At Student Digs, we know that managing money is one of the biggest challenges students face while at university. From paying rent and bills to keeping up with food costs and still having a social life, student finances can quickly feel overwhelming without the right approach.

Whether you’re moving into your first student house or trying to stretch your budget further, this guide covers everything you need to know about student finance, budgeting and money management. We’ll also share practical budgeting tips, ways to reduce expenses and how to cope with the rising cost of living for students.

Understanding Your Student Finances

Before you can start budgeting, it’s important to understand exactly how much money you have coming in. Most students rely on a combination of income sources, including:

  • Student loans and maintenance funding
  • Grants, bursaries or scholarships
  • Part‑time work
  • Support from family
  • Personal savings

It is also important to factor in any payments you may be receiving from your parents/ carers. The Money Saving Expert has a parental contribution calculator to best advise on this.

Knowing your total monthly or termly income gives you a clear starting point for student financial planning. From there, you can begin allocating money to essential costs such as rent, utilities and food.

At Student Digs, we often recommend breaking your finances down into manageable chunks, such as weekly spending allowances, to make budgeting feel less daunting.

Creating a Realistic Students Budget Plan

Budgeting doesn’t need to be complicated. The key is to create a plan that reflects your actual lifestyle and spending habits.

It is important to make sure you factor in every month, otherwise you run the risk of underestimating your spend (and not being able to afford family Christmas presents or that friend’s trip to Ibiza!)

Start by factoring in all outgoings, from university spend to household expenses. 

University

  • Tuition fees 
  • Accommodation costs – Student Digs list a range of student homes to suit different budgets and preferences to ensure you enjoy university life without stretching your budget.
  • Course supplies

Household Bills

  • Utility bills – gas/ electricity/ water
  • Broadband
  • Mobile phone
  • Food shopping

Travel

  • Rail/ bus/ tube/ coach
  • Car costs including insurance

Other

  • Subscriptions – gym/ Netflix/ Amazon Prime/ Spotify
  • Clothes and haircuts
  • Hobbies and entertainment (including night outs)
  • Large one off payments – new laptop/ car/ bike etc
  • Holidays 

If you’re looking for more guidance on building a student‑friendly budget, our guide on how to manage your money as a university student breaks this process down into simple, practical steps.

Student Budgeting Tips to Make Your Money Go Further

Living on a student budget doesn’t mean missing out. Small changes can make a big difference when it comes to saving money at university.

Plan Your Food Spending

Food is one of the easiest areas to overspend. Planning meals in advance, shopping with a list and cooking at home with housemates can significantly reduce weekly costs.

Track Your Spending

Using a budgeting app or spreadsheet helps you understand where your money is going. Seeing your spending laid out clearly makes it easier to cut back where needed and stay within your limits.

Use Student Discounts

Always take advantage of student discounts on travel, food, clothing and entertainment. These savings may seem small at first but quickly add up over the academic year.

Be Mindful of Subscriptions

Streaming services, apps and memberships can quietly drain your budget. Whilst it is important to still track your spend on subscriptions, make sure to check what you’re actually using and cancel anything you don’t need.

These everyday student budgeting tips can help you maintain balance while still enjoying student life.

Managing Student Expenses in Shared Accommodation

For many students, accommodation is the biggest expense. If you’re living in a shared student house, it’s important to understand exactly what your rent covers.

Rent and bills arrangements vary by property. Some homes include certain utilities within the rent, while others require you to manage gas, electricity, water and broadband separately. Even where bills are described as included, the exact scope of what is included, and any usage limits or conditions, should be checked in the property listing and confirmed in your tenancy documents before you commit.

To avoid surprises and reduce stress later, agree a simple plan with your housemates from day one. Decide how you will split costs, when money is due, and who is responsible for setting up and paying any bills that are not included. Clear expectations early can prevent disagreements and make budgeting much easier.

Our guide to student utility options explains what to look out for when choosing student accommodation and how inclusive bills can make budgeting simpler and more predictable.

Splitting costs fairly with housemates and setting clear expectations early can also help avoid financial stress and disagreements.

Cost of Living for Students

Rising prices have made the cost of living for students a real concern, particularly when it comes to everyday essentials like rent, food and energy bills. While students can’t control wider economic changes, there are small, manageable steps that can help ease financial pressure.

Simple changes to how you use energy at home can make a noticeable difference over time, especially in shared accommodation where utilities are a major outgoing. Our article on tackling the energy crisis looks at practical, low-effort ways students can reduce energy use without sacrificing comfort.

This includes things like being mindful of heating use, washing clothes efficiently and turning off appliances when they’re not needed. These small habits are easy to adopt and can help keep bills more predictable (which is a big win when you’re managing a student budget!)

Alongside energy-saving habits, there are other ways to soften the impact of rising costs, such as:

  • Applying for grants, bursaries or hardship funding where available
  • Sharing accommodation and utility costs with housemates
  • Prioritising essential spending and planning ahead
  • Finding flexible part-time work that fits around your studies

For more practical advice, our guide on how to reduce the cost of living effects on students explores realistic ways to stay on top of your finances during your time at university.

Saving Money at University and Planning Ahead

Saving money as a student may feel impossible, but even small amounts can help build financial security. Setting aside a small portion of your income each month can create a buffer for unexpected costs, such as travel home, course materials or emergency expenses.

Good student financial planning also involves thinking beyond the next week or month. Developing strong money habits now can set you up for life after university, helping you manage rent, bills and larger financial commitments with confidence.

If you’re unsure where to start, our guide on managing your money as a university student offers advice on prioritising spending, building savings and avoiding common financial pitfalls.

Managing Student Finances with Confidence

At Student Digs, we believe that understanding your finances is key to making the most of your university experience. With a clear budget, realistic expectations and the right support, managing student money doesn’t have to be stressful.

By taking control of your student finance, using practical budgeting for students strategies and staying aware of your student expenses, you can focus less on money worries and more on enjoying student life.

Find Affordable Student Accommodation with Student Digs

At Student Digs, we believe managing your student finances should be simple, and that starts with affordable, reliable accommodation. Our student properties are designed to help you budget with confidence, offering competitive rents, clear pricing and options that can reduce unexpected costs.

By choosing student accommodation with Student Digs, you can spend less time worrying about rent and bills and more time focusing on your studies, social life and making the most of university.

If a property offers a bills included option, the listing and your tenancy documents should confirm what is covered and any conditions that apply. Always read those details carefully and ask questions before signing so you can plan your monthly spending with clarity.

Explore our range of affordable student accommodation today and take one more financial stress off your plate with Student Digs.

Disclaimer

This article is general information only and is not financial advice. Costs vary by property and by individual circumstances, so always check official sources and review the specific property listing and your tenancy documents for the costs and terms that apply to you.