How to manage money as a student in Canada
How to make money as a student
Here are some ways you can earn some money on the side while juggling at school.
Take a part-time job
One of the most common ways to get extra money is through a part-time job. Consider working in retail, a restaurant, or a seasonal job that allows you to work at a tourist attraction or resort. A summer job is a great way to gain professional skills while enjoying your free time and a lighter course load.
When I was at university, I worked on campus as a teaching assistant and research associate. This was a convenient way for me to earn extra money between classes so I could pay my credit card bill each month and have a night out with my friends – without worrying if I could afford it.
Sign up for a cooperative or an internship
Enrolling in a program that offers a paid internship or co-op is a great way to gain work and industry experience and make some money.
what’s more These types of co-ops can often pay more than minimum wage. The average co-op salary in Canada is $12,400 per semester – a win-win situation. Be prepared to pay a co-op fee. Depending on whether you are a domestic or international student, the number of internship semesters, and the year you enter the program, the co-op fee can range from $485 to $1,063 per internship semester. This helps cover the costs of running the program, including helping students find jobs and prepare for job interviews. The amount you earn while you work will more than make up for it.
Plus, add this experience to your resume to set yourself apart from the competition once you graduate and launch your career.
Apply for scholarships and fellowships
Let’s not forget about the scholarships and fellowships that you may be eligible for. There are countless opportunities to apply for financial aid each year and you can receive hundreds to thousands of dollars to pay for tuition. It can be really worth applying if you meet the criteria, which can be based on academic achievement and/or community involvement.
Do your research to find out which ones you qualify for and which are most likely to be granted. Make sure to submit your application before the deadline. Getting this funding allows you to manage your student loan debt so you don’t have to worry about extra shifts at your part-time job.
How to save money as a student
Regardless of how much income you earn, follow these steps to boost your savings.
Save money from your paycheck
A good habit is to stash money from each paycheck. This can be difficult as a college student since you’ll most likely have limited money to start with, but if you can set aside even $25 a week, you’ll have saved $1,300 in a year.
Save your small change
One way to save money effortlessly is to use a Roundup app to help you meet your savings goals. This gives you the ability to round up your purchases to a specified dollar amount and put that “gap money” into a savings or investment account. In Canada, fintech companies like Koho, Moka, and Wealthsimple offer this type of service. It’s also fun and motivating to watch your money grow.
Open a high-interest savings account
What to do with this saved money? Today, High Interest Savings Accounts (HISA) are back on the scene with some decent offerings since the Bank of Canada (BoC) hiked interest rates. It is suitable for those who want to grow their money over time. Looking for the best high yield savings account in Canada? Learn more about which account is best for you.
Benefit from the tax-free savings account
Another option is to put your savings into a Tax-Exempt Savings Account (TFSA). You are eligible to open this type of account if you are Canadian and over the age of 18. This year’s contribution limit is $6,000. To calculate your lifetime contribution space, try our TFSA contribution space calculator or visit the Government of Canada website.
Did you know that a TFSA isn’t just used for saving? You can also use it to invest your money e.g. B. buying an index fund or a guaranteed investment certificate (GIC).
How to budget as a student
There are undoubtedly many tempting things that you want to put in your cart when shopping. With so many social media influencers and celebs sharing their favorite products, it’s easy to get tempted to own what they’re selling you. So if you find yourself depleting your credit card each month, then take a step back and see what adjustments you can make to curb your spending. Which is very nice to understand…
What are your needs versus your wants?
One way to keep spending under control is to separate your “must-haves” from “nice-to-haves.” A “need” is something that is essential to you, such as: B. Groceries to prepare meals for oneself, while a ‘wish’ is something one would like but can wait to buy, such as: B. a brand new watch. The next time you’re deciding whether to buy an item you want, ask yourself these questions: