Tips For Saving Money While Studying Abroad

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So you are finally set on studying abroad! First of all, congratulations! Studying abroad will be one of the most exciting, rewarding, and fulfilling experiences you will ever have in your college venture, or in life as a matter of fact!

Now comes the not-so-good news … the money issue.

I love studying abroad (I am currently spending six wonderful months studying in Denmark), but I have to say, it is a real strain on your wallet if you do not plan accordingly. I received some financial aid from school, some grants, a scholarship, and took out a loan to afford this trip … but a lot of the money I am spending while in the country will come out of my own pocket!

The loans and financial aid are mostly to cover my housing, plane ticket, and school tuition for my university; the rest is up to me (and partially my parents). So working out how to spend your money wisely is not only a good idea, but a necessity!

So here are a few tips I have for you on how to budget and how to spend your money wisely while abroad.

1. Have a conversion calculator handy on your phone.

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When you study abroad, you will need to convert your dollars to whatever local currency your stay country uses. Carrying around cash will always help you save money since you can physically see what you are spending! But since it is a foreign currency to you, actually understanding how much you are spending will be difficult in the beginning.

So without having to bust your brain over the conversion rates, there are plenty of phone apps out there that perform the conversions for you (some don’t need to use your data!).

I like using the app My Currency Converter; it has almost all currency options to choose from and is super easy to use!

2. Avoid using a credit card as much as possible!

To go along with the point above, PHYSICAL MONEY IS KING! It forces you to budget since you have fixed amounts of money to spend and helps you better understand the conversion rate of the country. Credit cards are good if you do not have the cash available, but you are more tempted to spend blindly.

Additionally, you have to pay that credit card at some point and charges can sneak up on you at the end of the month.

3. Cook at home.

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When you first arrive at your stay country, it will be all too tempting to go out every night and try the local cuisine … however, this is not too good for your budget. I have found after staying in Denmark a few months, even locals find eating out ridiculously expensive!

Instead, enhance your cooking skills and save your money by cooking at home as much as possible. This will save you a ton to use on other things (like traveling!).

4. If you’re in a hurry, eat at your university.

For those early morning classes (or if you overslept), you just don’t have time to cook. As an alternative, check out your university’s cafeteria! In a lot of European countries, and Asian countries as well, universities are mostly funded by the government … and this includes the food as well.

Most public universities offer low-priced and delicious food in their canteens (aka cafeterias) that are usually native to your stay country. It is a great way to not only save money (as opposed to eating out at a restaurant), but also is a great way to experience new foods!

5. Pre-drink at a friend’s house or your place!

Now, I am not saying you cannot go out to bars at all, but save yourself some money and pre-game! This is a great way to have a more intimate setting for you and your friends, instead of yelling over each other at bars and pubs.

Additionally, you will spend easily half as much (or more!) by drinking at home. Then you and your friends can take public transportation to a local bar and still have fun! (Pre-plan this so you don’t mess up directions when you are tipsy).

As an example, the same can of beer I can get at the local grocery store ($1.50) ends up being about $6-7 at a bar!

6. Buy a bike or a monthly transportation pass.

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Depending the country you choose to study in, biking may be the cheapest option you have in terms of transportation. You can purchase a used bike from private sellers (usually there is a Facebook page full of students wanting to sell their bikes) or from local bike shops selling used bikes as well. But do your research prior to leaving! Some places may not be biker friendly.

**Important: ask the seller if the bike comes with a serial and/or license number! You can check police records to make sure the bike was not stolen. If you get caught with a stolen bike, you can face paying a heavy fine or running into trouble with the law!**

 If you are not the biking type (like me), and prefer public transportation, make sure you shop around to find the best offer for a transportation pass. Some countries offer week-long to month-long transportation passes at various convenient stores that can let you access the metro, trains, buses, etc. Buying these passes are usually MUCH cheaper than buying tickets each time you use it.

7. Don’t be shy asking about student discounts (or using your student ID).

Most places do not advertise a student discount (like bars, restaurants, cafes, etc), but actually have one! For the first month I was here, I was not aware of this and a coffee shop I frequented offered one. Don’t be shy about asking if the store you are visiting offers a discount; you can save yourself 10-20 percent off!

Additionally, your student ID card can come in real handy. There are museums, trips, transportation options, and other great things that you can get for free or close to free with this. So make sure you ask your school what offers you can get with it or ask a fellow (local) student!

8. Plan your travels ahead of time.

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When studying abroad, making time for holidays to other destinations is almost essential! Other countries are much more accessible to visit and much cheaper than traveling from the U.S.

But when traveling, make sure to plan ahead! The sooner you book your adventures, the better. You can find really cheap flights online and even use a pricing calendar to determine the cheapest days to book. However, the longer you wait to book, the more the prices go up. So make sure to plan all of your extra flights ASAP!

The best way is to plan it at the very beginning of your stay or within a few weeks time; this will also make it easier to plan your whole stay accordingly.

(But make sure NOT to book trips too close to paper deadlines or tests! Nothing is more stressful than trying to write a paper that is due at the same time as traveling to another country.)

Budgeting may not seem all that fun (because it usually isn’t); HOWEVER when you’re fending for yourself for six months to a year (or however long you are abroad) it is more than necessary to count your money!

It does not mean you have to restrict your fun or hold back from doing what you want, but it is always up to you to do so. Saving up for the things you actually want to do is the smartest option and way better than realizing you wasted your money before you can do them.

You don’t want to look at your finances after a few weeks of being abroad and start to panic because you blew your budget.