Saving Money on Textbooks

Required textbooks and lab supplies can cost anywhere from a couple hundred dollars to thousands per semester depending on the books and where they are purchased. Campus bookstores usually offer the best selection, easy returns and exchanges, and the convenience of buying books that were ordered directly by the professors who are teaching the classes, but it’s true that students pay a premium for this convenience and service. A number of online options are available and although students can save anywhere from 25-85 percent on the cost of textbooks from these sites, they need to be aware of common problems students encounter when buying online.

Sites like Textbooks.com, Bigwords.com, and of course Amazon.com do a good job of providing the most commonly used college textbooks, but most students will not be able to buy all of their books from only one site. Students who want to save money by buying online need to shop around a lot and make absolutely sure they are buying the correct books and editions for their classes. To avoid common snags students should:

 Make sure they are ordering the correct book by the correct author(s)

Confirm the edition numberConfirm the ISBN, or International Standard Book Number. This is a unique 10 to 13 digit number usually found on the barcode on the back of the book.

Confirm that the book is in the correct language. Many books have several editions in several languages.

Only buy from a reputable site and understand the return or exchange policy before buying.

Many campuses also have textbook swap meets or exchanges or may offer the book on reserve in the library. Although I’m a big fan of students getting whatever they can for low or no cost, freshmen especially need to start their first semester with all of the correct books for all of their classes in hand. After the first semester, they can decide if they prefer to buy on campus, online, or at an exchange. 

“Miscellaneous” Expenses and Spending Money

When it comes to spending money parents often ask me the same question. “We know how much tuition and fees are, but how much should we budget for miscellaneous expenses and spending money?” This is one of the easiest and hardest questions I’m asked. The easy answer is “It depends.” the hard part of the answer is that you will have to sit down with your child, and help him work out a very specific and realistic budget, taking into account his lifestyle choices, cost for travel and a modest emergency fund for medical bills, prescriptions, and car repairs, if he’s bringing a car to campus.

On any given campus there may be students driving $40,000.00 Lexus SUVs and carrying $1000.00 designer handbags while there are also students who ride bikes everywhere and carry their books in the same backpack they used in high school. All these students attend the same college, same classes, and will earn the same degrees, but they all have different lifestyles.

Clearly, the Lexus driving student will have a very different lifestyle from the student who rides a bike everywhere. The “miscellaneous” expenses for the Lexus driver will likely be much higher because of her lifestyle choices. Make no mistake about it; maintaining a certain lifestyle is a choice. Even if your child is used to spending a lot of money right now, at some point he will have to learn to live within a budget, big or small. As you probably know, it is easier to learn this reality in college than it will be any time in the future.

If you haven’t had the “money and budget” discussion with your child, you need to do it during the summer before he starts college then, review the budget immediately prior to move-in day and then, re-evaluate the budget about half way through the first semester or if unforeseen financial problems arise. Your child will learn from you, through this process, that budgets should always be planned even though they will change and need adjusting.

If you have always been the person who buys food, clothing, and personal care items for your child, he may be surprised by how much these things cost. It will be virtually impossible for him to set up a realistic budget if he doesn’t know how much everyday items cost. This is when it’s helpful for your child to actually go to the store with a reasonable amount of cash to shop for everything from food, to toothpaste, to cleaning supplies.

Having your child evaluate his current needs and spending patterns in this way is the best method for him to estimate what he will spend on miscellaneous expenses while in college. If your child has become accustomed designer labels and the latest trends in electronics, you can be fairly certain that his tastes won’t change drastically, but he can make small changes that will, over time, save big money. Switching to shopping at discount stores, thrift shops and sales can save a lot, as will limiting spending and only shopping for specific items instead of shopping for recreation. 

Things They Need To Know Before They Go - 2

·               The value of a dollar – I’ll talk more about this at length in later chapters, but if your child has never had a job or had to use his own earnings to pay for basics such as clothing, shampoo, and cold medicine. This is the best time for him to learn about the value of a dollar. Don’t buy supplies for him, but instead insist that he write a list of items he expects he will need, visit the store to find out how much these things actually cost, and then, send him to the store with the list and a tight budget. He will quickly learn how to economize and prioritize needs versus wants.  He might even discover that store brands usually contain the same ingredients as name brands and cost much less. 

Talking About Family Finances With Your College Student

When I was a child people didn’t talk about finances or how much they earned. I never asked my parents what they earned because I knew that the subject was taboo and there was no point in asking a question to which there would be no answer. My only reliable gauge of whether or not they were having financial trouble was how often they argued about money, and how nasty the arguments got. In short, I knew nothing about my family’s finances except that the lack of money caused arguments and family-wide tension. I tell you this because if you are of my generation and are sending your child to college right now you may have had a similar experiences growing up, and if your own child doesn’t know how much you earn or where that money goes, you need to have a frank discussion with him before he starts college.

This discussion is important for two reasons. First it expresses to your child how much you have to work to provide for the family and second it helps him understand his piece of the family’s financial pie. When I talk to college parents each summer, I cover this topic briefly and when I do, the audience grows tense.  While I understand the desire to take care of the tuition and fees for your child so he can focus on academics instead of money, it doesn’t mean that your child should remain in the dark about where the money comes from and how it's used.  

1. Discuss the college financing puzzle with your child. It’s rare for families to be able to pay cash for tuition, fees, room, board, books, and spending money. Even students from families that have saved diligently will still need to seek out scholarships, part time jobs, or maybe even loans. Sometimes tuition and fees are paid from a 529 plan, while room and board are paid off monthly through a payment plan, and grandparents may send some cash to cover books or spending money. Most families collect funds from a variety of sources and have to assemble the college financing puzzle a little differently each year. Make sure your student understands this puzzle and actively helps you build it.

2. Talk about how he can help. Part time or summer employment, scholarships, student loans, graduating in 4 years, living frugally while in college; all of these are ways that parents hope their children will help them afford college, but we don’t always clearly express these expectations to our children. I have numerous conversations with parents halfway through each year in which they explain that they assumed their child would find a part time job to help pay for spending money and books. Unfortunately, the child was unaware of this assumption and never bothered to find a job. Instead, he’s used an entire year’s worth of spending money in four months. If you expect your child to live within a set budget or bring home $80.00 per week to reimburse you for his meal plan, tell him. Be clear and give him exact numbers so he knows that not only will he need to find a job, he’ll need to find one where he can earn at least $80.00 per week after taxes.

3. Plan for family financial emergencies. Having worked with college parents for nine years I’ve seen a lot of families go through a lot of financial problems. While there are some sad but rare occasions when a parent uses funds from a PLUS loan for a personal shopping spree or vacation, most of the time financial emergencies happen because of job loss, illness and medical bills, or divorce. Your child deserves to know what your plan is in case these situations arise and it’s beneficial for everyone to work out a strategy to try to keep your child in college. This may mean that your child switches to part time status, transfers to a college near home, or has to take out a loan. Keep in mind that the goal of earning a college degree doesn’t have to change, but the strategies used to achieve that goal may.