Budgeting Your College
Education
Presented by:
Beta Alpha Psi, Zeta Omega Chapter
Ball State University
Introduction
 Beta Alpha Psi is the most widely
respected Honors Fraternity related to
the Accounting industry.
 Its purpose is to recognize
outstanding achievements in
accounting, to promote the study and
practice of the profession, and
encourage a sense of ethical, social,
and public responsibility.
Today’s Presenters
 Rebekah Rosenfield – President
 Amy Whyde - Second Vice President
 Sarah Burrell - Recording Secretary
and Social Chair
 Jack Colwell – Reporting Secretary
 Mr. Robert Zellers - Director of
Scholarships and Financial Aid, BSU
Why are Budgets Important?
 Many goals in life are dependent on
how we manage our finances.
 Budgeting helps us:
 Identify future expenses
 Reveal our financial strengths and
weaknesses
 Set and achieve goals
 Make better life decisions
What Does College Cost?
Budget assuming….
 Ball State University
 Delaware County resident
 Living situation = Resident Halls
Revenue
 Determine your source of revenue
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Parental Support
Work
Loans
Scholarships/Financial Aid
Savings
 Determine approximately how much revenue
you will have access to throughout the year
 This amount will affect the categories and
dollar amounts entered into your budget
Categories
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Tuition
Additional BSU fees
Books
Room & Board
Additional Food
Car Insurance
Cell Phone
Transportation
Extracurricular Activities
Entertainment
Miscellaneous
Tuition
 Based off of 2005-2006 School Year
 $6,030 / year
 Equals $670/mo. using a 9 month
school year
 Additional Information on Tuition
costs, visit
www.bsu.edu/students/admissions
Additional BSU Fees
 Based off of 2005-2006 School Year
 $533 / year
 Health - $132/yr
 Technology - $406/yr
 Equals $60/mo. using a 9 month
school year
 Additional Information on fees, visit
www.bsu.edu/students/admissions
Books
 $520/term
 About $144/mo
 Varies with course load and major
Room & Board
 Assuming
 Delaware County Resident
 Resident Halls
Fees Are Waived, therefore, $0
Additional Food
 Subject to personality
 My “social circle” tended to veer away
from the dorm food at least once a
week, therefore I would budget
$40/mo. ($10/week)
Car Insurance
 Amount will be based off personal
situation
 Budgeted Amount $350/6mo. =
$59/mo. (what I currently pay)
 In comparison, using
www.esurance.com and my current
situation, quoted $435/6mo =
$72.5/mo.
Cell Phone
 Based off personal situation
 Family Plan
 Cell Phone Company
 Additional Features
 Budgeted Amount - $40/mo.
Transportation
 Factor in rising gas prices, may have
to adjust budget monthly
 Assuming
 Travel primarily in Muncie
 Gas prices approx. $2.50/gallon
 5 gallons/wk X $2.50/gal. X
4weeks/mo. = $50/mo.
Extracurricular Activities
 Examples
 Greek Life
 Intramural Sports
 Beta Alpha Psi!!
 $10/month
 May seem small, but if you multiply it by
9months, that’s around $90 a year for this
category
 Your activities may vary in price, adjust
accordingly
Entertainment
 Everyone needs to get out and
socialize, this usually does not come
free
 Movies
 Bowling
 Parties
 $40/month (around $10/week)
Miscellaneous
 Consider what is left in your revenue
amount
 Covers unexpected costs, such as car
problems, prescription medicine, etc.
(life is unexpected)
 $20/month
Refer to Example Budget 1 in Excel
File
Wrap Up
 Categories/amounts are subject to
individual needs/preferences
 Variance column important
 Shows possible adjustments to make in
budget
 Budgets only serve their purpose if
you use them
Budget assuming….
 Indiana University
 In-state
 Living situation = Resident Halls
Tuition
 Based off of 2005-2006 School Year
 $7,112/ year
 Equals $790/mo. using a 9 month
school year
 Additional Information on Tuition
costs, visit:
 www.indiana.edu/~iuadmit/parents/cf_t
uition.shtml
Additional IU Fees
 Based off of 2005-2006 School Year
 $820/ year
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Activity: $67.36/term
Athletics: $15/term
Student Health: $92.69/term
Technology: $186/term
Transportation: $49.40/term
 Equals $91/mo. using a 9 month school
year
 Additional Information on fees, visit:
www.indiana.edu/~blbursar/body/docs/0506FeeSchedule.pdf
Books
 $520/term
 About $144/mo
 Varies with course load and major
Room & Board
 Assuming
 In-State Resident
 Resident Halls
 $5,616 to $7,164
 Average: $6,390
Additional Food
 Subject to personality/preferences
 Budget: $60 (subject to different
prices and situation)
Car Insurance
 Amount will be based off personal
situation
 Budgeted Amount $400/6mo. =
$67/mo.
 Situations will vary:
 Use www.esurance.com for more accurate
insurance quote
Cell Phone
 Based off personal situation
 Family Plan
 Cell Phone Company
 Additional Features
 Budgeted Amount - $40/mo.
Transportation
 Factor in rising gas prices, may have
to adjust budget monthly
 Assuming
 Four trips at $30
 Gas prices approx. $2.50/gallon
Extracurricular Activities
 Examples




