Navigating college finances: The importance of financial literacy

Managing money can be a challenge for college students, but financial literacy is key to setting a strong foundation for the future. To provide students with guidance on their financial future, TRIO Programs partnered with SEMO’s Student Financial Services to host a workshop focused on financial literacy.

On Tuesday, Oct. 15, in Kent Library, the two programs partnered to offer resources on a multitude of subjects, including budgeting, understanding financial aid, investing and more.

Director of the TRIO Program Valdis Zalite emphasized the importance of staying aware of personal debt and managing finances carefully.

“The main tip is to be aware of your debt. Keep track of where you’re at, so you know how much debt you are carrying, and understand that at some point, that debt will need to be repaid. Another strategy students can take on is that if you know how much debt that you’re carrying, and it frightens you because you know you will be repaying it, you may be less likely to borrow more than what you need,” Zalite said.

Another key to financial success is maintaining a budget. One way to keep track of a budget is to create a spreadsheet. Students should review their income and allocate funds for essential expenses, such as rent and tuition. Identifying what you need to pay for the month and ensuring you have enough set aside is the best way to stay on top of your expenses.

College students should also focus on balancing wants and needs. Zalite said prioritizing financial needs can help students become more financially responsible.

“The core part is realizing that while you’re in college, your wants may have to take a backseat for a while, and you may have to focus solely on needs,” Zalite said.

Focusing on needs over wants is crucial for students learning to manage their finances.. However, many still fall prey to common misconceptions about their money. Zalite noted one common misconception is that there aren’t people on campus who you can ask for help.

“The largest misconception is that you can’t find people on campus to ask for help with budgeting and planning out a budget. It can be a faculty member, or financial aid. But asking questions, asking about a budget, it is really important, and you can get help from a lot of people,” Zalite said.

Students unsure of where to turn can utilize Student Financial Services, which offers assistance with budgeting, financial aid and filling out the FAFSA.

Additionally, students can take advantage of budgeting apps, such as “NerdWallet,” “Rocket Money,” and “Credit Karma,” which are available on mobile app stores and can offer valuable resources for managing your finances.

The financial literacy workshop, presented by TRIO and Student Financial Services, provided students with insights into managing their finances, both now and in the future. With access to campus resources, students can build strong financial habits that will benefit them long after graduation.