College Expenses- Taking a Shot in the Dark

$o, you have stepped into your new dorm bringing you face to face with the realities of being in college. Welcome to the next 4 years of your life; books, classes, and 22,000 newly adopted brothers and sisters. Your mother cries and hands you neatly folded clean underwear, and your father tells you he is proud of you. Your father reaches into his back left pocket revealing a wallet. A puzzled look... The costs of college have finally caught up with him. The Evil B word… Budget

College is the perfect opportunity for students to realize their own expenses. It is important that during this stage of life, you take the time to begin constructing the template for your financial guidelines. http://www.mint.com/ is one of many financial management sights, perfect for monitoring your spending habits.

Dear Diary…

Keep journals of expenses ranging from tuition to Chipotle Fridays. Although it may sound tedious to keep a chart or spreadsheet, it may help you in the long run to see a more clearly where it is that your money is going. Another option is to construct a budget that operates off of percentages instead of dollars.

1. “Instead of using a credit card, establish a debit card for the student. Debit cards obviously are limited by the amount of money held in the account of the bank that issued it. This way, students cant overextend their budgets. (Visa and Master Card offer reloadable debit cards aimed at parents of students. For more, see Keep an eye on Junior's spending habits.")
2. Use a phone card that covers what you expect to be reasonable costs over a given period of time, such as a month.
3. Never make a final budget until after the first two months of college. You can't really judge needs completely. Dashed expectations lead to fights. Just estimate and stay flexible.
4. Be realistic about using a meal plan. Many students under-use them. See if the college will let you sign up a few weeks after school starts, instead of earlier, as they usually request.
5. Put advertisements in school papers for sharing everything, including a microwave, computer, car, garage space, even an apartment.
6. In your enthusiasm, don't buy new clothes for your college-bound student. Have him or her take the essentials and ship what is missing, after its been determined whats needed. This can leave more money for really important things. 
7. Consider online banking in which you, as the parent, have equal access to the account. Many banks now offer online banking capability, which offers much faster money transfers and also allows you to more quickly monitor cash outflow.
8. Communicate by e-mail or fax with a written, not verbal, recounting of the monthly expenses.
9. Don't expect freshman budgets to look like senior budgets. Things change with inflation, needs and job schedules.
10. If at all possible, your student should take a job that will enhance his or her future career. A volunteer summer job at the state aquarium will get the budding oceanographer further in the long run than four weeks of asking, "Do you want fries with that?”’ -moneycentral.msn.com