What Do Students Spend Their Money On?

How much does it cost to go to university? 1

Index Page Introduction 3 What do students spend their money on? 4 Student Money Survey 2015 Results 5 Accommodation Costs 6-7 Household Bills 8-9 Food and Other Essentials 10-11 Travel Costs 12-13 Phone and Broadband 14 Study Costs 15 Socialising 16 How To Cover The Costs 17 Useful Resources 18 Contact The Money Advice Team 19 2

Introduction According to a recent survey from the NatWest Student Living Index (see page 4), you will need around 7,200 per year (about 800 per month) for accommodation and living expenses. This Guide sets out to give you an idea of what costs you may incur during your life as a Student at the University of Worcester. It also offers you advice on how to plan your budget, and what financial support is available to Students here at the University. 3

What do students spend their money on? Jul 22, 2015 A new survey reveals how much the average student spends, and how it varies around the country. The NatWest Student Living index asked around 2,500 students about where their money came from and what they spent it on. It found that, other than rent, the top costs were: 1. Groceries ( 23.68 per week) 2. Eating out ( 13.19 per week) 3. Utility bills ( 11.81 per week) 4. Alcohol ( 10.89 per week) 5. Clothes ( 9.63 per week) Identifying where your money is going is one of the most important ways to take control of your finances. Tracking what you spend, even for a couple of weeks, can help you to work out where you can make savings. Source: www.brightknowledge.org 4

Student Money Survey 2015 Results Updated June 2015 Source: The National Student Money Survey 2015 www.savethestudent.org Survey polled 1,900 university students in the UK and ran between 1-12 June 2015 2014 statistics taken from the same survey conducted last year 5

Accommodation Costs Halls of Residence Many first year students choose to live in halls of residence. Prices range from 89 to 145 per week. Most students pay for 39 weeks but those taking longer courses, such as nursing or teaching, pay for the length of the course. A damage deposit of 300 will be required in advance and you will be able to pay your accommodation fees in six instalments from October to March or three instalments in October, January and April. If you have any queries about making payments you should contact the University s Finance Office by emailing creditcontrol@worc.ac.uk University of Worcester Accommodation Fees for 2015/2016 Accommodation level Price per week Traditional Hall 89 Standard 110 Standard Plus 117 En-suite 131 En-suite Extra 145 Fern Hall & Oldbury House (postgraduate) 122-133 The charges for accommodation include, gas, electricity, water, broadband internet access, contents insurance and gym membership. All of the prices listed are for self-catered accommodation. In addition laundry costs are 2.20 for a wash and 1.00 for a tumble dry. www.worcester.ac.uk/your-home/living-in-halls.html University Managed House In addition to halls accommodation, the University also manages a small number of student shared properties close by. These all offer a good standard of accommodation at a competitive price. Free gym membership and contents insurance is also included in the cost of your rent. www.worcester.ac.uk/your-home/living-in-a-university-managedhouse.html 6

Private Rented Accommodation If you move to privately rented accommodation in your second year, you can expect to pay an average of 80-95 per week for a room in a shared house, plus bills. Deposit Your deposit will usually be equivalent to one month s rent, and 200-300 is usually payable at the same time, to retain your room during the summer. You will need to pay both the deposit and your first month s rent in advance of moving into the property. REMEMBER TO PUT MONEY ASIDE EARLY FOR THESE COSTS The deposit is there to cover any damage you might do to the property, and landlords must protect it using the Tenancy Deposit Protection Scheme (see www.tds.gb.com). If everything is OK when you move out, you will receive the whole deposit back. Agency fees If you are renting through an estate agent, they might also charge you an administration fee when you move in. This can be anything from 80-200, so make sure you check with the agency so that you can put it in your budget. Please remember agreement lengths, deposit amounts and arrangements for paying bills vary from property to property. Do please take advice from the Accommodation Team if you are unsure about any of these important details. Housing lists are available each year from the beginning of February. For further details contact: Worcester Students Union studentsunion@worc.ac.uk / tel: 01905 543210 Accommodation Service accommodation@worc.ac.uk / tel: 01905 855137 7

Household Bills Household bills include energy bills for gas and electricity, water rates, TV licence and telephone and internet charges. Check to see which bills are included in your rent - sometimes private landlords will cover the cost of bills too. Make sure you know what is and isn't covered when you choose your accommodation. Guide to costs GAS & ELECTRICITY The average annual bill for gas and electricity is around 549 per person. However, this will vary depending on the type of accommodation you live in. Reducing energy bills (and helping the environment!) Turning the thermostat down by even 1 C can cut your heating bill significantly When a room is empty, make sure that the lights are turned off. Close the curtains at night so you don't lose heat through the windows. Stop draughts from badly fitting windows and doors. Set your heating to come on around half an hour before you come home rather than leave it on all day while no one is in the house. Leaving your appliances on standby wastes energy. Make the effort and turn them off. Don't put the heating on if you don't have to. Warm jumpers can work too! Baths use more energy than showers - as long as you're not spending 20 minutes in the shower. Use most economical household fuel provider where relevant. Source: www.brightknowledge.org 8

