UNIVERSITY PARK, Pa. – Happy 2015! It’s the time of the year for students to make reflections and look ahead. Business Liaison Librarian Lauren Reiter has some advice to share with students on how to make financial resolutions for the new year.
Reiter, who graduated from Ohio's Kenyon College with an English degree in 2007, said she wishes she had learned more about personal finance as an undergraduate student.
“When in college, many students avoid thinking about student loans and personal finance because they think those are some things that can be dealt with later, ” she said. “But starting early in college can be really beneficial to your life after graduation.”
Reiter offers some advice for New Year’s Financial Resolutions for students:
1. Keep track of your student loans on the National Student Load Data System.
“This is a great tool providing an integrated view of your student loans and grants,” Reiter said. “Knowing about your current standing is essential, as it can help you to set up goals for the new year.”
2. Reflect on your personal spending and earnings in the past year.
“Reflecting on the past year helps you learn about financial patterns of your own,” Reiter said. “Identify challenges for yourself and start to think about different ways you can overcome them in 2015.”
3. Set up priorities and identify your needs and wants.
“It’s also important to set up your priorities in your spending. Do you really need to get the chocolate bar in order to concentrate on your study, or is that not something really necessary?” Reiter said. “Ask yourself questions like that and differentiate your needs and wants. It all comes down to learning about yourself, as everyone holds different views on life.”
4. Create a budget and plan ahead.
“Creating a budget and making plans ahead is always an important step in personal finance,” Reiter said. “Following your budget can be challenging, but it is always a great reminder for yourself when you make decisions later on. Additionally, always leave room for things unexpected. We cannot plan for everything. It’s always good to have backup plans to avoid unpleasant surprises.”
Daad Rizk, Penn State’s financial literacy coordinator, also advises that Penn State students and their parents complete the FAFSA (Free Application for Federal Student Aid) early in 2015. This will help with budget planning since the best time to review a budget or create a new one is immediately after reviewing your finances for the prior year.
5. Research about financial aid and scholarship opportunities.
“Penn State provides a wide range of financial aid and scholarship opportunities in different colleges. It’s important to recognize the resources out there for you,” Reiter said. “Also, do your own research to find those opportunities outside. I’ve heard of financial aid for left-handed people and people with certain heights. It never hurts to take an extra step and apply for those opportunities.”
6. Get a part-time job, but maintain work-life balance.
“Getting a part-time job is what a lot of students will opt to do. And there are a lot of on- or off-campus opportunities,” Reiter said. “But again, learn about your own limits and don’t overload yourself. It’s more important to budget strategically.”
7. Know your resources.
Reiter encourages students to take advantage of resources at the Student Financial Education Center (SFEC) in 309 Paterno Library. Launched in January 2014 through the partnership between University Libraries and UPUA (the University Park Undergraduate Association), SFEC provides peer-to-peer mentorship and resourceful workshops on personal finance for students.
“Peer educators are always willing to help,” Reiter said. “When you are facing any financial obstacles, it’s always helpful to talk with someone who will go over everything with you. Don’t be afraid to reach out.”
MoneyCounts: A Financial Literacy Series
This series is a collaboration between the Commission for Adult Learners and University Libraries. Pizza, veggies and drinks or other refreshments will be provided for all programs. The series has a full schedule for spring 2015:
— Wage and Tax Fundamentals, presented by Dr. Daad Rizk and Dr. Cathy Bowen from 5:30 to 6:30 p.m. Wednesday, Jan. 21, in the Mann Assembly Room, 103 Paterno Library
— FAFSA & Scholarships, presented by Dr. Daad Rizk from 5:30 to 6:30 p.m. Wednesday, Feb. 18, in the Mann Assembly Room, 103 Paterno Library
— Spring Clean Financial Clutter, presented by Dr. Daad Rizk from 5:30 to 6:30 p.m. Wednesday, March 4, in the Mann Assembly Room, 103 Paterno Library
— What is Financial Literacy?, presented by Dr. Daad Rizk from 5:30 to 6:30 p.m. Wednesday, April 22, in the Foster Auditorium, 102 Paterno Library. This program will be broadcast on the University Libraries’ MediaSite Live.