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ApplyWise CEO Katherine Cohen on how parents can better educate their children about personal finances and budgeting before they head off to college.
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In focus tonight freshman financing 101 skyrocketing tuition costs are one thing but how much else -- you know spend when you send junior to school.
We've got you covered with crucial budgeting to QE their college student should know before his or her first day joining me now capturing telling the founder and CEO of apply -- -- And online college admissions counseling program -- are welcome to the show.
I and he -- you look at these numbers college costs tuition and fees even if you get a a public school started 8200 dollars.
How much money should you be sending with junior hopefully it's gonna have some money of -- zone.
Well as hard to say exactly what -- student is going to spend but I tell families to budget for about 10% more than the cost of tuition.
Because they're gonna have activities or transfer Payer and pizza -- access.
-- areas of self but on the all those things that they are not covered in tuition room board -- -- they think she can do Smart things you can do with your money some tips here.
For these kids because look what a lot of them are not financially savvy let's face it.
There are and then the biggest tip is live like a student bigger -- you live.
Like you have a full time salary when your student.
You're gonna live like a student when you have a full time salary so first thing to think about box books are very expensive.
You can get used books and you can buy them on on -- Amazon.com.
Half dot com and check check dot com lots -- different places where you can do that.
I also when I talk to my college student's apartment -- waking up for practice Frist.
You can opt for cheaper meal plan is still want to eat breakfast -- keep some cereal in your rooms.
Great way to cut -- Artist this I mean if you just really sit down and think about it.
He knows what it's an interesting stats on the financial literacy.
Of people in this age group and I have to tell you it's it's not really impressive I'm sad to say.
Fewer than half of states make high school students taken economics class only 13%.
Awful.
Offer personal finance classes.
We -- lot of cases it's just that kids and never been exposed to handling money and the first time they do it for themselves is when they're away from home which is a recipe for disaster.
It is it's it's fun -- actually teaching my five year old right now you can teach financial literacy models that -- spend save share model.
You can teach at very early on but mostly students IC.
It's the first time -- that they have a check -- -- first time that they have their own credit card.
So it's important sit down with with their parents parents and students together and talk about what that budget is.
But there's a lot of technology that they can use these -- online to keep track of what they're spending whether it's credit card.
Or cash you can use mint dot com there is on -- reconcile all on there's ex expenditure.
Money but there's tons of -- that is the big question though that I think so many people have never really resolving use today.
What's mom and dad paying for what is the student paying for.
That's great question and I think parents -- to sit down before you go off to college and figure out.
Will who's gonna pay for what and we Tulsa insults with a great time to get a part time job.
Mean they're not gonna cover the cost of tuition.
-- even if they're doing a work study program either on -- off campus and maybe even being sitting.
Professors kids.
Earn some extra money to pay for some of those expenses yourself as a student amen and amen to that England don't tap your retirement for your kids' college that's what I think.
Catherine thanks for coming on tonight really appreciate your time thanks for having me we'll -- right.
