Money, budgeting play key roles in college

Money is a part of college life. Whether students don't have any, work two jobs to get some or badger Billings and Receivables for their refund check, college students and money are always coupled.

According to United College Marketing Service, 8.5 percent of students drop out of college due to money-related issues, ahead of academic failure and all other issues they might face.

A budget is a financial plan that tracks the amount of money that someone has coming in versus the expenses they have going out. The goal of a budget is to decrease the chances of impulsive and unnecessary purchases while reducing debt and increasing funds for the future.

"Cultivating the habit of saving early in life is very important," said Godwin Seshie, associate professor of accounting at Winston-Salem State.

"Even if it is just $10 or a few pennies in their piggy bank, [students should] carry it forward."

Seshie advises learning how to effectively manage money is not something that should be put off for later.

"I budget so that I won't overspend," said Lakesha McNeil, a junior art and computer graphics major from Dunn, N.C.

"It's a growing process but it definitely helps."

The process of creating a personal budget that will work for you is as easy as making a list.

"Prioritizing is key. Students have to ask themselves, Do I need that?'" Seshie said.

He also advises that students make a list of monthly expenses to see exactly where their money goes.

 "It is necessary for students to distinguish between their needs and wants," Seshie said.  

He said that needs can be a tricky subject for college students and can be a hard thing to distinguish. Shoes are not a need. Food, rent, bills and books are needs. It takes a fair amount of self control.

 "It's hardest to budget when it comes to food," McNeil said.

"Healthier food is more expensive so prices tend to fluctuate.

"Wanting more stuff makes it hard sometimes but I have bills so it really comes down to putting needs before wants."