Managing your finances during your academic journey is essential to experience a seamless student life. You need to plan your expenses meticulously and save moolah to prioritise your financial needs. Here is a guide highlighting helpful money-saving tips for university students, and other interesting information.
How to Save Money as a Student in India?
It is essential to educate students about financial literacy, i.e., basic skills of earning, saving, spending, and investing from an early age so that they can become financially independent. This financial freedom enables them to make well-informed money-related decisions and keep financial worries at bay, especially if they plan to study overseas. So, let’s learn how students can save money.
Money-saving tips How to Save Money as a Student in India
- Make and stick to a monthly budget : Identifying all monthly expenses like rent, food, travel, etc., gives a fair idea about the total money you require in a month. Accordingly, create your monthly budget and stick to it so that you won’t end up spending more money than needed. Do not forget to keep aside some money for meeting emergency expenses.
- Share accommodation : Accommodation is the second most significant monthly expense after your tuition fee. Look for affordable accommodation near the university and share it with your peers. This will reduce your accommodation costs and give you a chance to make new friends. Please ensure you find the housing facility well in advance. Otherwise, you will have to settle for an expensive one when you run out of precious time.
- Take benefit of the student discount : So, how to save money as a student? The best solution is to leverage student discounts. Always keep your student ID card handy to get attractive discounts when exploring any tourist attraction and chilling out in a restaurant, theatre, or cafe. Do not hesitate to ask for discounts from vendors or when travelling by public transport, as you never know what privilege you will be entitled to as a student!
- Learn cooking : This will work in your favour as cooking meals saves money and also keeps you healthy. Prepare your weekly meal plan in advance and buy groceries in bulk to save money on offers such as buy one get one free. You can team up with your peers to cook meals to try a varied diet to prevent boredom.
- Look for free entertainment options : Student life is all about studying hard and partying harder. Hence, make the most of your free time by watching movies in a theatre for free. Believe it, you can! All you need to do is search for free local entertainment options available in your study destination. Many clubs and theatres provide some interesting offers for students. Therefore, it is best to ask for them.
- Use public transportation : Whether you want to explore any museum or any famous tourist spot, use buses, trains, and metros, i.e., the public transportation system, as it is the cheapest and most convenient. If possible, you can cover nearby distances on foot or by cycle as walking and cycling are cost-effective and bring great health benefits. Isn’t it?
- One savings account, multiple benefits : It is imperative to open a bank account, especially if you are planning to study overseas. Not only can you manage your expenses effectively, but you can earn interest, too. If you are studying abroad, your savings account can save conversion costs and other fees.
When you are saving money, you are focused on being self-reliant. However, the cost of education has increased. Therefore, many students opt for education loans to avoid depending on others for their higher studies.
Buy second-hand goods! – How to Save Money as a Student in India
Buying second-hand goods is a great way to save money as as student, because prices are usually much lower than for brand new items. Spend some time at your local Oxfam, Octavia Foundation or other charity shops around your university looking for second-hand goods, and you may be surprised at the treasures you find – high quality clothes, vintage accessories, interesting little ornaments or antique books – all for a bargain price.
Remember, don’t be afraid of walking in to browse the items on the shelves – the staff are usually friendly and the atmosphere’s great. And, since the money’s going to a good cause, you can spend to your heart’s content without that guilty feeling afterwards!
Leave food shopping to later in the day – How to Save Money as a Student in India
Many supermarkets have a clearance sale in the evenings, where any food due to go out of date is sold at a marked-down price. Bread, seafood and dairy products go on sale, and many vegetables, fruits and other fresh produce are labelled with a reduced price. These are great bargains for students, since the foods usually won’t actually expire for another few days. Next time you go grocery shopping, try popping into the store a few hours before it closes and check out the prices. There’s a massive difference!
Cook for yourself – How to Save Money as a Student in India
Cooking for yourself definitely helps you save money as a student. Eating out is one of the most expensive things you can do, especially if you study in a city where a lot of restaurants are pricy. So guys and girls, channel your inner Jamie Oliver and get cooking from scratch. Not only is cooking for yourself cheaper, but also healthier, better for your body (think of the amount of saturated fat in oily Chinese takeaways) and great fun too!
