set up a budget to help track your expenses. See our tables below for the average cost of living for college students.
Tip 2: Track your spending and income for a few weeks at the start of the college year. This will give you an idea of your average spending over the year. It will also show you instances where you were overspending and give you opportunities to cut back for the next month.
Tip 3: If you need to borrow, calculate your total borrowing requirement, but don’t draw down the entire loan immediately. This will allow you to maximise your efficiency and avoid overspending. If you are in receipt of a student grant, borrowing each term will also ensure that you need to borrow less.
Tip 4: Always shop around for the best deal. Whether this means doing your shopping in Aldi or Lidl, or buying your textbooks online, it always pays off to look for the best deal. This applies to loans and borrowing too. Always check out the different loans available, the APR and any other charges.
Tip 5: Sometimes, things can be overwhelming and it helps to talk to someone. All colleges have a support structure in place for their students. If you run into any financial difficulties, you can always talk to us at Skibbereen Credit Union.
No Grant Costs
|
Expense |
1 Year |
Calculations |
|
Rent incl. Bills |
€3150 |
€350 a month by 9 months |
|
Student Contribution (Fees) |
€3000 |
Set by government at each budget |
|
Living Expenses |
€3060 |
€85 by 36 college weeks made up of bus €20 food €50 and other €15 |
|
Books, Printing & Stationery |
€290 |
|
|
Total |
€9500 |
All figures averaged from a survey on local college students. |
With Full Non-adjacent Grant Costs
|
Expense |
1 Year |
Calculations |
|
Rent incl. Bills |
€3150 |
€350 a month by 9 months |
|
Student Contribution (Fees) |
€3000 |
Set by government at each budget. |
|
Fees Grant |
-(€3000) |
Paid by Susi Grant. |
|
Living Expenses |
€3060 |
€85 by 36 college weeks made up of bus €20 food €50 and other €15 |
|
Books, Printing & Stationeary |
€290 |
|
|
Maintenance Grant |
-(€3025) |
Paid by Susi Grant |
|
Total |
€3475 |
All figures averaged from a survey on local college students. |
Saving for College
|
Parents need to save… |
Over 18 years |
College Cost For Four Years |
|
|
Cost with No Grant |
€20 X 2 Parents= €40 €40 X 52weeks= €2080 |
€2080 X 18 years = €37,440 |
€38,000 |
|
Cost with Full Non-Adjacent Grant |
€7.50 X 2 Parents = €15 €15 X 52 Weeks = €780 |
€780 X 18 years = €14,040 |
€13,900 |
|
Cost with Just Fees Paid |
€14 X 2 Parents = €28 €28 X 52 Weeks =€1456 |
€1456 X 18 year = €26,208 |
€26,000 |