Greek Life
Intramural Sports
Plays, musicals, etc.
Beta Alpha Psi!!
 $60/month
 9 months school year:
 $540/year
 Prices vary
Entertainment
 Everyone needs to get out and
socialize, this usually does not come
free
 Movies
 Bowling
 Parties
 $50/month (around $12.50/week)
Miscellaneous
 What is left in your revenue account?
 Covers unexpected costs, such as car
problems, prescription medicine, etc.
(life is unexpected-be prepared)
 $30/month
Refer to Example Budget 2 in Excel
File
Wrap Up
 Categories/amounts are subject to
individual needs/preferences
 Variance column important
 Shows possible adjustments to make in
budget
 Budgets only serve their purpose if
you use them
Questions?
Budget assuming….
Penn State University (University Park, PA)
 Out-of-state
 Living situation = Apartment + roommate
Tuition
 Based off of 2005-2006 School Year
 $21,260 / year
 Equals $2,362/mo. using a 9 month
school year
 Additional Information on Tuition
costs, visit:
 http://tuition.psu.edu/Rates200506/TuitionAndFees2005-06.asp
Additional Fees
 Based off of 2005-2006 School Year
 $486/year
 Activity: $52/term
 Technology: $190/term
 Equals $54/mo. using a 9 month
school year
 Additional Information on fees, visit:
http://tuition.psu.edu/Rates200506/TuitionAndFees2005-06.asp
Books
 $520/term
 About $144/mo
 Subject to vary
Rent & Utilities
 Assuming living in apartment
 Estimated $386/mo
 Things to consider
 Utilities - $50
 Cable TV & Internet - $50
 Washing clothes - $20
Food
 Subject to personality/preferences
 Budget: $404/mo (subject to
different prices and situation)
Car Insurance
 Amount will be based off personal
situation
 Budgeted Amount $400/6mo. =
$67/mo.
 Situations will vary:
 Use www.esurance.com for more accurate
insurance quote
Cell Phone
 Based off personal situation
 Family Plan
 Cell Phone Company
 Additional Features
 Budgeted Amount - $40/mo.
Transportation
 How are you going to get there and how
many times are you going to come home?
 Drive
 Fly + bus for getting around
 Factor in rising gas prices, may have to
adjust budget monthly
 Assuming
 Gas prices approx. $2.50/gallon = $55 (500 mi)
 One-way ticket = $280
Extracurricular Activities
 Examples




Greek Life
Intramural Sports
Plays, musicals, etc.
Beta Alpha Psi!!
 $80/month
 9 months school year:
 $720/year
 Prices vary
Entertainment
 Everyone needs to get out and
socialize, this usually does not come
free




Movies
Bowling
Parties
Concerts
 $60/month (around $15/week)
Miscellaneous
 What is left in your revenue account?
 Covers unexpected costs, such as car
problems, prescription medicine, etc.
(life is unexpected-be prepared)
 $30/month
Refer to Example Budget 3 in Excel
File
Wrap Up
 Categories/amounts are subject to
individual needs/preferences
 Variance column important
 Shows possible adjustments to make in
budget
 Budgets only serve their purpose if
you use them
Comparative Budgets
 Refer to Example Budget 4 in Excel
File
Questions?
How do I afford all this?
Financial Aid and Loans
First things First
 You must fill out a Free Application for
Federal Student Aid by March 10, 2006 for
most financial aid, scholarships, and loans
at BSU.
 Other schools/states have varying
deadlines.
Financial Aid Terms
 Cost of Attendance (Budget) - set by
the school (can be adjusted)
 Examples of adjustments:
 Computer expenses - $2,500
 Childcare expenses
 Expected Family Contribution (EFC) –
the amount you and your family are
expected to contribute based on the
previous year’s income
Financial Aid Terms (cont.)
 Financial Need – calculated by:
 Budget – EFC = Financial Need
 Financial need can be filled in a
number of ways;
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Grants
Scholarships/Awards
Work Study
Loans
Grants
 Grants – No repayment required
 Federal Pell
 up to $4050/yr
 Income based
 Federal Supplemental Educational Opportunity
Grant (FSEOG)
 up to $4000/yr
 Income based
 Other state grants
 Indiana Higher Education Grant – up to
$3,800/yr
Scholarships
 From your High School
 Counselor’s Office
 From your intended college/university
 Scholarship searches online:
 www.bsu.edu/finaid/scholarsearch
 Deadlines and qualifications vary
widely
Work Study
 You work part-time for your school
 Limited by how much funding is
available to the school, and
 Your remaining financial need
 Paid directly to you by the school
through a regular paycheck
Loans
 Government – Interest rates usually
lower and interest capitalized
 Stafford – max $2,625/yr for 1st yr,
increases in subsequent yrs
 Perkins – up to $4,000/yr (forgivable)
 Parent PLUS – not limited
 Private Lender
 Sallie Mae
 Wells-Fargo
Loans (cont’d)
 Can usually defer for up to 6 months
after you cease to be a half-time
student
 You generally MUST pay back
 Some loans (Perkins) may be forgiven
in certain fields of study (usually
social/health fields)
Resources
 www.studentaid.ed.gov
 www.fafsa.ed.gov
 www.bsu.edu/finaid
Questions?
Survey
Contact Information
 Ball State University Beta Alpha Psi
(Accounting, Finance, Information
Systems Honors Fraternity)
 bap@bsu.edu