Respect Your Financial Health When Budgeting for College

(NewsUSA) - As students arrive on college and university campuses, most families still need to establish a good budget strategy for the school year.

"College students and parents tell us that it is difficult for them to correctly estimate the total cost of college," said Patricia Nash Christel, spokeswoman for Sallie Mae, the nation's leading saving-and-paying-for-college company.

Some tips to keep in mind when creating a college budget include:

- Think beyond tuition. The cost of attendance varies by school and location, so the best way to start is by using Sallie Mae's comprehensive Education Investment Planner, available at www.SallieMae.com/Plan, which will help you estimate the total cost of attendance, including average room and board, tuition and estimates for books and other fees.

- Perform an honest assessment. Conduct a straightforward accounting of your current spending habits and lifestyle. Don't forget to take into account expenses like entertainment, food, clothing and car-related expenses.

- Evaluate additional expenses. Remember personal, transportation and miscellaneous expenses. College Answer (www.CollegeAnswer.com) has a list of additional indirect expenses to keep in mind.

- Consider your health. Most colleges require students to carry health insurance, and some institutions may require students to buy on-campus care even if the student is already covered.

- Continue saving. It is never too late to save for college using a tax-advantaged 529 college savings plan. Even if college has already commenced, families can continue saving to help students afford subsequent years of school while potentially taking advantage of tax benefits. By enrolling at Upromise.com, families can earn rewards on purchases made at nearly 70,000 places. Accumulated rewards can then be used for college expenses.

- Be book-savvy. Used books are in shorter supply than new ones, so do not wait until the last minute to make your purchase-just be sure to get the correct edition. You may also find your books at cheaper sources such as off-campus stores or the Internet.

- Use credit with caution. Not every student needs a credit card. You may find that a check card tied to your bank account will meet your needs and keep non-essential purchases in check. Students often opt to use credit cards for convenience and inadvertently end up paying interest on their pizza or concert ticket.

"Article By: NewsUSA"