In this blog, you will be able to find out the Financial Planning for Studying Abroad strategies that will help you achieve your goals of studying abroad without running into a financial crisis.
Are you someone who is looking to study in top international universities globally and looking for Financial Planning for Studying Abroad?
Overseas education is a dream for several students as it broadens their Horizons and equips them with a larger perspective. It opens new doors for the students to explore out of the box. Certainly, Overseas education is beneficial for the career, but still, there is a question that needs to be addressed whether a middle-class scholar can get there and live his dream.
According to the stats, the number of students who are studying abroad has significantly increased as per the Education Ministry of India. It has broken the records of the past 6 years in 2023 with over 7.8 lakh. To provide financial aid to international students, the government has provided several scholarships. But there’s still a need for advancement where every learner can avail of this opportunity. Thus, this is the point where financial planning becomes relevant.
Smart financial planning is when a person can assess their current economic status to find out where they want to be in the future and build a plan to achieve it. In this blog, you will be able to find out the strategies for financial planning that will help you achieve your goals of studying abroad without running into a financial crisis.
10 Strategies of Financial Planning for Studying Abroad:
To get a better clarification for the same, let’s reveal some Strategies and secrets for financial planning when studying abroad to understand the subject much better.
1. Plan Your Finances & Make a Budget:
The foundation of a great financial plan is detailed preparation and budgeting. Here is what you will need to create a comprehensive financial plan by sitting down with your parents before embarking on your journey to study abroad. Consider tuition fees and living expenses, transportation costs, pocket money, and accommodation expenses. Do not forget to look into the inflation rates and exchange rates if you want to get a realistic picture of your financial needs. Preparing a budget can be a yardstick that will help you track all your expenses and prevent over-expenditure situations.
2. Local Bank Account:
Living in foreign countries requires managing finances. To manage the expenses while studying abroad, one needs to have a bank account. Whether you want to keep track of expenses, pay fees, or receive funds from home, having a bank account is beneficial in all scenarios. As a result, the account can help you avoid several additional expenses, such as transaction fees, receiving payments from employers while working part-time, and many more.
3. Create a Savings Plan:
Warren Buffett once said, “Don’t save what is left after spending but spend what is left after saving”. For a successful student, this should be their Mantra for attaining their goal. Therefore, scholars always plan their savings as well as create income plans to repay the education loans on time.
4. Repayment Strategy:
If you have decided to take out an education loan to study abroad, then you might feel pressure. Make sure that you have a proper plan for repayment before everything falls due to the financial burden. However, student loans come with a grace period after graduation during which no loan represents are required but one should always remember that it is not an interest-free period. So, a student should always be concerned about their repayment strategy.
5. Shop During Sales to Minimise Expenses:
Retailers frequently offer discounts on sales of various items throughout the year. Remember to be patient on your purchases and wait for the sales season to purchase commodities such as laptops, electronics, and clothing. By opting for this approach, you can significantly minimize the overall expenditure.
6. Use Student Discounts & Benefits:
International students can often have certain benefits. They can use discounts to pay less for goods and services. Remember to always carry your student ID with you while going to museums, Cinemas, restaurants or just taking public buses. Any single discount may seem small but they can add up to a significant amount over time.
7. Take an Education Loan:
One of the most popular and useful ways to finance international education is to take an education loan. Look for the various financial lenders for Overseas education loans compared to their interest rates or opt for a loan with favourable repayment terms. Several countries provide education loans to manage finances for international students. These student loans offer a competitive interest rate and flexible repayment options. Number to borrow what you genuinely need and manage financial responsibility because non-payment can lead to a bad credit history. To simplify the process of taking a loan, you can approach education loan consultants to streamline the comprehensive student loan procedure.
8. Find an Affordable Accommodation Option:
Living expenses, especially accommodation costs, can have a big influence on your budget. Find cheaper living alternatives such as shared accommodation with fellow students or university dormitories. Some colleges provide accommodation assistance, which could help them to save costs for international students. Furthermore, consider a bit of living away from the city as runs tend to be more affordable on the outskirts. Thus, you can save a lot of money by choosing an inexpensive lodging option.
9. Get a Part-Time Job:
Getting a part-time job is an excellent way to earn additional money abroad while studying. Part-time jobs pay you well, so you may recover your Living expenses. You must strike a balance between your work and Academics so that everything can go in a straight line.
10. Avoid Eating Out, Cook Your Meals:
Retreating to a restaurant for food may drain your finances. Remember to always try to have home-cooked meals or lunch whenever possible. Cooking is a fun experience; every student must allow themselves to explore healthy options, saving at the same time.
Key Takeaway:
With the implementation of these stated financial planning strategies, you can easily pursue your dreams of international studies while managing your finances wisely. Always remember that discipline, budgeting, and making informed financial choices are the key parameters to enjoying a successful experience as an international student. With meticulous planning, you will have an exciting journey abroad with a peaceful mind and the confidence for a brighter future.
FAQs
Ques.: Which is the cheapest country to study abroad?
Ans: As per the cost of living, Germany, New Zealand, France, Ireland, Singapore, and the Netherlands are the cheapest countries to study abroad.
Ques.: Where can I utilise student discounts?
Ans: Remember to always carry your student ID with you while going to museums, Cinemas, restaurants or just taking public buses to take advantage of student discounts.
Ques.: Will a part-time job help to manage the expenses?
Ans: Yes, part-time jobs can help you to earn additional money abroad while studying. Part-time jobs pay you well so you may recover your living expenses.
Ques.: What are the basic expenses to consider while studying abroad?
Ans: The normal expenses that need to be covered with studying abroad for international studies include living expenses and tuition fees.
Ques.: Can an international student get a credit card?
Ans: If you have an account in the local bank, then you can get a credit card. Make sure to spend wisely.
UNIFOEDU experts help students to plan their expenses cautiously.