WATER In 2014, the average household water bill was 393 for a year. If you have a water meter, you will be charged based on how much water you use. If not, you will pay a fixed amount each year. TV LICENCE If you have a television at university then you must pay an annual TV Licence of 145.50 per year. You don't need a TV Licence to watch catch-up services over the internet, but you do need one to watch live TV online. If you have a joint tenancy several TVs are covered by one licence, so you can share the costs, but if you have a separate tenancy a licence is needed for each set. If you go home for the summer holidays, you may be able to get a refund of around 37 on your TV licence. www.tvlicensing.co.uk/check-if-you-need-one/for-your-home/studentsaud1 COUNCIL TAX Full-time students are exempt from Council Tax unless living with nonstudent adults. Exemption certificates can be printed from the student SOLE page. Where a student is sharing a house with a non-student adult the Council Tax bill for the household will be liable to a 25% reduction. 9

Food and other essentials Students are, on average, spending 24 on weekly groceries (figures taken from The NatWest Student Living Index 2015 see page 4) Shopping costs Try to avoid doing your grocery shopping in independent corner shops, which tend to be more expensive than supermarket chains. For example: Small shop costs Supermarket costs Pint of milk 69p 45p 6 free range eggs 1.71 89p 300g bacon 2.29 2.22 600ml Pepsi Max 1.36 89p Heinz baked beans 1.25 75p 100g Nescafe 2.99 2.75 Volvic 1l Water 1.15 85p 500g sugar 87p 69p 500g Cornflakes 1.70 1.50 Two Toilet Rolls 1.49 1.00 (Prices from July 2015) 10

Eating costs Try to avoid buying take-away food which is a lot more expensive than cooking your own or buying a pre-cooked meal from a supermarket. For example, a take-away pizza can cost between 6 and 13 but one from a supermarket costs 2 to 3. Making your own sandwiches can cost less than 50p a day but readymade ones cost between 2 and 4. Snack bar The Students Union has a snack bar, Berry s, which also serves reasonably priced food such as a bacon sandwich for 2.50, a baked potato from 2.50, and a cup of tea for 1.10. Berry s main trade is freshly made sandwiches, which can be bought for as little as 2.50 each and baguettes which are 3.00 (April 2015 prices). Dining hall If you really can t face making your own food every day the University has a reasonably priced dining hall and also The Pear Tree Cafe. In 2015 the prices for the cafe were: Plain Beefburger 2.20 Onion Bhajis and Indian Salad 2.50 Chicken Tikka Wrap 2.50 Loaded Nachos 1.95 Chilli Hot Dogs and Fries 2.75 Tex Mex Angus Burger and Fries 2.99 Soup 95p Spicy Chilli Fries 2.30 Fries 1.20 You can save 10% off food and drinks in the University s dining hall and coffee shops if you pay with your student card. 11

Travel Costs Students are spending an average of almost 9 on local travel every week and 210 annually on long distance travel (figures taken from the NatWest Student Living Index 2015 see page 4) Rail Travel Student Rail cards cost 30 a year or 70 for three years, and can save you up to a third of rail travel costs and are available to anyone between 16 and 25, and to full-time students over 26. www.16-25railcard.co.uk Disabled persons railcards entitle you to a third off most rail fares across Britain for you and a companion and currently cost 20 a year or 54 for three years www.disabledpersons-railcard.co.uk Bus Travel Local First buses offer cheaper rates for students if you show a valid student ID card. You can also buy a Ten Journey carnet ticket for 5 which is valid on any day within twelve months of purchase, or a 100 ticket which is valid from September 2015 to May 2016 for use on all First local bus services including weekends and half term holidays. The 5 and 100 tickets are available from firstpoint at the University of Worcester, Andrew s News in the Crowngate Shopping Centre and the Visit Worcester Tourist Information Centre in Worcester High Street. Disabled people fulfilling the relevant criteria are entitled to free bus passes for bus travel in the city of Worcester. For eligibility phone the city council on 01905 722233 or visit www.worcester.gov.uk 12

Car Parking Costs Off-peak permits cost 40 per annum and are for those students parking at the off campus Coppertops carpark at any time, or those only needing to park on campus outside the hours of 9am to 5pm during the week, at weekends, bank holidays and anytime in July and August. Car parking permits for those who are resident more than one mile from St John s Campus (Severn Gate entrance) are 120 per annum or 65 for the set periods of 1 September to 31 January, or 1 February to 31 August. Permits for students either resident on campus or living less than a mile away are 300 per set semester period. Parking permits are available free to disabled students. For information on car sharing visit: www.worcester.ac.uk/discover/car-share.html Cycling If you wish to cycle, you can also join the University s cycle loan scheme for as little as 20 an academic year. For details visit: www.worc.ac.uk/discover/bike-loan.html 13

