A college education is not just something that happens in classrooms, discussion boards and labs. College can be a major lifestyle shift which brings a range of new responsibilities and learning opportunities. For many, it means budgeting your time and finances carefully to balance all these responsibilities.

While your goal is first and foremost to get an education in your chosen major or field, it’s also important that you move toward understanding your financial situation both in the present and where you expect it may go in the future. In this article, we explore the importance of financial literacy for college students, whether you’re just starting out or going back to school.

Financial Literacy in the Spotlight

There has been significant scrutiny on the financial habits of college students because of the growing focus on student loan debt. Public and private organizations, as well as colleges themselves, have invested in empowering students with resources to help them budget, plan and make choices that will help them get the most out of their studies without major financial pitfalls.

This issue is supported by research and surveys, which showed that while 60% of students planned to take out some form of loans, only 15% felt they had the knowledge or resources to deal with that debt in the future. Meanwhile, less than half of students surveyed reported taking a financial literacy course or creating a personal budget. Even more revealing is the finding that only slightly more than half of the survey respondents said they were in the habit of regularly checking their bank account balance.

Common Financial Literacy Issues and Resources

Spending time on improving your financial literacy may seem like adding just another item to an already-long to-do list, but being proactive can prevent common pitfalls like unexpected debt and poor budgeting. By investing a little time now, you set yourself up for financial confidence, stability, and ultimately, less stress.

How do you pay for college?

Research shows that cost is the biggest obstacle people identify when asked why they can’t or won’t attend college. However, a great many prospective students are also not familiar with the numerous options available to them, both in terms of funding sources as well as alternatives to traditional in-person studies. Here’s a useful guide for people considering college or a return to their studies: How Students Pay for College: 7 Ways to Consider.

How do you obtain financial aid?

Another aspect of college enrollment and funding that students can find daunting is financial aid. Your eligibility depends on a number of factors, including your or your family’s income, your academic history, and the schools you’re hoping to attend.

In addition, there are several rules and stipulations which govern how your aid can be used. Because misusing these funds can result in them being reduced or revoked, understanding federal aid, grants and other forms of aid is an important element of student financial literacy. Here are some additional resources for anyone looking into applying for financial aid:

Am I Eligible for Financial Aid?

Financial Aid for Your Online Degree Program: How Does It Work?

What Can Federal Student Aid Be Used For?

What are the advantages of an online degree?

One of the most significant effects of the COVID-19 pandemic for many was the forced move to online learning, which opened the eyes of many current and future students to the viability of hybrid or fully-online education. This has dovetailed with the issue of loans and finances, as many online programs are more flexible than the standard programs offered by traditional universities. This flexibility could:

• Allow students to study on a timeframe and budget that fits their needs.
• Help people who already have jobs seek higher education.
• Help higher education become more attainable for potential students.

While online programs may not fit the mold of a typical college experience, they allow people who live far away or even out of state to study at an accredited university without the commute. Here are some resources with information about the financial advantages of pursuing an online degree:

College Expenses: In-Person vs. Online

How Much Does Online College Cost?

Affordable Education Options at CSU

Here at Columbia Southern University, we believe in transparency in college costs, and that’s why we launched a cost comparison calculator for online degree programs around the country. In addition to their affordability, our degree programs were designed to help you earn your degree in your chosen field at a pace that makes sense for you. Our online classes allow you to pursue your degree while giving you the time you need to work and meet your other responsibilities.

As an accredited university, we’re focused on empowering our student body not just with a high-quality education, but with actionable information and tools to help them understand the financial implications of the program they choose. If you’d like to learn more, visit CSU’s online degree programs page.

Multiple factors, including prior experience, geography and degree field, affect career outcomes. CSU does not guarantee a job, promotion, salary increase, eligibility for a position, or other career growth.

Columbia Southern University is accredited by the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC) to award associate, baccalaureate, masters, and doctorate degrees and certificates. Questions about the accreditation of Columbia Southern University may be directed in writing to the Southern Association of Colleges and Schools Commission on Colleges at 1866 Southern Lane, Decatur, GA 30033-4097, by calling (404) 679-4500, or by using information available on SACSCOC’s website (www.sacscoc.org).