A crash course in personal finance
By Andre Mayer • Bankrate.com

It's your first day of university or college, and you're brimming with anticipation. This is the place, you figure, where you'll reach a higher state of enlightenment, get a bead on a fulfilling vocation, share life-altering experiences with new friends and maybe even find your soul mate.

That's a tall order. It could all happen, but your idealism should be tempered with realism. For many students, heading off to college or university means living away from home for the first time, making your own decisions and effectively fending for yourself.

Unless you're a trust-fund baby or a teenage dot-com millionaire, advancing to university will inevitably mean pinching your pennies; for many, it means shouldering large student loans. The cost of a post-secondary education in Canada becomes more onerous every year, which is why it's important for first-year students to be prudent about how they spend their money.

"There are some people out there who say that if you eat pasta every day, a post-secondary education is more affordable," says George Soule, chairman of the Canadian Federation of Students, scoffing at the logic. Students "should be encouraged to know that they're not alone, that the starving student is no longer simply a cliché."

We've assembled a list of tips to help you survive your first year of learning without becoming insolvent.

Dine wisely
As a so-called starving student, you need to eat. But with a limited budget, you should be sensible about your meal choices. The good thing is, you don't have to eat pasta every day -- or any day, for that matter. Just shop smartly. Clip coupons. Look for specials. Eating on campus is not cheap -- and rarely is it healthy -- so always pack a lunch.

If you opt for a meal plan -- as many students in residence do -- think hard about your dietary needs. There are generally two types of meal cards: the declining balance card, in which you chip away at a set dollar amount; and the lump sum card, which guarantees you a certain number of meals a week.

There are advantages and disadvantages to both. In the case of the former, it's quite possible to eat your way through your balance long before the semester is over; if you always opt for the cheapest items, however, it can be a reasonable option. The downside to the lump sum card is that in trying to get the biggest bang for your buck, you might overeat and gain unwelcome weight.

Take advantage of on-campus resources
"We suggest that you wait until you've completed first year and actually determine what your needs are before buying a computer," says Paul Russell, associate registrar at New College at the University of Toronto.

The basis for his suggestion is that most universities and colleges have large computer labs equipped with workstations, printers and scanners that you can use free. The question is, are you comfortable writing your essays in the higher-learning equivalent of a drop-in-centre?

Take odd jobs
Part-time campus employment offers a splendid opportunity: whether you're working at the campus bookstore or a nearby coffee shop, it can help pad your wallet (and expand your circle of friends). Just remember not to overbook yourself and inadvertently compromise your studies.

Shop around
"Always go out there and look for used textbooks," says Curtis McGrath, president of the students union at Dalhousie University in Halifax. "A textbook that was used by a student just last year and which is in most cases in excellent condition you can purchase most times for half the price."

Don't limit yourself to the university book depot; scouring used stores off campus may yield some incredible finds. McGrath also suggests going to Chapters or Indigo and typing the ISBN code of the necessary texts into the store's computer database or Web site. The national chain can often get the books at a reasonable price.

Share space
In searching for a place of residence, be practical about how much room you actually need. Accepting roommates can be a boon to your wallet (provided they're sane). Roomies will encroach on your privacy, but they will undoubtedly lower your rent.

Be cautious
Students don't typically have a lot of furnishings, but their essentials -- computer, stereo, microwave -- are nonetheless valuable. Whether you're living in residence or off campus, insuring your unit and its contents is an act of good judgment. (If you're in residence, it's possible you may be covered under your parents' home insurance plan.)

Tenant insurance generally runs from $100 to $250 a year. Insurance coverage for residence is usually cheaper than for an off-campus apartment, simply because of the safety features (fire extinguishers, concierge, etc.) found in most campus buildings.

Finally, make sure to get added liability coverage, which will protect you should an accident in your unit damage other parts of the building.

Don't pass up a transit pass
Chances are, at some point you'll want to venture off-campus to paint the town. (In fact, you might soon find yourself craving social stimulation every night.) To that end, a public transit pass is a judicious investment. If you balk at buying a pass, at least consider getting a sheet of tickets, which will still provide a significant savings over paying full fare every time you board a bus or subway.

Take credit
By all means, get a credit card. It can be a convenient way to purchase books and other essential items. Student credit cards differ from other products in that they generally have no annual fees and have a relatively low spending limit ($500-$1,000). That said, the interest is still close to 20 percent, which is why you should make a point of settling your credit balance every of month.

Avoid bad debt
At the risk of sounding like a nagging parent, make sure you pay your bills on time. Settling debts in a timely manner is absolutely vital. Not only does this practice spare you unnecessary interest charges but as soon as you have a bill in your own name -- whether it's for your phone service, Internet access, cable or a credit card -- you begin to amass a credit history. Even a single missed payment can become a lasting blemish on your borrowing record.

Get a plan
"Put together a budget at the beginning of each semester, and figure out what are your sources of revenue and what are your expenditures," McGrath proposes. "And always set aside a contingency."

Andre Mayer is a writer in Toronto.