HOME PHONE & BROADBAND Most broadband connections will require a home phone line. You'll have to pay around 17 for this, plus the cost of your broadband package. A standard broadband connection will cost around 5 a month. Faster fibre-optic connections cost more, but may be more suitable if there are lots of people sharing one connection. MOBILE PHONE Think about your mobile deal. It s easier to keep track of your spending on Pay-as-you-go, but things can really add up if you re making a lot of long calls, plus you ll probably have to buy the handset as well. It's normally cheapest to buy a package of minutes, texts and internet data each month. Check the different networks to get the best offer. If you get a contract with a 'free' phone, you'll pay for it with a higher monthly bill. Shop around for the best deal, but read what you re signing carefully, and factor those monthly fees into your budget. Read the small print in mobile phone and internet contracts. Some can be expensive once the free offers have finished and costly to end the contract before the due date. Reducing phone bills Skype works like an internet telephone service, letting you talk to other Skype users for free. It s easy to set up by downloading free software from the Skype website, but even if other people don t have Skype on their computers, you can still call their landline or mobiles at cheaper rates than normal. INTERNATIONAL STUDENTS - if you need to call home often, you might save money using a network like Lebara - www.lebara.co.uk which specialises in international calls. It may also be cheaper to use internet calling through services like Skype on your home broadband. 14

Study Costs Books, printing and photocopying There are day to day costs and expenditure for students on basic books, stationery, printing and photocopying and the amounts vary between courses. For instance photocopying and printing over three years could be as much as 60 for a Psychology student but much less for a Sports Studies student. Don t buy all the books on your reading list straight away. Ask your tutor which are the most important ones. Some can be bought second hand from second year students, or on ebay or Amazon. The cost of a black and white photocopied sheet at the University of Worcester is 5p and binding Final Year Independent Study is 5. Examples of individual Course Study Costs can be found at: www.worc.ac.uk/moneyadvice/708.htm Field Trips Field trips that are a required or assessed part of your course will not incur a charge but there can be a fee for optional trips. Independent Study If your course includes producing an Independent Study in its final year then additional costs are likely to be incurred. These costs will depend very much on your course and the project you have chosen to undertake and you are advised to talk to your tutor about potential expenses. 15

Socialising This year s survey from The National Student Money Survey (see page 5) showed that Students are, on average, spending an average of 67 per month to socialise. Source: The National Student Money Survey 2015 www.savethestudent.org NUS Extra Card You can save money by taking advantage of student discounts, and also by getting an NUS Extra Card. NUS Extra student cards costs 12 a year and enable you to receive at least 10% discount in a significant number of shops (e.g. Co-op, Superdrug and Amazon) and businesses, including food, clothing and music stores. Apply for your card online at www.nus.org.uk or you can get it at the Worcester Students' Union Welcome Desk where they will print one for you on the spot, so you can enjoy getting high street discounts immediately! 16

How To Cover The Cost Most students use a mix of: Financial Support from the Government via Student Finance www.gov.uk/student-finance Bursaries and Scholarships from the university www.worcester.ac.uk/your-home/scholarships.html Part-time Work www.worcester.ac.uk/journey/earn-as-you-learn.html www.worcester.ac.uk/careers/ There s also Extra Support available if you re struggling with money: Access to Learning Fund (University Hardship Fund) www.worc.ac.uk/moneyadvice/105.htm Trust Funds and Charities www.worc.ac.uk/moneyadvice/643.htm IF YOU ARE CONCERNED ABOUT MONEY, YOU SHOULD GET ADVICE ON ALTERNATIVE SOURCES OF HELP FROM THE UNIVERSITY'S MONEY ADVICE SERVICE - SEE PAGE 19 FOR CONTACT DETAILS. 17

Useful Resources Managing your money is one of the most important things you will learn as a student. Knowing that your finances are under control will allow you to relax and enjoy your time at University. The following resources are available to help you: Budget Sheet - using a budget sheet will help you to see where you can cut your spending on non-essential items, and whether you need to increase your income. Spending Log - use this log to record and monitor your spending and to help you identify any spending pattern that you would like to change. Sharing Household Bills - some useful tips and practical solutions to help you and your housemates organise and pay your household bills, in a way that is fair to everyone involved. You can access these sheets, and also use the Money Advice online calculator to help balance your budget at: www.worc.ac.uk/moneyadvice/627.htm Copies of these sheets can also be found on the Money Advice bookshelf, next to the firstpoint desk in the Peirson Centre, St Johns campus. Also see Budgeting Tips at: http://www.worc.ac.uk/moneyadvice/40.htm International Students Additional advice and support can be found on the UK Council for International Student Affairs website - www.ukcisa.org.uk/ This also includes an international student calculator which will help you work out how to manage your money and build a budget for living and studying in the UK - http://international.studentcalculator.org/ 18

Contact the Money Advice Team The Money Advice Service is here to provide students and potential students at the University of Worcester with welfare and financial advice and support. We do not give legal advice but we can help you to identify major elements of your welfare or financial difficulties and provide information, advice and help to resolve them. Contact us via firstpoint at: Peirson Study & Guidance Centre University of Worcester Henwick Grove St Johns Worcester WR2 6AJ Tel: 01905 542551 Email: firstpoint@worc.ac.uk www.worcester.ac.uk/moneyadvice /University of Worcester Money Advice @uniworcmoneyadv 19

Provided by Money Advice, firstpoint, Peirson Centre, Henwick Grove, University of Worcester. 20