Mind the Funding Gap: Planning ahead for Summer

It can be a difficult time over the summer months when the academic year ends. Especially if you find yourself needing financial support.

Students typically receive their last Maintenance Loan in April, and the next payment isn’t scheduled until September!

This is the Funding Gap!

It’s important to plan ahead for the summertime to ensure that you don’t find yourself in significant financial hardship. However, if this is the case, there is support available!

Now that you know that the funding gap is coming, how can you help yourself over the summer? We have developed this guide to help you through the summer months!

Budgeting

It is important to budget your April Maintenance Loan before it arrives!

You can start by working out your fixed outgoings, this can include rent and bill payments. Once you have done this, you can calculate your variable outgoings, this can include weekly food shops and prescriptions.

Once you have highlighted your outgoings, you now have an idea of what disposable income you have left!

Creating a budget ensures that you have a clear picture of your finances, have sight of important payments and highlights where you can make savings!

Save the Student have a great Budgeting spreadsheet that is free to use! Access it here.

Wants vs Needs & 50/30/20

When budgeting your Maintenance Loan, it is important to understand the difference between needs and wants. Needs are things that you absolutely must have, while wants are things that are nice to have but are not essential.

A great place to start with your Wants vs Needs budget is the 50/30/20 method.

The 50/30/20 method is a popular budgeting method that splits your income into three sections. This budgets 50% of your income into needs, 30% into wants and 20% into savings or debt repayments. This is a great starting point if you’re not sure where to start.

This is an example of how your finances could be split.

What if that isn’t enough?

Budgeting is a great way to help you save money, however, if your Maintenance Loan isn’t enough, it’s going to be hard to budget!

This is where the Students’ Union Advice team, the Universities Money & Guidance team & the Careers team can help!

Your Students’ Union Advice team can help you with income maximisation! Make an appointment here.

Your Money & Guidance team can provide you with support with money management and money saving tips! Make an appointment here.

Your Careers team can help you Earn while you Learn! Make an appointment here.