College Students, Have I Got a Plan for You!

All around the country, newly minted high school graduates will soon be heading off to college. They’ll be taking a lot of things with them, but statistics tell us that financial literacy is not likely to be one of them. If I could spend a little time with these awesome students, I’d attempt to cram the basics of money management into their heads and then pray that they penetrate their hearts.

A budget is your friend. That means

1. You have a written plan for how you are going to spend and manage money.

2. You use that written plan like you would a road map, consulting it often.

3. You use a site like Mint.com or a pencil and paper to record how you spend every nickel.

Sallie Mae has a monthly budget worksheet you can print out to help you estimate your costs and keep expenses under control.

Live With Cash

I don’t have the time or space to get into a long dissertation on the subject. Just believe me when I tell you that using cash -- currency, greenbacks, dollars, coins -- will simplify your life and keep you from overspending.

Get A Free Checking Account

These days, it’s not easy to find free checking accounts with no strings attached -- no monthly fee, no minimum balance requirement and no minimum deposit. But many banks, such as U.S.

Bank, offer free student accounts that fit these criteria.

Credit Card Debt

Don’t be ridiculous. Credit card debt -- a balance owed that you roll over from one month to the next, paying only the minimum required plus interest -- has the potential to sink your ship. Think of it like cancer. At first, it’s just a tiny thing that’s not that big of a deal. But then it starts to multiply, and if not dealt with swiftly, it will do horrible things in your life.

Never use a credit card to pay for things because you don’t have enough money. If you don’t have the money this month, what makes you think you’ll have it next month? Any amount of credit card debt will put you on the fast track to financial trouble.

When you do use a credit card, make sure you pay the statement balance in full -- right down to zero dollars every

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