Hide the credit card – How to Save Money as a Student in India
Let’s face it, you and I are all guilty at times of spending too much money on items that in How to Save Money as a Student in India
a) we already have;
b) are completely unnecessary or
c) are just too plain expensive. And usually, taking a credit or debit card out is the easy way to pay for the bill without facing the reality of the price. Many students are tempted by credit cards to buy now and pay at a later date, but this bad habit may lead to overspending or huge bank debts when the end of the month comes. Refrain from this method of paying – keeping count is much easier when it’s cash!
Search for free entertainment – How to Save Money as a Student in India
Many people think having fun means spending lots of money on movies, parties, clubs, theme parks or other local attractions. In fact, there are many types of free entertainment available in any city – it just requires a little extra effort and dedication to find! Consult the internet and maybe start from websites like timeout.com, where you can search for all kinds of things to do free of charge. Remember many clubs, cinemas and theaters will offer discounts for students – if it’s not clearly advertised, just ask. The university itself will have plenty of cheap entertainments going on, and joining student clubs will often mean you get to benefit from even more discounts.
Build an Emergency Fund – How to Save Money as a Student in India
Unexpected costs like phone repairs or medical bills happen to everyone.
- Save 3–6 months’ worth of expenses in a liquid fund (6–7% returns).
- Start small, even with ₹5,000.
- Use it only for emergencies.
Having an emergency fund brings peace of mind and keeps you from borrowing in a crisis.
Understand Basic Taxes – How to Save Money as a Student in India
Taxes aren’t as scary as they seem in How to Save Money as a Student in India.
- Students can claim tuition deductions up to ₹1.5 lakh under Section 80C.
- If you earn over ₹2.5 lakh, file your ITR online.
- RBI offers free guides for beginners.
A little tax knowledge can save money and prevent penalties.
Avoid Money Scams – How to Save Money as a Student in India
Online scams are on the rise, up 20% in 2025. Stay alert:
- Never share OTPs or personal info.
- Verify links before clicking.
- Use RBI’s Saarthi portal for scam updates.
Being cautious now prevents losing money and stress later.
Learn with Free Resources – How to Save Money as a Student in India
You don’t need to pay to become money-smart.
- RBI’s Financial Literacy Week promotes free workshops.
- NCFE.org offers quizzes and videos for students.
- Spend 30 minutes a week learning about money—it adds up.
Knowledge is the best investment on How to Save Money as a Student in India
Save First, Spend Later – How to Save Money as a Student in India
Before spending, save at least 10–20% of your money. Even a small amount helps.
- Open a zero-balance savings account with banks like SBI.
- Interest rates in 2025 are 3–4%.
- Set a small goal, like ₹2,000 for books.
Saving first teaches discipline and creates a safety net for unexpected expenses.
Start Small with SIPs – How to Save Money as a Student in India
How to Save Money as a Student in India Investing isn’t just for adults. Systematic Investment Plans (SIPs) are perfect for students.
- Start with as little as ₹500 per month.
- Equity funds can give 12–15% long-term returns.
- Apps like Groww and Zerodha make it simple.
A ₹1,000 monthly SIP could grow to ₹50 lakh in 30 years. Small steps today can lead to big rewards tomorrow.
Benefits of student loans : How to Save Money as a Student in India
- When you take a study loan, you need not liquidate your family savings as it covers education-related expenses such as tuition fees, accommodation expenses, travelling costs, etc.
- Besides, you can even build a healthy credit score by opting for student loans and paying them off timely.
- You get the chance to earn a self-made badge by financing your higher education.
- You can access quality education by securing a seat in your dream college. Why should you settle for anything else?
We hope this information will assist you in making money-saving decisions while studying. If you are interested in opting for education loans for study abroad purposes or to study in India, Avanse Financial Services can assist you. At Avanse, we offer customised education loans with benefits like 100% financing, quick loan sanctions, and multiple repayment options. So, get in touch with us today to know more!
