Skip to main content

Planning your money for the future

Whether you are moving on to the next year of your course or graduating from University there are a lot of things you can do to get your money ready for the future. See our top tips below!

Continuing Students

Accommodation
Moving from halls of residence to privately rented accommodation may mean that you pay utility bills for the first time and working out who owes what and when between your housemates can be confusing! Save the Student has a great guide to setting up, comparing and splitting your bills. If your house is occupied by only students you won't have to pay Council Tax but your local council will usually need proof of this which you can get from Student Reception at Senate House. For more information have a look at our 'Housing and your Finances' page.
Year abroad

If you are planning to take a year abroad it's a good idea to ensure you have worked out your finances before you go. The cost of living can be very different abroad so make sure you know what your average expenses will be by checking numbeo.com. Remember that you will need to budget for travel to and from your chosen country and possibly extra costs such as visas and vaccinations. You could try Skyscanner's tool to find out when is the best time to book your flight to save you money. Have a look at our Study Abroad Factsheet for more ideas on how to work out your money for your year abroad.

Savings

Saving whilst being a student can seem difficult but you don't have to put a lot away, small amounts can add up too! You could try one of our savings challenges and in a year save up to £650! You can save money in lots of different ways, it can be as easy as putting your small change into a piggy bank, but if you are considering opening a savings account make sure you have a look at the Money Advice Service's top tips for choosing a savings account. Money Saving Expert also has a great guide to different types of savings accounts and the best ones available at the moment.

Final-year Students

Pensions

Getting a pension may seem unnecessary when you get your first graduate job when you are not going to be retiring for another 47 years, but it's never to early to start saving for retirement! The really good thing about a pension is the money you pay in is tax-free and from 2018 all employers have to contribute to their employees' pensions by law, so essentially you are getting a pay rise that you are saving for the future. Pensions can seem a bit confusing but Money Saving Expert have a really good pension guide to get you started.

Student Loan Repayment

Your student loan repayments begin in the April after you have completed your course but remember you will only start repaying if you are earning over the threshold. From April 2019 this will be £25,725 but the government announced their intention to increase this with average earnings so it may be slightly higher than this when you enter repayment. Once you start repaying, you pay 9% of anything you earn above the repayment threshold. Remember, if you decided to work abroad or for your self after you graduate your repayment will work slightly differently. You can find out more on the Student Loan Repayment website.

Graduate Bank Accounts

When you graduate your student bank account will switch to a graduate account but, it is often a good idea, to shop around for a new bank to get the best deal. Many banks will offer 0% interest on an overdraft for the first few years of the account to give you time to reduce your overdraft once you start earning. However, if you have managed to stay out of your overdraft and will be in credit when you start your graduate job it is better to look for an account which offers perks such as cashback or travel insurance. See Money Saving Expert and Save the Student for their guides to the best graduate accounts in 2019.

For more top tips and guides to planning your money for the future see our Student Funding Pinterest board!