The early weeks of college have undoubtedly included new academic experiences, friendships, and routines for your child—and, quite possibly, some new and unanticipated spending as well.
By this point in the semester, parents of first-year students have something they didn’t have on move-in day: actual information about what their child’s college experience is costing so far.
Initial projections and assumptions about college costs can now be, at least preliminarily, replaced with real information. And that makes now a fitting time for a financial check-in.
Steps to consider:
1. Start by taking a look at your original spending plan or budget — if you had one.
And refresh your memory about what you and your child agreed to with respect to spending, and how expenses that fell outside of the primary costs of tuition and room and board would be covered.
2. Examine how much has been spent so far.
The goal is to get clear on the extent of your child’s spending and to see whether it looks anything like what you and your child anticipated before move-in day.
3. Be curious about expenditures.
Seek to determine whether purchases represent necessities or nice-to-haves and look for any emerging trends.
4. Focus on the largest or most recurring expenses — starting with food.
Consider: Is the meal plan you purchased actually being used to its fullest benefit and covering your child’s nutritional needs? After all, the plan you together chose may have looked like a great idea prior to enrollment. But is your student eating in the dining hall as often as expected?
Perhaps the dining hall closes earlier than their schedule (or their social life) does. Or maybe their classes begin at an hour when there’s not enough time to stop for breakfast.
Perhaps grocery delivery services, pizza after hours, coffee runs, and/or meals out with friends have gradually become part of your child’s college routine. Those expenses can add up quickly, especially when you’re already paying for what you thought would be a comprehensive meal plan.
And when dining out with friends, see if you can determine whether your child is splitting group restaurant tabs equally versus getting their own separate check and paying only for what they ordered. Remind your child that it’s easier to control spending when they’re covering the cost of their own meal alone – especially when others are ordering higher-priced options.
Depending on what you learn about food expenditures, next semester’s meal plan may need to be adjusted, if the school permits a change during the academic year.
5. Identify other major expense categories, such as transportation.
Consider: Is your child regularly spending money on car services? Are cars being used to get to an off-campus job, internship, or other activity? Is your student relying on car services to get home safely when out with friends and splitting the expenses with fellow passengers? Does their school offer complimentary forms of transportation that students can rely on? Lastly, is your child making weekend trips home or elsewhere that are adding up?
Depending on what you determine, you may want to consider including a line item in the college budget for transportation expenses, if possible, or offer your child some suggestions for managing these types of costs.
6. Don’t overlook campus activities or organizations.
Extracurricular activities can be an important part of a student’s adjustment to college life. Did your child sign up for a club, intramural team, musical group, or other activity that comes with participation costs? Are they considering a sorority or fraternity that carries expenses of its own? These types of expenditures will need to be discussed and accounted for going forward.
7. If you didn’t have the “money talk” before college drop-off day, now is the time.
At this point, a review (or re-review) of available family resources, along with a clear discussion of who is expected to cover various expenses, can help set expectations for the remainder of their first semester and the entire school year.
The goal isn’t necessarily to eliminate unanticipated expenses, but to understand the “why” behind them, plan for them, and make thoughtful adjustments where needed.
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