College Students and Finances

Most young people get their first taste of budgeting in college.

How do they do? According to a recent poll of 500 college students by Campus Concepts, a marketing firm in Baltimore, the average student spends about $550 a month, mostly on food (20%), entertainment (17%), and personal care (15%). Beer was the fourth largest budget item at 11%, ahead of auto expenses (8.2%) and phone charges (5.7%).

Where does the money come from? Nearly half the students receive an allowance averaging $250 a month. Of those without an allowance, half earn $100 to $500 a month, and one fourth earn even more.

Source: Family values. (1998, December). Kiplingers, 62.